India withdraws from Russia-backed Mali lithium project

India is withdrawing from a Russia-backed lithium project in Mali over security concerns, Reuters reported on February 12th, citing anonymous sources.

In 2025, Russia’s state nuclear corporation Rosatom approached India’s government-backed Khanij Bidesh India Ltd (KABIL) and NLC India Ltd to explore lithium deposits in Mali, an emerging producer of the metal. Lithium is a key ingredient in lithium-ion batteries used in electric vehicles (EVs).

India, the world’s fastest-growing major economy and the third-largest emitter of greenhouse gases, has been seeking to secure long-term supplies of lithium to support its transition to cleaner energy. The government aims to increase the share of EVs in new car sales to 30% and in two-wheeler sales to 80% by 2030, up from the current shares of 4% and 6%, respectively.

However, deteriorating security conditions in Mali have prompted India to halt its involvement in the Russia-backed lithium project. Jihadist armed groups affiliated with al-Qaeda have increasingly targeted economic assets and foreign-backed projects, complicating large-scale investment in the politically unstable West African country. Western governments, including those of Britain, France and the United States, have urged their citizens to leave the landlocked country amid growing instability.

Another lithium project in Bougouni, southern Mali, has continued operating despite political unrest in the capital, Bamako, as reported on November 6th. The site, backed by British and Chinese interests through Kodal Minerals, began production in February 2025, becoming Mali’s second active lithium mine as the country seeks to expand its mining sector beyond gold.

India’s withdrawal comes as Russia has been strengthening ties with Mali and several African countries, including Burkina Faso, through military and economic cooperation. On June 23rd, Mali and Russia signed a series of agreements, including a deal to develop a civil nuclear power program in Mali. The military junta in Bamako has also partnered with a Russian company to build a new gold refinery, according to reports on June 19th.

Reuters, Maghrebi.org