AP plans gold prospecting

HYDERABAD, NOV 8: Andhra Pradesh government has identified 11 districts for gold and diamond prospecting, state minister for mines and geology, P Srinivas Reddy said. quot;We have divided the 11 districts into 26 blocks each with an extent of 5000 sq km for mining gold and diamonds,quot; Reddy, who assumed office today, told reporters here.

Initial survey was underway and mining process would be taken up soon, he said adding that the state has fixed a target of Rs 450 crore from mining this year against the previous figures of Rs 420 crore. Four districts each in Rayalaseema and coastal Andhra and three in Telengana were identified for gold and diamond mining, he said. While the major chunk of revenue was from coal amounting to Rs 232 crore, other major minerals like barytes and mica are likely to yield Rs 115 crore. The remaining revenue would be from minor minerals, Reddy said. Ruling out the possibility of a judicial probe into the allegation of opposition Congress that contracts were awarded at a lower pricemining barytes, he said it was an open tender and the rates were lowered following slump in price.