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Auction of Two Offshore Mineral Blocks in Andaman Sea Begins

Mines Secretary Keshav Chandra launched the auction of Sewell Rise-01 and West Sewell Ridge-01 in the Andaman Sea, covering over 1,632 square kilometres.

By Published · 2 min read
Auction of Two Offshore Mineral Blocks in Andaman Sea Begins

Why in News

On 1 October 2026 the Ministry of Mines launched the auction of two offshore mineral blocks, Sewell Rise-01 and West Sewell Ridge-01, in the Andaman Sea, and sale of tender documents began the same day.

Keshav Chandra, Secretary in the Ministry of Mines, virtually launched the auction of two offshore mineral blocks in the Andaman Sea for the grant of a Composite Licence. He was joined by Kadam Sandeep Vasant, Joint Secretary and Administering Authority in the ministry.

The two blocks

BlockOffshore regionMinerals
Sewell Rise-01Southern part of Sewell Rise, Andaman SeaPolymetallic nodules and crusts
West Sewell Ridge-01Off Great Nicobar Island, Andaman SeaPolymetallic nodules and crusts

Together the two blocks spread over more than 1,632 square kilometres. The polymetallic nodules and crusts they hold carry cobalt, nickel, manganese, copper and rare earth elements — inputs for advanced manufacturing, clean energy technology, electric mobility and electronics.

The auction calendar

  • Sale of tender documents opened on 1 October 2026
  • The pre-bid conference falls on 4 November 2026 and queries close on 13 November 2026
  • Tender documents can be bought until 5 pm on 21 December 2026 and bids filed until 5 pm on 28 December 2026

Bidding runs as a transparent electronic auction on the MSTC platform, under the Offshore Areas Mineral (Development and Regulation) Act, 2002 and the Offshore Areas Mineral (Auction) Rules, 2024, as amended from time to time.

Why it matters

The Secretary called offshore mineral resources a new frontier for the country’s mineral sector and said systematic exploration there would add to domestic mineral availability. He pressed for scientific, technological and environmentally responsible development of these resources, and urged prospective bidders, industry stakeholders and capable explorers to take part. For an aspirant the block names, the sea they sit in, the mineral type and the governing law are the facts most likely to be asked.

Who took part in the launch

Senior officials of the ministry attended, along with representatives of scientific and technical institutions, industry stakeholders, public sector enterprises, prospective bidders and members of the media. Full details of the blocks, the auction terms, the eligibility conditions and the timelines have been placed on the auction platform for bidders to study.

Important Facts

MinistryMinistry of Mines
Launched byKeshav Chandra, Secretary, Ministry of Mines (virtually)
BlocksSewell Rise-01 and West Sewell Ridge-01
LocationAndaman Sea; West Sewell Ridge-01 lies off Great Nicobar Island
Combined areaOver 1,632 square kilometres
Mineral typePolymetallic nodules and crusts
Metals presentCobalt, nickel, manganese, copper and rare earth elements
Licence on offerComposite Licence
Pre-bid conference4 November 2026
Last date for bids28 December 2026, up to 5 pm IST
Legal frameworkOffshore Areas Mineral (Development and Regulation) Act, 2002 and Offshore Areas Mineral (Auction) Rules, 2024

Exam Point of View

Remember both block names, that both lie in the Andaman Sea, the combined area of over 1,632 square kilometres, the mineral type (polymetallic nodules and crusts), the metals they carry, the Secretary’s name and the Act of 2002 with the Auction Rules of 2024.

Practice Questions

Q1.EconomyEasy

The two offshore mineral blocks whose auction was launched are located in which sea?

  1. A.Arabian Sea
  2. B.Andaman Sea
  3. C.Laccadive Sea
  4. D.Bay of Bengal, off Odisha
Show answer

Correct answer: B. Andaman Sea

Explanation

The correct answer is the Andaman Sea. The Ministry of Mines offered Sewell Rise-01, in the southern part of Sewell Rise, and West Sewell Ridge-01, which lies off Great Nicobar Island, and both blocks sit in the Andaman Sea. Option A is wrong because no block in this auction was placed in the Arabian Sea, on the western side of the country. Option C is wrong for the same reason; the Laccadive Sea lies to the south-west and does not figure in this launch at all. Option D is wrong because, although the blocks are on the eastern side, they are not off the Odisha coast; the location is tied to the Andaman and Nicobar group, and West Sewell Ridge-01 is identified specifically as lying off Great Nicobar Island. The two blocks together cover more than 1,632 square kilometres.

Q2.EconomyMedium

What type of mineral deposit do Sewell Rise-01 and West Sewell Ridge-01 contain?

  1. A.Bauxite and laterite
  2. B.Polymetallic nodules and crusts
  3. C.Coal seams
  4. D.Placer gold deposits
Show answer

Correct answer: B. Polymetallic nodules and crusts

Explanation

The correct answer is polymetallic nodules and crusts. Both blocks are described as holding deposits of this kind, and they host cobalt, nickel, manganese, copper and rare earth elements, which are needed for advanced manufacturing, clean energy technology, electric mobility and electronics. Option A is wrong because bauxite and laterite are weathered deposits found on land and are not what these offshore blocks offer. Option C is wrong because coal is a sedimentary fuel mineral and does not form the nodules and crusts that lie on the deep sea floor. Option D is wrong because placer gold is concentrated by rivers and in coastal sands rather than occurring as polymetallic nodules. The licence on offer for both blocks is a Composite Licence, and the metals listed are the examinable part of this story.

Q3.EconomyMedium

Who launched the auction of the two offshore mineral blocks?

  1. A.The Union Minister of Mines
  2. B.Keshav Chandra, Secretary, Ministry of Mines
  3. C.Kadam Sandeep Vasant, Joint Secretary
  4. D.The Chairman of MSTC
Show answer

Correct answer: B. Keshav Chandra, Secretary, Ministry of Mines

Explanation

The correct answer is Keshav Chandra, Secretary, Ministry of Mines, who launched the auction virtually for the grant of a Composite Licence. Option A is wrong because the launch was done by the Secretary and not by the Union Minister, a distinction exam setters like to test when a ministry event involves several officials. Option C is wrong because Kadam Sandeep Vasant, Joint Secretary and Administering Authority in the ministry, was present at the launch along with other senior officials, but did not launch it himself. Option D is wrong because MSTC only provides the electronic platform on which the transparent auction is held; it is not the authority that launched the process. The Secretary used the occasion to call offshore minerals a new frontier and to urge active participation by industry and capable explorers.

Frequently Asked Questions

Which two offshore mineral blocks have been put up for auction?

Sewell Rise-01, in the southern part of Sewell Rise, and West Sewell Ridge-01, off Great Nicobar Island. Both lie in the Andaman Sea and are offered for a Composite Licence.

What kind of minerals do these blocks hold?

Polymetallic nodules and crusts, which host cobalt, nickel, manganese, copper and rare earth elements used in advanced manufacturing, clean energy, electric mobility and electronics.

Under which law is the offshore auction conducted?

The Offshore Areas Mineral (Development and Regulation) Act, 2002 together with the Offshore Areas Mineral (Auction) Rules, 2024, through an electronic auction on the MSTC platform.

Sources

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