China discovers world’s largest underground gold deposit worth over $80bn

China has uncovered the world’s largest known gold deposit, estimated to be worth over $80 billion. Located at the Wangu goldfield in central China, this massive discovery could yield more than 1,000 tonnes of gold, according to the Geological Bureau of Hunan.

The site in Pingjiang County, Hunan Province, contains 40 gold veins, which are long, narrow channels filled with gold, at a depth of about one mile. Early test drilling has already revealed 300 tonnes of gold, with further reserves potentially existing at greater depths.

Drilled rock cores have also shown visible gold, and additional test drills have found more gold around the peripheral areas of the site, suggesting the deposit may be even larger.

If the gold deposit is fully realized, it could generate more than 600 billion yuan, or about $83 billion (£65 billion). This discovery has caused a rise in global gold prices, although future trends remain uncertain due to global geopolitical tensions.

With China’s increasing demand for gold amidst worldwide uncertainties, the find is also seen as crucial for strengthening the country’s resource security.

The Wangu goldfield is a key mining area for China, with the country investing nearly 100 million yuan in mineral exploration there. As of 2023, China produces roughly 10% of the world’s gold and is a global leader in mining and precious metal production, particularly for the growing industries of electronics and battery technology.

The nation also leads in the development and export of mining technologies, including efforts to reduce carbon emissions in mining processes.