A significant discovery of gold has been made in central China, with estimates suggesting a deposit of approximately 1,000 metric tons of high-quality ore.This find, reported by Chinese state media, is valued at around US$83 billion, potentially making it the largest gold reserve ever uncovered, surpassing the South Deep mine in South Africa, which holds about 900 metric tons.
World’s Largest Gold Reserve Worth $83 Billion In China
Why In News
- A significant discovery of gold has been made in central China, with estimates suggesting a deposit of approximately 1,000 metric tons of high-quality ore.This find, reported by Chinese state media, is valued at around US$83 billion, potentially making it the largest gold reserve ever uncovered, surpassing the South Deep mine in South Africa, which holds about 900 metric tons.
All You Need To Know
- According to the Chinese State Media, with an estimated value of 600 billion yuan, which is approximately Rs 6,91,473 crore, this may well be the world’s largest gold reserve, surpassing the 930 metric tonnes found in South Deep Mine, South Africa.
- Geological Bureau of Hunan Province announced that the deposit is located in Pingjiang County, where geologists have identified 40 gold veins at depths of up to 2 kilometers.
- Gold deposits form through various geological processes, often involving the movement of gold-rich fluids through rocks over millions of years. Hot, mineral-rich fluids circulate through fractures and cracks in the Earth’s crust.
- These fluids dissolve gold from the surrounding rocks and deposit it when conditions change, such as temperature drops or pressure changes. Preliminary assessments indicate that these veins alone could contain around 300 metric tons of gold.
- Advanced 3D modeling suggests that additional reserves may exist at even greater depths, possibly reaching up to 3 kilometers. Chen Rulin, a prospector from the bureau, noted that many drilled rock cores revealed visible gold, with core samples indicating that each metric ton of ore could yield as much as 138 grams of gold.
- This is particularly remarkable given that ore from underground mines is typically classified as high-grade if it contains over 8 grams.
- This discovery is expected to have big implications for China’s gold industry, which already plays a crucial role in global gold production, contributing about 10% of the total output. China already dominates the world’s gold market with reserves considered to be in excess of 2,000 tons earlier in 2024.
- The announcement has also led to an increase in gold prices as global demand for the precious metal continues to rise amid economic uncertainties.
- Experts remain divided on whether further significant deposits will be found worldwide, but this latest find suggests that economically viable reserves may still be plentiful.
Largest Known Gold Reserves
- The largest known gold reserves in the world prior to the discovery of the Chinese gold deposit include:
1. South Deep Gold Mine – South Africa
2. Grasberg Gold Mine – Indonesia
3. Olimpiada Gold Mine – Russia
4. Lihir Gold Mine – Papua New Guinea
5. Norte Abierto Gold Mine – Chile
6. Carlin Trend Gold Mine – USA
7. Boddington Gold Mine – Western Australia
8. Mponeng Gold Mine – South Africa
9. Pueblo Viejo Gold Mine – Dominican Republic
10. Cortez Gold Mine – USA
