‘Peak Gold’ in 2015? – Goldman Sachs Research Warns of Peak Gold Production
By: GoldCore
GoldSeek.com
Monday, 30 March 2015
Goldman warns that peak gold may happen in 2015
New report says there are only “20 years of known mineable reserves of gold”
Discoveries of new sources of gold production peaked in 1995 despite major bull market
Production lags new finds in 20 year cycle – Indicates 2015 may be year of peak gold production
Production in major gold mining countries has dropped in recent years
This will provide support and should lead to higher prices in long term
For many years, we have written about ‘peak gold’ and the ramifications of the underappreciated peak gold phenomenon for the gold market.
Major gold mining countries have seen declines in their gold production in recent years despite the strong bull market of the last decade.
On Friday, Zero Hedge highlighted a report from Eugene King of Goldman Sachs which supports our assertion. According to King, there are “only 20 years of known mineable reserves of gold and diamonds.”
Discoveries of new, mineable gold reserves peaked in 1995 at around 140 million ounces. This followed steady annual increases since 1991 when global discoveries were at around 60 million ounces.
In 2013, new discoveries totalled less than 10 million ounces. While this, in part, reflects the severe pullback in gold prices – and hence, profitability of mining – data shows that new discoveries were in decline even as gold prices continued to rise.
Following the 1995 peak, new discoveries have been in a dramatic downward trend. Discoveries rose from 2002 till 2008 along with gold prices.
The Rest…HERE
