Gold reserves in India: Min of Mines informs Parliament largest resources located in Bihar

On Tuesday, July 27, the Minister of Mines, Coal and Parliamentary Affairs Pralhad Joshi in a written reply in Rajya Sabha informed that as per National Mineral Inventory data, the total reserves or resources of gold ore (primary) in the country have been estimated at 501.83 million tonnes as of April 1, 2015. 

The statement said, out of these, 17.22 million tonnes were placed under the reserves category and the rest 484.61 million tonnes under the remaining resources category. In India, the largest resources of gold ore (primary) are located in Bihar (44%) followed by Rajasthan (25%), Karnataka (21%), West Bengal (3%), Andhra Pradesh (3% ), Jharkhand (2 %). The remaining 2% resources of ore are situated in Chhattisgarh, Madhya Pradesh, Kerala, Maharashtra, and Tamil Nadu. The mineral extraction costs including gold vary from mine to mine.

Data of Geological Survey of India

For various mineral commodities including gold with the aim to identify potential mineral-rich zones and establish resources, the Geological Survey of India (GSI) is actively engaged in geological mapping followed by mineral exploration (survey). As per the approved annual Field Season Program, every year GSI takes up mineral exploration projects in various parts of the country for augmenting mineral resources.

Earlier, the Government of India has amended the MEMC Rules to allow the auction of composite licenses at the G4 level for deep-seated minerals including Gold. Following the amendment of the rules, more participation from private players is expected to participate who own advanced technology in the field of exploration & mining of deep-seated minerals which is expected to reduce the cost of extraction of gold.

So far, there is no proposal to restart the closed gold mines.

Countries with the largest gold reserves

According to World Gold Council (WGC) data, among the top 10 central banks with the largest gold reserves, India holds the number nine spot with over 658 tonnes of gold in its vaults and accounting for 8% of total reserves as of April 2021. 

The United States has the largest gold reserve with more than 8,000 metric tons of gold and stands at the first spot. It accounts for 79% of total reserves. 

(With PBI inputs)

(Image credit: PTI)