India’s golden treasure: Andhra Pradesh to become country’s ‘largest’ gold producer
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India's golden treasure: Andhra Pradesh to become country's 'largest' gold producer

Andhra Pradesh is expected to become the countryโ€™s largest supplier of gold in the coming years, thanks to its significant reserves identified in Kurnool district and other parts of the state, a senior official said on Thursday. Addressing a press conference, principal secretary (Mines) Mukesh Kumar Meena said that according to estimates, Jonnagiri village in Kurnool district alone holds around 50 tonnes of gold reserves. He added that the state has also identified four other prospective gold mining locations, including Ramagiri, Javvakula and Chigurukunta Bisnatam. “Our estimate is that 50 tonnes of gold are available in Jonnagiri itself. So, we are confident that after a few years, we (Andhra Pradesh) will become the highest supplier of gold for the country,” Meena told PTI. According to the official, commercial gold production has already begun at Jonnagiri. He noted that nearly 1,500 acres were allocated for gold mining in the village around a decade ago. However, exploration activities have so far been carried out on only about 500 acres of the allotted land. Based on these explorations, authorities have estimated the presence of up to 13 tonnes of gold in that area. Meena said exploration work on the remaining 1,000 acres is yet to begin and will be taken up in due course. Once completed, the total estimated gold reserves in Jonnagiri are expected to reach 50 tonnes. Highlighting the nature of the industry, he said gold mining requires substantial investment and specialised expertise, which is why the government has chosen to award mining operations to private players through a tendering process. The official also pointed to the sharp decline in gold recovery rates over the years. While a tonne of mined material earlier yielded around three grams of gold, the recovery rate has now dropped to roughly one gram per tonne. He further observed that mining operations become economically unviable when gold recovery falls below 0.8 grams per tonne of mined material. Meena also said that Chief Minister N Chandrababu Naidu is scheduled to officially launch the Jonnagiri gold mining project later this month.

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