Clay

Clay is a block that is a light-blue/gray recolor of the Sand texture.

Clay can be found on the surface in groups of varying number usually surrounded by Sand. It is usually below water, but is sometimes found exposed in, around or under sand. It was uncommon, but was easier to find than other "rare" blocks (like Gold) due to the fact that one only needs to explore surface-level deserts or beaches to find it. As of 1.8, clay is commonly found a the bottoms of rivers and lakes in shallow, circular patches, disregarding adjacency to other types of blocks. Clay was a lot less common before the Halloween Update.

It can be mined with any type of tool, but Shovels are the optimal choice. Destroying clay blocks will yield 4 balls of Clay each, which can be crafted back into a clay block or smelted into brick.

By hitting F5 you can enter third person mode. In third person mode you can adjust the camera angle to easily see underwater. This is very useful for efficiently looking for clay blocks from a boat.

If you are having trouble seeing if a block is clay or stone, check for the characteristic lines of stone. Clay is usually a lighter color than stone and the texture is not linear. It is often hard to tell clay from sand. Clay sounds like dirt and gravel when stepped on or mined.

History

 * Before the Beta 1.8 update, clay was colored reddish brown, not gray.
 * During Beta 1.6, in newly generated chunks clay blocks were nearly nonexistent. To be specific, clay only generated when the x and z coordinates were the same, severely limiting the amount of clay on the map. This was fixed in Beta 1.7.
 * As of Beta 1.8, clay is commonly found underwater mostly on the bottom of Rivers and is common in the submerged area of swamps and shallow "lakes" (1 and 2 meters deep) in large quantities.

Trivia

 * In real life, Clay can actually be bright red, not just gray; and clay is often found under the surface. Also it can be found away from sand.
 * Also, in real life, clay can be man-made, by digging a pit and mixing earth and water there, after left alone for a nice time, the light particles of clay would float to the top, and could then be harvested.
 * Clay can be easily found in the middle of an expanse of water. When sand is on the surface or a block under, there is a chance that clay is there, too. Use a boat to find these areas.
 * If inventory space is tight, clay balls can be formed back into clay blocks using the 2x2 inventory crafting grid. As blocks, clay can take up to 4 times less space, but in order to revert the clay blocks back into balls for smelting into bricks the clay blocks must be placed and destroyed again.
 * It is possible to spawn on Clay on a new world.
 * Very rarely, a cactus can be found spawned on a clay block.
 * A clay block is the equivalent of a brick block, as clay balls can be smelted into bricks, which, like the clay block, can be made in the 2x2 crafting grid (ignoring texture and explosion resistance).