The state mines and geology department has resurveyed the encroachment outside mining leases and concluded that it is 9.286 hectare, Chief Minister Manohar Parrikar told the state Legislative Assembly.
The Justice Shah Commission had surveyed the mining leases with hand-held Global Positioning Survey (GPS) device which has errors, he said.
The Commission had accounted Rs 35,000 crore loss by encroachment outside mining leases going by the figures that encroachment is over 578 hectare, he said.
He said Justice Shah Commission's report is an interim document and it is not presented to the central Cabinet.
He alleged that the report was sent directly to the Parliament to ensure that the revenue earned from mining by the state government is stopped.
Iron ore extraction had been put on hold in the state last year in wake of an order of Supreme Court, which is investigating the illegal mining through a Central Empowered Committee.