The world’s largest gold reserves worth $83 billion were discovered in China

A significant gold discovery has been made in central China, with estimates indicating deposits of approximately 1,000 tons of high-grade ore.

The find, according to Chinese state media, is valued at about $83 billion, potentially making it the largest gold reserves ever discovered, surpassing South Africa’s South Deep mine, which holds about 900 metric tons.

Hunan Provincial Geological Survey 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 are formed by a variety of geological processes, often involving the flow of gold-rich fluids through rocks over millions of years. Hot, mineral-rich fluids circulate through cracks and fissures in the Earth’s crust. These fluids dissolve gold from surrounding rocks and deposit it when conditions change, such as a drop in temperature or a change in pressure.

Initial assessments indicate that the veins themselves may have contained approximately 300 tons of gold. Advanced 3D modeling suggests that additional reserves may exist at even greater depths, up to 3 kilometers.

Chen Rulin, a prospector at the office, noted that many of the drilled rock cores revealed visible gold, and core samples showed that as much as 138 grams of gold could be obtained from each ton of ore.

This is especially remarkable considering that ore from underground mines is typically classified as high grade if it contains more than 8 grams.

The discovery is expected to have major implications for China’s gold industry, which already plays a key role in global gold production, producing about 10% of total production. China already dominates the global gold market, with gold reserves estimated at over 2,000 tonnes in early 2024.

The announcement also led to an increase in gold prices as global demand for the precious metal continues to grow amid economic uncertainty.

Experts are divided on whether further significant deposits will be discovered around the world, but the latest discovery suggests that economically viable reserves may still be plentiful.