China discovers €166 billion gold deposit

Over the weekend, Euronews reported a milestone for China’s mining sector: the country has confirmed its largest gold discovery since 1949. The newly identified Dadonggou deposit in Liaoning province is estimated to hold around 1,444 tonnes of gold, contained within more than 2.5 million tonnes of ore.

Fast pace

What’s drawing attention is not only the scale of the find, but also the pace. The state owned Liaoning Geological and Mining Group mobilised nearly a thousand specialists and finalised exploration in just 15 months , exceptionally fast for a deposit of this magnitude. According to China’s Ministry of Natural Resources, the resource is classified as “ultra-large,” albeit low-grade, and has already passed its preliminary economic assessment.

Over €166 billion

At current market levels, the gold in situ would be valued at over €166 billion. With gold trading at record highs this year, surpassing €115,000/kg, the discovery lands at a time when global appetite for the metal is stronger than ever.

Limited information

Interestingly, officials have disclosed only that the site lies somewhere in eastern Liaoning, leaving the precise location unspecified. That limited transparency has fuelled speculation about the strategic importance of the deposit.