To start with, India has identified one copper and two lithium mines in resource-rich Argentina to either acquire or secure long-term leases the sources said. The sources with direct knowledge of the matter did not wish to be identified citing official rules. A team of experts has already studied the technical aspects of the one copper and two lithium mines in Argentina by visiting the sites.

According to the sources, the attempt is part of India's larger push to get vital metals and minerals from leading global producers. The Indian government has launched Khanij Bidesh India (KABIL) as part of its drive to explore international mineral assets. KABIL is a business founded by state firms National Aluminium Company Hindustan Copper and unlisted Mineral Exploration Corp.

KABIL plans to establish a unit in Argentina to mine and process lithium. Lithium is a key basic ingredient used in the production of electric car batteries. As part of a broader push by the government to meet its decarbonisation goals India has introduced a clutch of measures to boost sales of electric vehicles (EVs).

According to S&P Global Mobility, India will overtake Japan as the world's third-largest market for passenger and other light cars. Apart from lithium, copper demand has increased in India despite the fact that the country produces only 10-15 per cent of its entire copper requirement. In 2022, India was on track to be one of the world's fastest-growing copper markets breaking the trend of moderating demand expansion elsewhere including top consumer China despite a slowing global economy.