Pilot plants in Odisha set to extract valuable rare earth elements from industrial wastes

NALCO, India’s largest public sector aluminum manufacturer, supports setting up of pilot projects based on patented processes for R&D initiatives

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Pilot plants in Odisha set to extract valuable rare earth elements from industrial wastes

NALCO, India’s largest public sector aluminum manufacturer, supports setting up of pilot projects based on patented processes for R&D initiatives

Updated – August 19, 2026 10:56 am IST – BHUBANESWAR

The Hindu Bureau

NALCO Chairman and Managing Director Brijendra Pratap Singh inaugurated a first-of-its kind indigenous pilot plant for processing bituminous coal fly ash for the recovery of multiple value-added products at the NALCO Research and Technology Centre (NRTC), Bhubaneswar. | Photo Credit: Special arrangement

As research and development initiatives have identified rare earth elements and other high-value materials in coal and bauxite residues.

Pilot plants have been established in Odisha to process bituminous coal fly ash for the recovery of multiple value-added products and to explore the valorisation of bauxite residue, commonly known as red mud,

Fly ash and red mud — the two major industrial wastes Odisha is grappling with — could possibly be transformed into valuable resources. These initiatives have been supported by National Aluminium Business Limited (NALCO), the Navratna Central Public Sector Enterprise under the Union Ministry of Mines.

In an official note, NALCO said it has strengthened its R&D initiatives through strategic collaborations with leading national research institutions for developing scalable and commercially viable solutions for industrial residue valorisation and critical mineral recovery.

NALCO Chairman and Managing Director Brijendra Pratap Singh inaugurated a first-of-its kind indigenous pilot plant for processing bituminous coal fly ash for the recovery of multiple value-added products at the NALCO Research and Technology Centre (NRTC), Bhubaneswar.

“The 50 kg per day capacity fly ash processing pilot plant has been designed and established by CSIR-IMMT and city-based university KIIT, with support from NALCO, Council for Scientific and Industrial Research and the Ministry of Mines, Government of India,” the firm stated.

The pilot facility based on a jointly patented process developed by CSIR-IMMT and NALCO for the holistic utilisation of coal fly ash will enable recovery of multiple value-added products, including alumina, calcium silicate for ceramic applications, quartz residue with potential applications in glassmaking, and an iron hydroxide residue enriched in rare earth elements (REE), including scandium.

Similarly, a ground-breaking ceremony was additionally held for setting up a pilot plant for bauxite residue (red mud) valorisation. The proposed facility will focus on the recovery of ferro-titanium alloy, metallic iron and rare earth elements from red mud, thereby advancing efforts towards the productive utilisation of industrial residues.

“Rare earth elements are critical inputs for a broad set of strategic and high-technology applications, including permanent magnets, electric mobility, renewable energy, electronics and defence. Alumina, meanwhile, is the principal feedstock for aluminium production and an important industrial raw material. Recovery of such materials from secondary resources can improve resource efficiency, supplement primary sources and unlock additional value from industrial residues,” NALCO stated.

The fly ash pilot plant is also anticipated to generate adequate quantities of REE concentrate for further research and development on mixed REE recovery and separation. This will support the development of downstream value-added products and contribute towards establishing integrated recovery pathways for critical minerals.

“The Business is committed to leveraging research, innovation and strategic partnerships to convert industrial residues into valuable resources. Pilot-scale validation of indigenous technologies is an important step towards developing commercially viable solutions that can strengthen resource efficiency, critical mineral security and the circular economy,” stated Mr. Singh.

“Through sustained R&D, strategic collaborations with premier national research institutions and pilot-scale validation of emerging technologies, NALCO is working towards integrated resource-recovery pathways aligned with national priorities on critical mineral security, circular economy and sustainable industrial development,” the firm stated.

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