Major Investment in Critical Minerals Refinery to Boost Employment in Meerut

Meerut, October 20 (Daily Kiran) : A significant investment of ₹200 crore is set to transform Meerut, with the establishment of a critical minerals and rare earth refinery. Deep tech startup Circulogy Cleantech Private Limited has signed a memorandum of understanding with Invest UP to launch this project, which is expected to create approximately 300 direct jobs and 1,000 indirect jobs.

Sumit Mahajan, CEO of the UP Startup Mission, emphasized that the Yogi government is focused on encouraging local entrepreneurs and tech-based industries. The initiative aims to convert innovative ideas into viable business projects while providing growth opportunities for startups. The proposed refinery is a crucial step in linking local startups with substantial industrial investments, potentially fostering the development of tech-driven industries in western Uttar Pradesh.

Circulogy’s refinery will be developed in phases, with plans to process 10,000 tons of material annually upon reaching full capacity. The facility will recycle lithium-ion batteries to recover essential minerals such as lithium, cobalt, and nickel. Additionally, it will extract rare earth elements like neodymium, dysprosium, and terbium from old permanent magnets used in electronic devices, hard drives, and electric vehicle motors. These minerals are vital for electric vehicles, renewable energy, electronics, and defense sectors, playing a crucial role in the production of batteries and advanced technological equipment.

Currently, India relies heavily on imports to meet its domestic needs for lithium, cobalt, and nickel. The dependence on imports for rare earth magnets also poses significant challenges. Therefore, developing recycling and refining capabilities within the country has become essential. The government has initiated several measures to enhance self-sufficiency in critical minerals, including a ₹1,500 crore incentive scheme promoting the recycling of e-waste and used batteries.

In November 2025, the central cabinet approved a ₹7,280 crore plan to boost the manufacturing of rare earth permanent magnets in India, targeting an annual production capacity of 6,000 tons. The recycled minerals and rare earth oxides from Circulogy’s proposed refinery could be instrumental in establishing domestic industrial supply chains.

Circulogy, recognized as a deep tech startup by the DPIIT, is committed to promoting a circular economy through recycling and resource reuse. The company has received support from the UP Startup Mission, which will assist in obtaining necessary approvals and facilitate access to government incentive schemes. This ₹200 crore project holds the potential to create new employment opportunities while positioning Meerut as a hub for critical mineral recycling and refining alongside traditional industrial activities.