China discovers massive gold reserves that could be the largest in the world

A significant deposit of gold has been discovered in China’s Hunan province, with experts estimating its value at around £66 billion. The discovery, reported by the Geological Bureau of Hunan Province (GBHP) on November 20, 2024, is being described as one of the largest known deposits of the precious metal. According to mining experts, the deposit, located in the Wangu gold field, is estimated to contain up to 1,100 metric tons of gold, making it possibly the largest single deposit globally.

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report indicates that more than 40 gold veins were identified during drilling operations at a depth of 2,000 metres. Visible gold was observed in many of the rock cores recovered, with some sections recording a gold grade of 138 grams per metric ton of ore. Mining experts estimate that the reserves could extend to a depth of 3,000 meters based on advanced 3D modeling done during the exploration phase.

Chen Rulin, GBHP’s ore-prospecting expert, said during a statement to Chinese state media that the deposit represents an extraordinary concentration of gold. Additional reserves may exist in nearby areas, as shown by preliminary testing exercises conducted beyond the primary site.

global implications

According to the report, if confirmed, the new discovery would exceed the gold reserves of South Africa’s South Deep mine, which holds about 930 metric tons. Experts cautioned that the discovery, although monumental, would only partially meet China’s gold consumption needs. Currently, the country produces 10 percent of the world’s gold, but consumes three times as much, and is heavily dependent on imports from countries such as Australia and South Africa.

economic impact

As reported, following the announcement, gold prices rose to around GBP 2,180 (roughly Rs. 2.3 lakh) an ounce, a record high hit earlier in the year. The discovery is expected to impact both global markets and domestic mining operations as extraction plans progress.