Produced by: Tarun Mishra Designed by: Manoj Kumar
Chinese state media reports the discovery of an estimated 1,000 metric tons of high-quality gold ore in Pingjiang County, Hunan Province. Valued at $83 billion, the deposit could surpass South Africa’s South Deep mine, which holds about 900 metric tons, as the world’s largest gold reserve.
The Geological Bureau of Hunan Province identified 40 gold veins at depths of up to 2 kilometers. Preliminary studies suggest additional reserves could be located at even greater depths, possibly reaching 3 kilometers.
Gold deposits form over millions of years through geological processes. Hot, mineral-rich fluids circulate through fractures in the Earth’s crust, dissolving gold and depositing it under changing conditions such as temperature drops or pressure shifts.
Drilled rock cores from the site revealed visible gold, with ore samples yielding as much as 138 grams of gold per metric ton. This significantly exceeds the high-grade classification for underground mines, typically defined as 8 grams per metric ton.
Preliminary assessments estimate that the identified veins alone could hold around 300 metric tons of gold. Advanced 3D modelling hints at further unexplored reserves, which could enhance the deposit’s significance.
The announcement has already influenced global gold prices, driven by increasing demand amid economic uncertainties. This discovery is set to boost China’s role in the global gold industry, which currently accounts for about 10% of the world’s output.
Credit : Xinhua
China, the world’s leading gold producer, reportedly had over 2,000 metric tons of reserves earlier in 2024. This new find further solidifies its position in the global gold market.
While experts debate the likelihood of uncovering more large-scale deposits globally, this discovery underscores the potential for economically viable reserves to be found. It also highlights the continued significance of advanced exploration techniques in identifying such resources.