The media outlet wrote that a spokesperson from Ugandas Ministry of Energy and Mineral Development told it that recent exploration had revealed the discovery of 31 million tonnes of gold ore from which 320,158 tonnes of refined gold could be mined. It generally takes several years, although this varies greatly depending on location. To make matters worse, other places have discovered large amounts of gold in the last few years. Gold is resistant to corrosion and most acids and has unique properties distinct from other metals. And yet, the country is still in its early days of development. Binyina told The Independent that the Chinese investors, who have so far reportedly sunk about US$60 million and intend to invest close to US$ 200 million over the next couple of years in the mine in Busia, wouldnt have put up such an investment if they had not done the required appraisals. It should be a policy that the DGSM should be given the opportunity to do such analysis before senior government officials make pronouncements, he says. Just in 2022, the Ugandan government announced a new gold discovery that seems to have shaken not only the country, but also the jewelry industry. Most of the deposits were discovered in Karamoja, a parched sprawling area in the country's northeastern corner on the border with Kenya. Blockchain technology is uniquely positioned to enhance and improve various aspects of the music industry. So why are people still talking about it? Have Ugandas 30 million metric tonnes of gold ore been subjected to this kind of assessment? Most of the deposits were discovered in Karamoja, a parched sprawling area in the country's northeastern corner on the border with Kenya. Gold is sprinting towards its best week in four months. Through the Uganda Free Zone Authority (UFZA), a government agency established for the purposes of creating opportunities for export-oriented investments, is trying to attract foreign investors to sector, which is otherwise dominated by informal mining, by offering tax incentives. India's share in the global gold production is less than 0.05 per cent. It also includes Ngugo in Kassanda District, Kisita and Kameleng in central Uganda, and Bushenyis Tiira in the west. The code will see the establishment of the Uganda National Mining Company which, under the new bill, will hold 15% free equity in all large and medium mining ventures, as well as have the right to buy up to 20% of extra shares in the mining ventures at the commercial rate. Processing gold involves transforming rock and ore into a metallic alloy of substantial purity - known as dor - typically containing between 60-90 per cent gold. Most of the worlds gold mines operate with an average head grade of about 1 g/t4 g/t. I dont know whether they mean 30 million ounces or 30 million metric tonnes of gold because those two measurements are different. Once the gold is purified, it is smelted and pressed into gold bars to be sold in the market. Typically, a high-quality underground gold mine will yield 8 to 10 grams of refined gold per metric ton of gold ore, according to the World Gold Council (WGC), while a marginal quality mine generates 4 to 6 grams per metric ton. The bottom line is larger gold reserves tend to lower the value of the metal, due to the increased supply, White said. Binyina says this could perhaps explain why Uganda is yet to see the big boys of the global gold industry pitch camp in Uganda nine months on. The media outlet wrote that a spokesperson from Uganda's Ministry of Energy and Mineral Development told it that recent exploration had revealed the discovery of 31 million tonnes of gold ore from which 320,158 tonnes of refined gold could be mined. 320,000t of gold introduced at pace would collapse the price. Kampala, Uganda | RONALD MUSOKE | Last year, on June 07, during his State of the Nation address, President Yoweri Museveni announced that Uganda had found up to 31 million metric tonnes of gold with extractable pure gold estimated to be about 320,000 metric tonnes valued at US$ 12.8 trillion. It will also likely make "significant waves" in the global gold market, according Jon White, director of Gold Traders, a London-based firm which buys and sells the precious metal. And the Ugandan government is saying its country has a massive ore resource with an average grade over 10,000 g/t. Linked items may create a financial benefit for Heresy Financial.#Uganda #GoldDiscovery #YoweriMuseveni Uganda's President Yoweri Museveni recently announced the find in a speech at the UN General Assembly. The total world gold supply comes from mining and recycling above-ground gold stocks. The rates are updated every few minutes and are updated more frequently at times of strong price moves . And the very first sentence of the Reuters article says Uganda wants to attract big investors to develop the sector hitherto dominated by small wildcat miners. So its more than possible its an extreme exaggeration or intentional mistake to attract investors. Good news is piling up for Uganda. Were here to provide you with investment ideas outside of the mainstream, like cannabis was 10 years ago or electric vehicles were a few years before that and, yes, even Bitcoin. Guyana has discovered nearly 11 billion barrels of offshore crude reserves, and the country is hoping that oil can help transform its economy and offset its ongoing poverty crisis. And its for both of those reasons (and more) that, Were here to provide you with investment ideas outside of the mainstream, like cannabis was 10 years ago or electric vehicles were a few years before that. After making the announcement, the Ugandan government said it will be seeking investment from mining companies to extract the gold. A Chinese-run firm, expects to mine and start refining at least 5,000 kilogrammes of gold a day in Busia by the close of this year! every single ounce of gold that has ever been mined. Mining in the region has been subject to a Human Rights Watch investigation, which was critical of miners for environmental damage caused and not providing compensation for those whose land was impacted by the work. The answer partly lies in the international mechanisms that have been put in place for reporting new mineral discoveries around the world. $12.8 Trillion In Gold Deposits Discovered In Uganda Derek Wolfe Updated: June 15, 2022 Editor's Note: EDITOR'S NOTE: Uganda just announced a major gold deposit worth $12.8 TRILLION! If that discovery was authentic, you would have seen the big boys; the Ashantis, and Barrick Gold come into Uganda. The African country of Uganda announced it has discovered a gold deposit of 31 million tonnes of gold ore, with an estimated extractable pure gold gross of 320,000 tonnes and an estimated total value of USD$12 Trillion. All quotes delayed a minimum of 15 minutes. For foreign mining firms looking to operate in Uganda there will also likely be political and corruption risks to consider. The discovered gold is expected to mine the country in excess of a whopping $12 Trillion. Muyita said Wagagai, a Chinese company, had set up a mine in Busia in eastern Uganda and was expected to start production this year. (By Elias Biryabarema; Editing by George Obulutsa and Mark Porter), Your email address will not be published. White noted at the time that there had actually been a decline in the value of gold, particularly in the U.S market and the U.S dollar had gained in strength. During the first quarter of 2022, the companys Macassa mine had an average head grade of almost 17 g/t. Another reason gold works well in terms of value is that gold does not readily oxidize. 2017-2022 Mining Africa. The bottom line is larger gold reserves tend to lower the value of the metal, due to the increased supply, White says. However, as India has little domestic supply of gold, imports primarily satisfy demand. In a testament to this, there have been several significant discoveries in recent times. TWO more gold fields have been discovered in Lugazi, Mukono district, an official of the company surveying the place has revealed. reported on an astronomical gold discovery made in Uganda that some have estimated to be worth more than, 320,158 tonnes is more than all the worlds known underground gold reserves. Making it commercially viable: The Ugandan government has already licensed the Chinese firm Wagagai Gold Mining Company to start production in the Busia district in eastern Uganda. Not even the World Gold Council, a global authority on gold market and industry research featured Uganda in its annual report for 2022. Until next time,Luke Burgess "It is criminal for anybody to argue for the continued exports of raw materials in Africa when there is 90% more value in that product that you are giving to the outsiders", he said. Although it is not clear precisely what the gold deposit discoverys long-term impact on Uganda is, the countrys gold mining production has been on an upward trend. The analysts at Pinnacle Digest noted that indeed US12 trillion exceeded the entire market capitalization of all gold mined ever. Its not the correct figure but I also understand that there are different people working in this industry; you have gold mining companies and the people at the Directorate of Geological Survey and Mines and all these have different interests, Binyina told The Independent on Feb.23. News from Uganda has revealed surveyors estimate they have discovered 31 million metric tonnes of gold ore in its northeastern Karamoja region. Gold demand is geographically diverse, but 72 per cent comes from emerging markets, with China and India representing 50 per cent of all demand. Smith and Hoddinotts take is that extraction at the deposits are not even close to a done deal and will likely be difficult to get out the ground. Over the past five weeks, Brazil's environment agency has seized seven Starlink terminals on Yanomami land. Your email address will not be published. Muyita said Wagagai, a Chinese company, had set up a mine in Busia in eastern Uganda and was expected to start production this year. Let us help guide you through these troubling and confusing times, and together we will endure and prosper. Nobody can dispute Africas rich mineral wealth, but the management and production of this wealth will have to improve for the continent to enjoy its full potential. How it was uncovered: Over the last two years, aerial exploration was done across the country, followed by geophysical and geochemical surveys and analyses, Solomon Muyita, spokesperson for Uganda's Ministry of Energy and Mineral Development, told Reuters. Uganda has announced that it has struck a deposit of 31 million tonnes of gold ore, with extractable pure gold estimated to gross 320,000 tonnes.President Museveni broke news of the find in. Roscan's CEO also noted that the company expects to obtain the final mining licence in the near future.. In August the same year, 5,000 tonnes of gold deposits were also found in Poland. However, gold is not a rare metal. We deliver over 10 - 15 high quality articles with expert insights and views. The second-highest-grade commercial gold mine in the world also belongs to Agnico Eagle. Pactons Red Lake gold project is within 20 km of Trilliums Newman Todd complex and the western portion of its Confederation Belt properties. Currently, about 90 countries mine gold, of which there are just seven major players. Leave a comment, If that discovery was authentic, you would have seen the big boys here, say analysts. The prime characteristics of being corrosion-resistant and easy -to -work renders gold highly desirable for various purposes, such as decoration. The African continent is known for its incredible natural wealth and has no shortage of gold. Ugandan President Yoweri Museveni has called for the local refinement of the discovered gold, calling any external refinery criminal. Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts. For more on Luke, go to his editors page. The company recently obtained a gold production licence in March this year and has a 21-year lease to mine gold in the country. You must have javascript enabled to use this site. If Uganda's Gold discovery is legit, this would more than double the total circulating supply of Gold. Uganda on Wednesday said recent exploration surveys have shown it has gold ore deposits of about 31 million tonnes and it wants to attract big investors to develop the sector hitherto dominated by small wildcat miners. In a move that could overhaul its economy, Uganda has discovered 31 million tonnes of gold following a series of surveys. But there was hardly any disruption on the global gold market. For Bitcoin, the stock-to-flow model long remained a fairly accurate indicator for predicting future prices. All rights reserved. Gold price rally accelerates as banking crisis shock lingers, Gold juniors Trillium and Pacton to combine forces in Ontarios Red Lake mining district, Roscan hits milestone with environmental permit for Kandiole in Mali, Elon Musks Starlink linked to illegal mining in Brazil, Gold retailers woo Trump fans with appeals to MAGA-fueled angst, Gold Fields, AngloGold rule out merger after Ghana joint venture deal, Tudor Gold updates Treaty Creek resources, Northern Star halts Pogo gold mine in Alaska. Muyita said an estimated 320,158 tonnes of refined gold could be extracted from the 31 million tonnes of ore. They are there already ,to senction. CRIRSCO describes a probable mineral reserve as an economically mineable part of an indicated mineral resource, and in some circumstances a measured mineral resource. Gold often occurs in free elemental (native) form, as nuggets or grains, in rocks, veins, and alluvial deposits. Gold use: Most of the gold fabricated today goes into the manufacture of jewellery. However, gold experts Aaron Hoddinott and Alexander Smith of Pinnacle Digest noted that such legislation introduces the threat of nationalisation to the deposits. Notify me of follow-up comments by email. Still, this level of sophistication notwithstanding, the published figures look to be on the high side, he told. For gold, the amount mined each year can fluctuate depending on how much gold is mined and refined in a given year. The US government is hardly your government, any more than the man with a whip who pronounced people his slaves was their master. The Chinese-managed company Wagagai, named after the highest peak of Mount Elgon, is actively planning to refine significant quantities of gold in Busia. Refining: Gold mines produce rough gold, called dor, which is typically about 80 per cent pure gold. Uganda joined the Extractive Industries Transparency Initiative in 2020 but is yet to be assessed. The Mbarara region, Uganda. Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts. The likelihood of a discovery leading to a mine being developed is very low - less than 0.1 per cent of prospected sites will lead to a productive mine. A key indicator for tracking how the scarcity of an asset impacts the price of an asset is the stock-to-flow (S2F) ratio. But these two have since been given to the company. A tweet posted by the Uganda Investment Authority read: "Ground breaking ceremony of Busia's gold mine project, largest gold deposit so far quantified in Uganda estimated @ 12.5 tonnes of mineable gold, investor Wagagai's initial investment is USD 50 million, 3,000 direct jobs.". Im not even going to waste my time finishing it. That's more than 10 billion troy ounces! 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