Kurnool (Andhra Pradesh) [India], June 24 : Managing Director and Chairman of Lloyds Metals & Energy, B Prabhakaran, and Andhra Pradesh Chief Minister N Chandrababu Naidu on Wednesday jointly inaugurated the Jonnagiri Gold Mine in Kurnool district, marking the start of India's first commercial-scale private-sector gold mining operation since Independence.
According to a company release, the mine, located across Jonnagiri, Erragudi and Pagidirayi villages in Tuggali mandal, is a major step towards strengthening India's domestic gold production capabilities at a time when the country remains one of the world's largest consumers of the precious metal.
Jonnagiri brings commercial-scale gold mining back into focus.
According to a company release, the mine, located across Jonnagiri, Erragudi and Pagidirayi villages in Tuggali mandal, is a major step towards strengthening India's domestic gold production capabilities at a time when the country remains one of the world's largest consumers of the precious metal.
Developed by Geomysore Services India Pvt Ltd and backed by Lloyds Metals & Energy and the Thriveni Group, the project has attracted investments of more than Rs 400 crore and spans nearly 598 hectares.
The mine is expected to produce up to 1,000 kg of refined gold annually at peak capacity and has an estimated operational life of around 15 years. Certified gold resources currently stand at about 13.1 tonnes, while ongoing exploration indicates the possibility of larger resources across the broader mineralised belt, the release said.
India imports between 700 and 1,000 tonnes of gold every year to meet domestic demand. The company said the Jonnagiri project would help bring commercial-scale gold production back into focus and support efforts to reduce dependence on imports.
Speaking at the inauguration, Prabhakaran said, "Jonnagiri Gold Mine marks the beginning of a new chapter for India's gold mining industry. For decades, India has been one of the world's largest consumers of gold while remaining heavily dependent on imports. Today, we are demonstrating that India can discover, develop and operate world-class gold mining assets at a commercial scale."
"Our vision extends beyond a single project. We aim to build a sustainable domestic gold ecosystem that supports economic growth, generates employment, contributes to national resource security and positions 'Made in India' refined gold in both domestic and international markets. Jonnagiri is a true testament of 'Atmanirbhar Bharat' towards creating a portfolio of globally competitive gold mining assets in the country," he added.
The inauguration comes at a time when gold prices are at record highs and volatility in global markets remains elevated. The company said the development of a domestic source of gold is both commercially and strategically important for India.
According to the release, the project is expected to generate employment opportunities, support local businesses and contribute to the regional economy through investments, royalties and taxes.
The mine is also expected to encourage further exploration and investment in India's gold sector. With additional exploration activities underway in the region, Andhra Pradesh is well placed to emerge as a leading gold-producing state, the release said.
As commercial production begins, the Jonnagiri Gold Mine is expected to strengthen India's domestic gold value chain and support the vision of bringing "Made in India" gold to both domestic and international markets.