Vedanta Ltd has won India’s first-ever auction of a gold mine, a provincial government official said, as the nation opens up the sector to private companies to curb overseas purchases of the metal that cost it $36 billion last year.

Vedanta, a unit of London-listed Vedanta Resources, beat three other bidders in the auction of the Baghmara mine in the eastern state of Chhattisgarh, the head of the state’s directorate of geology and mining, Reena Kangale, told Reuters on Saturday. The company quoted the highest bid of 12.55 per cent of the Indian Bureau of Mines price of Rs 74,712 ($1,087) a troy ounce, Kangale said, adding she expected mining for potential reserves of about 2,700 kg to begin in two years. A troy ounce is equivalent of 31.10 grams.

http://www.business-standard.com/article/companies/vedanta-bags-india-s-first-gold-mine-auction-116022700790_1.html

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