Russia, is predicted to lead China in mining of Gold, in future years, per Fitch Corporation. In its analysis of Gold Mining Operations, Fitch thinks that the prodigious production rates of Gold mining will increase even further than present rates of production, in Russia.
China has taken a cautious view of Gold mining processes. Cyanide is used extensively in the conversion process. Mining raw ore; crushing and grinding; heap leaching with Cyanide; Carbon processing, to Dore; to smeltered purity is the methodology. Since Chinese populations are near present-day mining operations, a retardation of Au activities, in China, is the result.
China presently, has expanded its Au production desires to South America, where substantial Au mineralizations are located. In a large commercial transaction, the Chinese have wisely accumulated ownership interest in Argentina. Venezuela, with large Gold deposits, are of interest, and one can easily envision others locations of their possible future intentions: Bolivia, Chile, Ecuador, and Peru immediately come to mind by we, who consider such assets.
Russia has a enviable Au environment in which its mining companies deal: that is, large deposits of Gold, many being relatively distant from large populations. Since the cost effectiveness of Gold mining is certainly scalar, going from ‘Shaft’ Mining’ to “Open Pit’ Mining’ will lead to significant cost savings. ‘Up Front’ costs are much greater in the latter; for example, Excavators, Graders, Haulers, Shovels, and the like must be utilized. However, in ‘Shaft Mining’, with its ‘descent’ followed by ‘branching’, followed by ‘descent’, and then again, ‘branching’, is not very efficient. In shaft mining, ore grade quality is of extreme importance; one ‘follows the vein’ Typically, quantities are far less recoverable than in ‘Open Pit’ operations. . Open Pit’ mining, if Au deposits are of significant size, and ‘good’ ore grade quality, wins the scalar-efficiency race.
In Mining, beyond the day-to-day costs, risks and rewards, is the fundamental economic truth: Since the dawn of civilizations, Gold has been revered as of lasting value; ‘Ink printed on paper’ “Fiat Currency” has not. It will not endure as a steadfast measure of value. Even its composition is ‘weak’ compared to Gold. The alleged, 6,000 tons of Gold, said to be held by the U.S. Government, verifies that America also agrees with China and Russia about the inherent worth of Gold.
Reality: Metallic Gold, which came to Earth from outer space, is a ‘Heaven Sent’ enduring-value commodity; It makes ‘Fiat Currencies’ “fodder for fleecing the financial foolish”.