On November 20, Xinhua News Agency quoted information from the Geological Bureau of Hunan Province (China) saying that geologists had excavated more than 40 gold veins at a depth of 2,000 meters below the Wangu gold mine in Pingjiang County.
At a depth of 3,000 meters, this gold mine is estimated to contain more than 1,000 tons of gold, worth 83 billion USD.
“Many drilled rock cores show gold,” said Chen Rulin, an ore exploration expert at the Bureau of Geology, noting that one ton of ore within 2,000 meters contains up to 138 grams of gold.
Liu Yongjun, deputy director of the Hunan Geological Bureau, said geologists used modern ore exploration technologies, including 3D geological modeling.
Test drilling around the peripheral areas of the Wangu mine also showed promising potential, according to Mr. Liu.
The latest discovery comes as gold prices surge to record highs amid rising global uncertainty, a weaker US dollar and strong demand from central banks.
China is the world's top gold producer, accounting for about 10% of global output by 2023, according to data from the World Gold Council.
The People's Bank of China (PBOC)'s gold share of total reserves reached 5.7% at the end of October. Official bullion holdings remained unchanged at 2,264 tonnes in October, for the seventh consecutive month.
In 2023, the PBOC surpassed all central banks, adding 225 tons of gold to its reserves. According to Statista, the country ranked sixth in gold reserves last year, behind Russia, France, Italy, Germany and the United States.
