Aussie firm to explore gold in India

Aussie firm to explore gold in India,Economic Times, PTI, Bangalore, 1 September 2003 :

Australian exploration major, Australian Indian Resources (AIR) group is all set to discover gold deposits in the under-explored gold rich terrains of the country, especially Karnataka.

It was in advanced stages of detailed exploration activities in north Hutti, south Hutti and Mangalore in Karnataka and Ramgiri in Andhra Pradesh, a top official said.

Besides these four regions, AIR was also looking at Dharwad-Shimoga, Sonadehi-Gurpher in Chhattisgarh and Kolari in eastern Madhya Pradesh as “very good gold values” have been assayed from the samples obtained from these areas, Sandeep Lakhwara, managing director, AIR, said.

The company had already invested Rs 10 crore on exploration activities in various parts of the country and plans to invest Rs 30 crore in the next three years to “develop other prospects”, he said.

AIR, promoters of Deccan Gold Mines Ltd (DGML) and the first private sector gold exploration company to be listed on the Bombay Stock Exchange, is simultaneously undertaking prospecting activities in seven states comprising Mahrashtra, AP, MP, Chhattisgarh, Jharkhand, UP and Tamil Nadu, he said. The company chose India as peninsular India and western Australia share a close geological relationship. The two land masses were adjacent to each other more than 200 million years ago. Yet India produces only 2 tonnes of gold a year while Australia produces 280 tonnes per annum.

According to World Gold Council there was more than 20 million tonne of “proven, probable and possible gold ore reserves in India” which can be unearthed only through exploration, he said.