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Karnataka Ore Gold Mining Machine Fden

Officially, India mined just 1.61 tonnes of gold in India during 2017-18. That was essentially from primary sources. But ask geologists, and they will tell you that India should be mining a lot more gold. This is because the terrain from Australia to China has similar geological features. There is a lot of gold to be found there.

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    For instance, points out an Australian geologist, In Australia, we produce around 300 tonnes 9.7 million troy ounces compared to barely 2 tonnes in India. We think India could produce a lot more. In fact, he adds, look at China. Even China has a similar terrain. In 1994, India produced around 2 tonnes, and China produced around 3 tonnes. Today, China produces 450 tonnes. Clearly the potential for India is huge.

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    One of the first beneficiaries of this policy was Vedanta earlier Sterlite group. In February 2016, Vedanta Resources became the first private company to successfully bid for a gold mine in India the Baghmara gold mine in Chhattisgarh with potential gold reserves of 2.7 tonnes of gold httpismenvis.nic.inLatestNewsArchieve.aspxId11888ampYear2016.

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    Some Australian investors of Deccan Gold Mines decided to back yet another project, Janagiri Mines, which hopes to approach the capital market soon for raising money to finance its Rs 300 crore capex for setting up its gold mine. The target to produce around 25,000 troy ounces a year appro 777 kg of gold.

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    Karnataka is also home to two of the oldest gold mines in India the Kolar gold fields and the Hutti mines. In 2001, the government decided to close down the Kolar mines. This mine had been in existence for more than 120 years, and had produced during its life span some 800 tonnes or 26 million troy ounces of gold. That leaves India with just one functioning gold mine. The Hutti gold mine which, in 2015 alone, produced some 45,000 troy ounces 1.399 tonnes of gold. But its production volumes appear to be ebbing.

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    Many geologists disagree. They say that instead of closing down existing gold mines, the government should offer them to other miners through auction. They can do a better job of extracting gold than the government can. They also point to the millions of tonnes of depleted ore that lies outside the existing mines. Conventionally, 1.5 grammes of gold is extracted per per tonne of earth. Good beneficiation techniques can extract at least 0.5 grammes from the depleted ore. Why cant the government auction off the waste ore lying around.

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