Gujarat to develop First Underground Copper Mine at Ambaji with ₹613 Crore allocation in Budget 2026
February 18, 2026
Gandhinagar: In a major step toward mineral self-reliance, the Gujarat government has proposed the development of the Ambaji Copper Project, which will become the state’s first underground copper-lead-zinc mine.
State Finance Minister Kanu Desai, in his budget speech for FY 2026–27, said that the project will utilise the state’s abundant but currently underused mineral resources through state-of-the-art technology, helping reduce dependence on imports.
The government has allocated ₹613 crore for the project in the FY 2026–27 Budget, marking a significant push to strengthen Gujarat’s domestic mineral production and industrial capacity.
The Finance Minister also said, “There is a plan to produce gas from lignite through the underground coal gasification method. This will help address pollution concerns, for which I am proposing a provision of ₹300 crore.” DeshGujarat
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