Editor’s Note
This article reports on the successful e-auction of the Baghmara Gold Mine in Chhattisgarh, marking a significant development for the state’s mineral sector. Vedanta Limited’s winning bid secures the rights to operate what is now the country’s fourth active gold mine.
Sonakhan in the Baloda Bazar district of Chhattisgarh has truly become a “gold mine.” The e-auction process for the Baghmara (Sonakhan) Gold Mine, organized by the state government, has been completed, with Vedanta Limited winning the mine by placing the highest bid.
Vedanta bid 12.55% of the IBM sale price of Rs 74,712 per troy ounce. With this bid, the company has secured the right to excavate gold in the Sonakhan area.
The Geological Survey of India (GSI) confirmed the presence of gold in this area through surveys conducted between 1983 and 1991. Subsequently, in 2015, it was declared a commercially viable mining area. Now, Sonakhan is set to soon become the country’s fourth active gold mine.
The Vedanta Group performed a groundbreaking ceremony in Sonakhan on Wednesday, initiating test excavation. Company officials stated that production work will also commence soon, leading to a significant increase in the state’s economic revenue.
This mine spans an area of 608 hectares and holds an estimated reserve of approximately 2,700 kg of gold. Of this, about 500 kg of gold has been found near the surface.
This mine is Chhattisgarh’s only gold mine. Its commencement will generate crores of rupees in income for the state in the form of royalties. Additionally, it will create employment opportunities for local youth and accelerate the region’s economic development.
This chapter of Sonakhan will not only be written in golden letters in Chhattisgarh’s mineral history but will also give the state a new identity on India’s gold map.
