Expediting Gold Monetisation: The Kolar Gold Fields Action Plan

The parliamentary committee has urged the mines ministry to hasten the monetisation of 33 million tonnes of gold-rich tailings at Bharat Gold Mines Ltd in Kolar Gold Fields, Karnataka. These tailings, remnants of mining operations, hold recoverable gold and pose environmental risks, necessitating expedited action for monetisation.

The parliamentary committee has called for the mines ministry to accelerate efforts in monetising around 33 million tonnes of gold-rich tailings at Bharat Gold Mines Ltd (BGML) in Kolar Gold Fields, Karnataka. These tailings, by-products of mining operations, contain valuable recoverable gold and significantly impact the environment.

BGML, under the mines ministry, has remained closed since 2001. Within the 2026-27 budget, Rs 8.75 crore has been allocated for its maintenance. The Standing Committee on Coal, Mines and Steel highlighted in its report the necessity of monetising approximately 33 million tonnes of tailings, which hold significant quantities of gold and other precious metals. The committee emphasized the urgency of this project.

Incorporated in 1972, BGML was involved in gold mining at KGF and some operations in Andhra Pradesh. The closure was due to economic non-viability. Despite a 2006 Cabinet decision to dispose of assets via a global tender—offering ex-employees first right of refusal—this was not implemented. The government is now assessing future strategies for BGML.

(With inputs from agencies.)