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Largest Ever Chinese Gold Reserve Found But There's Just One Problem
Largest Ever Chinese Gold Reserve Found But There's Just One Problem
Written by Nathan McDonald (Click for Original)
Gold is an incredibly rare, valuable and thus highly sought after asset. This is just as true today, despite what Western mainstream media would have you believe, as it has been for thousands of years.
When you pick up a solid gold bar for the first time in your life (an experience I recommend to all) you come to the true realization that "this is money". Not the phony fiat nonsense that governments around the world have manipulated the masses into saving their life's wealth; not some IOU that they tell you will "one day" have value.
The Chinese government and its people know this more than just about any other country in the world, perhaps only rivaled by Russia and India. Because of this fact, they are now the worlds largest producer of gold and one of the largest "official" holders of the yellow metal.
This connection to gold runs deep within the Chinese population and there is a strong desire to continue on with this trend. The only problem with this fact goes back to my opening paragraph, gold is rare.
Not only is gold incredibly rare, but it is becoming increasingly more difficult to find new reserves. To make matters worse, much of the easy to mine gold has already been discovered and mined, leading exploration companies to search for the king of metals in locations where the ore is becoming increasingly difficult to extract.
One such search has hit the motherload. The Shandong Provincial No. 3 Institute of Geological and Mineral Survey on Monday announced that they have discovered the largest ever Chinese gold deposit.
The only problem? It's 2000 meters undersea. This discovery which is located in Laizhou, eastern ?China’s Shandong province, is estimated to contain 470.47 tonnes of gold. This amount is truly staggering and equates to approximately $16 billion US dollars, based on current gold prices.
The magnitude of a project to acquire this gold should not be overlooked. Yes, offshore mining technology has come a long way, but the cost to achieve the end results may make the venture utterly unprofitable at current market prices.
Yet the true takeaway from this story is the fact that companies are having to venture further and further into completely undesirable locations to find new reserves and should point out the fact that eventually prices WILL make these ventures profitable.
The reality is, the world isn't creating anymore gold. As the global economy continues down this path of uncertainty there will be one asset that the world will turn to in its hour of need more than any other- the king of metals, gold.
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"When you pick up a solid gold bar for the first time in your life (an experience I recommend to all) you come to the true realization that "this is money"."
Utter BS, it is just heavy and very much like lead in that respect.
Gold is not money unless minted as a coin and stamped with some face value (fiat) which may or may not represent the cost of mining it - essentially the supply of food, shelter, clothing, etc. which miners need and with a medium exchange other than the gold they mine, whether it be silver, copper and nickel coins, or paper or digital money/medium of exchange/legal tender.
I guess paper gold has to go to 300x before it's economically feasible?
I heard a debate on Greg Hunter's show where it was said that if gold had to back global world trade (never mind crap like derivatives) it would have to be 'worth' about $250,000 per ounce ... so who is going to risk carrying a one ounce coin, or shipping a ton of the stuff to settle some major trade.
The Gold Standard is a load of crap and has never applied, ever since the Romans clipped coins and medieval goldsmiths began fractional reserve banking.
"This amount is truly staggering and equates to approximately $16 billion US dollars..."
Whenever I hear stories like this I just have to wonder. Is $16 billion US really that much? We were printing $85 billion/month for how long? Printing is easier than mining.
Darling it's better, down where it's wetter, take it from me
That reads much dirtier than when Sebastien said it.
Since gold is just a barbarous relic and/or rock why would they go through the trouble of finding it then obtaining it?
Planetary Resources Inc. and Deep Space Industries Inc. have another plan: http://mic.com/articles/115786/the-next-great-gold-rush-won-t-be-taking-...
I'm sure they have figured out the price of platinum and gold that will trigger their IPOs.
http://qz.com/547119/congress-has-passed-the-first-us-space-law-for-aste...
So, what's the big deal....it's like Fort Knox...."just trust us, we have a lot of gold" even if no one is ever able to see it or touch it.
So it is like the US "deep storage reserves"??
"The surveyors say they may have run into some quicksand up ahead. Better check it out"
"Okay, I'll send down a team of horses to check out the ground"
"HORSES? We can't afford to lose any horses, you dummy!"
Is the gold in lode form or aluvial?
In my experience, where there is lode gold there is aluvial in a historic "channel" below it.
I know how to recover the aluvial, it doesn't matter if it's in the bottom of the Marianas Trench! In fact, look in all the lowest spots in the world, the gold in our sluice box always finds the lowest spots when we're gold mining in the Klondike.
Gold as money isn't perfect, but it's a damn sight better than any alternatives that can be printed to infinity by institutional thieves.
Look at that! Even the Chinese are having 'boating accidents'...
That's one of the things that can happen when your transportation arrangements are junk.
Take total net worth of everything you own and divide it by the current cost/oz, in USD, of gold. This will give you how many ounces of gold you are worth. Do the same next year. If you are worth more ounces of gold, you are wealthier. If not, you are poorer. The problem with gold (and silver) are that we tend to value them only in relation to the fiat dollar, which itself is the source of manipulation.
Wealth is a very nebulous concept. An ounce of gold will buy your far more today than 100 years ago; the price of reptetive labour is much lower now, so clothing, for example, relative to gold is much lower.
Certainly, ounces of gold is a better measure than fiat, but it is still not a cast iron relationship.
Wealth is human labour, which has different value in different circumstances.
Maybe the Annunaki will come back and open up a fresh mine. Only problem is we are the slave labor.
Wouldn't people shit themselves if this happened! More likely than the return of Jesus or any of those other crazy stories.
Shovel ready jobs.
If you like your doctor you can keep your doctor.
Your insurance will be $2500/year cheaper.
Even after they break into the vein of gold bearing ore and bust it up, they still have to haul it a mile straight up. Thousands of tons of it. Gold prices will have to be a lot higher before they even begin to move on this.
There are many tons of almost pure gold beneath the shallow waters of the Caribbean.
Spanish galleons loaded to the gunnels sank all the time, and most of those wrecks are still out there someplace.
That's where I'd be prospecting.
The world might not be making any more gold (The world never made any gold to begin with), but stars sure are... After the first asteroid is mined, which is probably a decade or so away, even gold prices will be smashed... Cryptocurrencies are the the long term solution, IMO.
Don't worry... Global Warming® (since rebranded Climate Change®, since rebranded CO2 Pollution®, since rebranded Climate Disruption®) will kill us all first.
can't we just ask the dolphins to get it?
this "story' pulled my chain....& I don't like that
Just build an island in the ocean on top of the gold - then sink a shaft right down the middle.
Then at least the US would have a reason for wanting to take it over.
Seen these resource estimates before: X x Y x Z multiply by grade plucked straight from the sphinkter. Reserve is likely zero due to recovery of zero. BFS is done, now let's raise some money?
Miles long asteroids will be found made of solid gold, silver and platinum. I'd suggest THIS as a business enterprise for the adventurous.
Get the Glomar Explorer cranked up, it has some big ass claws to just rip it out and up.
2000 meters is no problem. Yes the initial set up costs will be high but solutions to engineering problems will be found. Its simple really, once the bulk of problems are solved China will be in a position to help mine other deposits some probably in teritories own by other countries. A wothwhile inverstment if you ask me.
Max
Bullish for Transocean
Lemmie guess - a boating accident?
Only worth about 16 billion - what is that? About 3 days of selling UST. Sell the UST and pick up 400 tons to take home. Simple
There are mountain sized diamonds in the middle of the planet. All cool and stuff but if you can't get there, it means shit.
That gold will be mined. In the future. About 100 years from now.
And maybe that's not a bad thing. Why shouldn't future generations have a shot at actually making money because alll they'll get is dry sand and ordinairy rocks.
Sink a mining shaft on dry land.
Tunnel over to the deposit.
Use more shoring than you normally would.
Mine the living rat fuck out of the deposit.
Send me my 10% consultation fee for the metal recovery plan.
Thank you, thank you very much.
What could go wrong? Rhetorical ... don't answer. Good luck with that plan.
Hey! That's exactly where I was rowing when the bottom of my boat fell out!
So whats that mean...there's an extra 2 ounces sitting on top of that 400 ton deposit?
If someone offered you 16 Billion U.S. dollars or 470 Tonnes of Gold.
Which would you choose?
Id pick the gold I think.
But I would probably sell 15% of it to build a fortress to put the rest of the gold in.
Unless I could find a supplier and contractor willing to deal in gold.
Which works also.
16 Billion dollars is not all that impressive anymore.
What a waste of a life. Persuing a thing you can't take with you and guarding it until the inevitable day. Screw that! Make enough to live a good life and go experience this life. Oh, that so called fortress won't keep out the determined if the force is good enough.
A billion dollars isn't what it used to be - Nelson Bunker Hunt
if they dig a big enough hole in the ocean floor, won't it help compensate for rising ocean levels? Gore would be supportive of this initiative.
Hire Andre Maginot´s ghost to organize your castle´s defenses while you are at it.
I suspect it's entirely fictional.
There was me wondering how the Chinese were going to admit they have 25,000 tons of gold in the vault and not the trifling 2,000 they've been admitting to so far, without looking like, well, massive liars.
The answer is before us - an unverifiable deposit that they don't even need to mine.
They can just CLAIM that they've mined it, then report the 400 tons.
Next month there will be another, and then another.
Watch how fast we get from 2,000 tons to 25,000 tons.
It's a nice move.
Efficient.
It's very believable. China's biggest gold mines are in the area. The new discovery is directly offshore from the Cangshan open pit gold mine, one of the most productive mines in China.
Agreed, especially since the sea around there is nowhere near 2000 metres deep.
More dis-info from Sprott.
Brought to you by The U of T, the CBC, and Barrick.
Exactly. Why wouldn't have China been buying up gold these past 20-whatever years the U.S. has been handing over all its industry and sending its legendary "consumer" spending over there? And like any smart hoarder why wouldn't they not admit it? Spot on analysis. So how does the Nazi Gold Train figure in?