China recently announced the discovery of the world’s largest known gold deposit, estimated to be worth over $80 billion (£63 billion). The massive deposit was found at the Wangu goldfield in central China, with the potential to yield more than 1,000 tonnes of gold, according to the Geological Bureau of Hunan as reported by Chinese state media.
Geologists at the bureau identified 40 gold veins around a mile deep in Hunan province’s Pingjiang county. These veins are long and narrow openings in rocks that are filled with gold. Initial estimates suggest that these rocks alone may contain around 300 tonnes of gold, with the possibility of more reserves at deeper layers.
Chen Rulin, a geologist and ore prospector at the bureau, mentioned that many drilled rock cores showed visible gold, indicating the potential richness of the deposit. Test drills conducted near the site’s peripheral areas also revealed additional gold, hinting at the possibility of an even larger deposit.
Overall, it is believed that there could be over 1,000 metric tonnes of gold at the Wangu goldfield, which, at current prices, would amount to more than 600 billion yuan, or about $83 billion (£65 billion). The announcement of this discovery caused global gold prices to rise, although the long-term outlook is uncertain due to geopolitical tensions worldwide.
The demand for gold has been increasing in China, especially amidst global uncertainties. The Hunan Provincial Geological Institute stated that this new find could play a significant role in safeguarding the country’s resource security. China has heavily invested in mineral exploration in the Wangu goldfield, allocating nearly 100 million yuan for this purpose.
As of 2023, China produced approximately one-tenth of the world’s gold and remains a key player in the global mining industry. The country leads in the production of precious metals essential for creating new technologies like batteries and electronics. Additionally, China is at the forefront of developing environmentally friendly mining technologies to reduce carbon emissions during the extraction process.
