Given recent events, Wangu could become one of the most important and profitable gold mines in China. This is due to the discovery of a gold deposit in Hunan Province, in the Jiangan orogenic belt. This finding was guided by the Geological Office and the Hunan Provincial Institute of Geology, and it contains more than 1,000 tons of gold at depths greater than 2,000 meters. The estimated value could reach around 600 billion yuan, but these are only preliminary figures, as drilling and analysis are still pending.
More than 315 tons of gold had already been detected previously, thanks to structural mapping and the development of 3D models applied to drilling. Chen Rulin, from the Geological Survey, explained that some cores even showed visible gold, whose profitability depends on the continuity of the thickness of the mineralized zones. Furthermore, the deposit is located in an area where the fractures are deep, with the presence of quartz veins and normal hydrothermal alterations associated with gold mining.
Gold in China
China has joined the race to become a leader in the gold economy, and with the latest discovery, it could take the lead. The find includes a deposit of more than 1,000 tons of gold. It is the Wangu deposit, in Hunan Province, in the south-central region of China, located on the southern bank of the middle course of the Yangtze River. It is situated in the Jiangan orogenic belt, where the Geological Office and the Hunan Provincial Institute of Geology led the survey. Excavation and drilling activities have already begun, but there is still much work ahead.
What is the value of the deposit?
The more than 1,000 tons of gold are located more than 2,000 meters deep. Initial estimates are around 600 billion yuan (approximately $84,000), although this is not the definitive value. Further drilling and analysis of the area will determine the size of the find. In addition to its value, the deposit is located in a place with more than favorable geological conditions. The fractures are deep, quartz veins are visible, and it has hydrothermal alterations typical of gold deposits.
Previous analysis
Before carrying out the research that led to the discovery of the deposit, more than 315 tons of gold had already been detected in northeastern Hunan. These drillings have been carried out by mapping structures and developing 3D models to be more precise and define continuity in drilling. According to Chen Rulin from the Geological Survey, “some cores showed visible gold, with profitability depending on the continuity and thickness of the mineralized zones”.
The profitability of the extraction process depends almost directly on the depth at which the minerals are found, as mining costs increase considerably. Using these updated models with the intention of reaching the core, scientists will continue drilling with the goal of maximizing the profitability of the gold found. However, it will be necessary to wait to be able to provide a figure that values the discovery made (if it can be calculated).
Impact on the economy, society, and the environment
This gold discovery could affect the region on many levels. There would be no doubt about an increase in foreign investment in Chinese gold mines, which would lead to new jobs and the development of the mining industry. Although this could mean an increase in the purchasing power of the local population, it is true that it could also negatively affect working conditions, housing, and other social aspects. Furthermore, experts have also expressed concern about the potential excessive mining activity in search of minerals that are yet to be discovered.