Chinese Gold Miner Claims Discovery Of Largest Ever Gold Mine

Tyler Durden's picture

Shandong Gold Group, China’s second biggest gold producer by output, announced on Tuesday that it has discovered deposits in eastern China containing an estimated 380 tons of gold reserves, which would represent the nation’s largest ever gold deposit.

According to a Tuesday statement that cited the company on sdchina.com, the Xiling mine in Shandong province told local authorities it had found 382.58 tons of gold reserves and that the volume could reach more than 550 tons once exploration is completed in two years. According to local media reports, the Xiling gold seam in eastern China is more than 2,000 meters long and 67 meters wide; operating at full capacity, the mine would have a life of 40 years, according to the statement.

The mine is located in the Laizhou-Zhaoyuan region of northwest Jiaodong Peninsula in eastern China's Shandong; the region has the largest gold deposits in the country. The mine is estimated to have the equivalent of 20% of the country’s 1,843 tons of gold reserves.

China had the fifth largest gold reserves in the world after the United States, Germany, Italy, and France. In July 2015, China ended six years of mystery over how much gold it has, revealing a 57% jump in reserves since 2009 when it last updated the figures. In November that year, China said it discovered another vast deposit of gold beneath the seabed of the East China Sea. At the time, the Chinese media claimed the deposit situated at a depth of 2,000 meters held 470.47 tons of gold.

As Bloomberg adds, Shandong Gold Mining saw its shares rise as much as 2.8% in Shanghai. The listed unit said Monday that net profit doubled to 1.29 billion yuan ($187 million) last year from a year ago as gold prices rebounded.

Chinese gold companies have been stepping up their search for domestic deposits and eyeing acquisitions as the nation seeks to increase reserves by 3,000 tons to as much as 14,000 tons by 2020, the Ministry of Industry and Information Technology said last month. That amount of holdings would propel China into first place globally for official gold reserves.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
NugginFuts's picture

Is this going to be as good as their other domestic products?

tmosley's picture

What do you call a hole with a liar on top?

barndoor's picture

Apparently the ore is in the form of $1,000,000 Canadaian Gold Maple Leaf coins....

pickupthatcan's picture

I can't imagine how much tungsten can be wrapped with 380+ tons of gold. What a windfall.

NidStyles's picture

I thought that was obvious.

 

The Chinese want to buy more at cheap prices.

beemasters's picture

In case you're still not aware, only paper gold controls the price.

SoilMyselfRotten's picture

What do you call a hole with a liar on top?

 

Hillary?

Herd Redirection Committee's picture

What, huge gold reserves, and all we have to do is take your word for it?

"Shut up and take my money!"

Deathrips's picture

I was going to say the american public is a hole that a liar on top is fucking?

 

FUCK THE FED.

 

RIPS

Lore's picture

The Chinese don't export domestic production, and any hypothetical production would be years away, so this is inconsequential to the global market. Regardless, it would be interesting to see some geological details.

Grave's picture

how about one of the larger russian deposits, such as sukhoi log which has over 2000 tons of unmined gold

buttmint's picture

Bix Weir has stated the USA has much more gold stashed in the Grand Canyon.
I wonder what that dude has been smoking?

Bytor325's picture

Fred C Dobbbs is booking passage to China as we speak

Offthebeach's picture

Assay? We don't got no...we don't neeed no stik'n assay!  We Chinese, you know, honest.  Now give us your fiat and...and.... we let you ride on.

Uchtdorf's picture

I thought that was Geraldo Rivera.

Sanity Bear's picture

You'll know the gold is real if ISIS shows up in the area.

Rich Stoehner's picture

If it is gold, you can bet those Chinese will have it all dug up in about 3 months.

NidStyles's picture

Hey we found where Fort Knox went.

Buck Johnson's picture

LOLOLOLOLLOL!!!!!!!!  No kidding.

 

Killer the Buzzard's picture

"What do you call a hole with a liar on top?" -- Bill Clinton

3LockBox's picture

Seems these stories always have a way of coming out while price is rising.

40 years of mining?

And why announce it so soon?

I guess they have alot of faith in the Chinese gov?

Discovered Nazi gold, Japan Gold hoard, Antartica finds, Gold mining in outer space, etc. etc. etc.

BULL CACKA

SWRichmond's picture

What do you call a hole with a liar on top?

What do you call a hole in the ground with a liar standing over it?
Silver Bug's picture

Amazing news for China, at least they place a strong value on hard money, the West appears to of completely lost their way in this regard.

 

http://www.goldsilverliberty.com/2017/03/is-demand-for-physical-gold-rea...

walküre's picture

Ve do not talk aboud zis sings, Herr Silver Bug

Winston Churchill's picture

You must be young.

I remember when "Made in Japan" signified junk.

Theat phase lasted around 15 years, its a learning cycle.

Troy Ounce's picture

 

The biggest gold stash in the world is digital. Worth trillions. If you want you take it with you on a stick.

Richard Chesler's picture

The chinese have'd 27 years and show no sign of learning...

NidStyles's picture

The Chinese are most certainly not the Japanese.

 

Not even close.

SmedleyButlersGhost's picture

How long does the radioactive phase last?

GunnerySgtHartman's picture

The Chinese have the capability of building very high-quality merchandise now, but there is no advantage to doing so.  I know a guy who spent years with a major supplier of woodworking tools, and he asked their marketing people why they source the cheap stuff from China and the expensive stuff from the USA.  He was told that when you start sourcing high-end, high-quality stuff from China, the Chinese cost of production rivals the US cost of production - and the shipment delays for high-quality Chinese merchandise can be absolutely intolerable.  So they source only the cheap stuff from China.

This may not necessarily be true for other industries ...

moonstears's picture

Winston, an exceptional American, like ALL Americans (here it fuckin' comes, lol), Edwards Deming, was responsible for the Japan quality later, fact!

Consuelo's picture

 

 

I saw what you did there...   Good on you for keeping it accurate ---

 

indeed, the keyboard I'm punching away at right now, along with its contemporary which I am looking at, along with his counterpart whose job it is to sort all this hash out - and has been doing so quite faithfully for 5+ years running at a minimum of 12 hours/day, is ~all~ made in China.

NugginFuts's picture

Ever used a knife made with Chinese steel? Ever bought a car component made in China? Ever bought a watch made in China? Ever bought a tablet made in China? Hell, ever bought ANYTHING at Walmart?

All junk. Quality has never been a goal of the Chinese, only cheap junk. 

SubjectivObject's picture

China Syndrome

but the surface finish looks fabulous

 

MEFOBILLS's picture

China companies make qualiity when you specify it.  If it is spec'd, and the price is correct, and there is quality control, then the output is good.  

What?  Are Chinese somehow congenitally unable to follow economic logic?  Also, a population goes through learning curves - their learning curve is fast given that most of the population was peasants only 20 years ago.

 

Uncle Sugar's picture

Farm raised Chinese tilapia.  Fi star!

ToSoft4Truth's picture

What did you put into your block, Henckels or the Chinese junk?

NugginFuts's picture

Henckels all the way. Stay sharper longer. Got one Chinese blade you have to sharpen after nearly every use. 

walküre's picture

I found knives at an Italian farmers market two years ago. Bought a few knives each worth about 20 bucks. Use 'em daily and haven't sharpened any of them yet. Still super sharp and no rust, no wear. The bread knife has been used to cut small twigs and other stuff. Best knives I ever bought. The mark-up on good knives is crazy high.

Note to self, go back to Italy and buy crazy good stuff at Italian farmers markets.

Overfed's picture

Every single bit of the computer you are using was made in China. With maybe the exception of a few pieces of amorphous silicon that were made in the US or Japan.

Same with your phone, TV, clothes, etc.

NugginFuts's picture

Samsung TV: made in Europe.

Samsung Phone: 50% chance it was made in Vietnam; 5% chance made in China

https://www.reference.com/business-finance/samsung-products-made-891e3f5...

HP Computer: mostly U.S.

https://www.cnet.com/news/hp-to-apple-hey-we-already-make-pcs-in-the-u-s/

Clothes: Old Navy - Bangladesh

http://www.businessinsider.com/hard-to-find-ethically-made-clothing-2013-5

I avoid Chinese made products whenever possible. 

Mentaliusanything's picture

Yes Chinese can make some very high end stuff like Seagull watch movements (so good Timex and Fossil use the basic mechanical ones). Their Flying toubillons are all made for the Swiss (Swiss made my ass).

Some of the "things" they make, you cannot afford but as always their is a market if you have the folding.

Scroll to the bottom and read through the lines. as the Swiss get very upset when you mention "IT"

https://en.wikipedia.org/wiki/Tourbillon

 

GunnerySgtHartman's picture

I didn't know that you could mine paper gold.

Hongcha's picture

I would love to buy me some but she only appears to trade on the HK exchange.