Nazi chest of gold worth up to £125m discovered in the Atlantic Ocean by British treasure hunters

British treasure hunters have found a chest which could contain $163m (£125m) worth of Nazi gold.

The casket was located in the post room of the SS Minden, a Nazi ship which was at the bottom of the Atlantic Ocean just off Iceland.

There are claims the cargo ship was used to transport gold from banks in South America to Nazi Germany when it sank in 1939.

After being intercepted by a British ship, SS Minden was scuttled by its own crew to prevent allied troops capturing it.

The ship and potential treasure was discovered by the Advanced Marine Services (AMS), who are now applying to Iceland’s government for permission to open the chest, The Sun reported.

It is believed that it contains approximately four tons of valuable metal.

AMS had fallen foul of Iceland’s rules when searching for the treasure, which was located 120 miles from the shore.

The crew of the Seabed Constructor, which was used to conduct the investigation, were ordered back to Iceland for not having the necessary licence.

They are now claiming the contents belong to the finder and are awaiting a decision from Icelandic officials on the legal owner of the wreckage and the haul.