WGC: Gold Mine Supply Hit Fresh Record in H1 This Year

SEATTLE (Scrap Monster): The total gold supply surged higher during the initial six-month period of the current year, mainly driven by robust growth in mine production. The total H1 supply was 2,460 tonnes, higher by 5% from the previous year. The mine production was up by 3% year-on-year to touch the highest H1 level on record.

According to the latest Gold Demand Trends Report published by the World Gold Council (WGC), the total gold supply during Q2 this year was 1,255.2 tonnes, significantly higher by 7% upon comparison with 1,176.6 tonnes in Q2 ’22. The supply growth was primarily on account of 4% increase in mine production and 13% jump in recycled gold supply. Also, the H1 recycling volumes hit the highest level since 2016.

In the second quarter, South African mine production spiked by 29%. The ramp ups at Bibiani and Obuasi mines contributed to 20% year-on-year increase in Ghana’s mine production. The U.S. and Russian gold mine production too surged higher by 11% and 7% respectively in Q2 this year. On the contrary, mine production from Sudan, Argentina, Cote d’Ivorie and Australia recorded decline over the previous year.

Region-wise, Africa posted the biggest jump in mine production, followed by the CIS countries and the U.S.

Going by the current trends, the global mine production is expected to hit a new all-time high during the current year, surpassing the previous record of 3,656 tonnes in 2018.