Time for another gold rush
State to invite applications for exploring the yellow metal in 8,000 sq km of land
A gold rush awaits the state. The State government will soon invite applications for exploring 8,000 sq km spread across the State for the precious yellow metal including locations surrounding the now defunct mines Kolar Gold Fields.
The State has a huge greenstone belt rich in gold deposits covering an area of 38,800 sq km. The State government now wants tap the gold mine by inviting applications for reconnaissance permits (RPs) for gold mining prospects. The move comes at a time when gold has hit an all-time high.
The plan is to open up schist belts in Kolar, Gadag, Dharwad, Shimoga, in Krishna basin (Raichur and Gulbarga districts), Tungabhandra basin (Bellary), Hagari basin (Chitradurga) and Kaladgi basin (Bagalkot) for gold mining prospects.
Schist belts are geological formation rich in gold-quartz mineralisation. “It is estimated that the total gold reserve in the State is about 189 tonnes. A large part of the State still remains unexplored. There is a huge potential for mining prospects,” B S Ramaprasad, Secretary, Commerce and Industries said.
Karnataka is the only State to produce primary gold and commands 84 per cent of the country’s share. Recent survey by the Geological Survey of India had found gold deposits in a total of 15 block spread across the districts of Raichur, Dharwad, Chitradurga, Hassan and Haveri.
Ramaprasad said the KGF area had potential for new exploration. KGF was the premier gold mine in India before it was closed in 2003 due to reducing deposits and increasing costs. The site also has the ‘champion mine’ the second deepest gold mine in the world.
The Government also proposes to invite applications for processing 35 million tonnes of tailings left behind at KGF after more than a century of gold mining. Tailings are residue left after majority of the gold deposits are extracted from the ore. Modern techniques have now been developed which can recover any fraction of the valuable metal from the tailings. There are some legal hurdles which the government is trying to sort out before offering the tailings for processing, Ramaprasad said.
Glittering future
* 8,000 sq kms to be opened up for gold mining prospects
* Gold reserve in state is 189 tonnes
* Locations surrounding KGF promises potential for new exploration
* Recent survey by GSI finds gold deposits in 15 blocks
* Processing of gold tailings also to be offered
