The Geological Survey of India (GSI) on Saturday categorically denied a report in which it was claimed that gold deposits estimated to be around 3,350 tonnes have been found in the Sonbhadra district of Uttar Pradesh. The state-owned GSI stated that the "total gold that can be extracted from the area is approximately 160 kg and not 3,350 tonnes" as mentioned by a local mining official in the media.
"The mineralised zone having an average grade of 3.03 grams per tonne of gold is tentative in nature and the total gold which can be extracted from the total resource of 52,806.25 tonnes of ore is approximately 160 kg,"Ashish Kumar Nath, a spokesperson for GSI said on Saturday.
Earlier in the day, India's Minister of State for Commerce and Industry described the discovery of a 3,000-tonne gold reserve worth nearly $167 billion as something that could transform the country.
Hardeep Singh Puri, who is also Minister for Housing and Urban Affairs, and Civil Aviation, tweeted:
The minister made the claim based on a statement by a local mining official, K. K. Rai. His estimates were even more optimistic, saying the deposits contained nearly five times the country's existing gold reserves.
Some other minerals have also been found in the area, the official added.
According to the World Gold Council report cited by the Indian publication Economic Times, India currently has 626 tonnes of gold reserves.
As gold fever started spreading across India, many people took to Twitter to give their reaction.