GOLD
“These activities suggest a large-scale operation capable of producing around 1.5 million ounces a year could be brought into production within the next five to ten years. It’s a clear example of how higher prices can catalyse the development of major projects. If gold continues to trend upward, we are likely to see additional projects move forward. In the near term, however, growth is expected to remain relatively modest, with stronger expansion more likely over the medium term,” Reade argues.
tend to support revenues, investment and economic activity.
Surging price on gold production It has long been maintained that gold supply growth is constrained, offering limited flexibility, but has the surging gold price changed that outlook? According to Reade, with gold prices having more than
doubled in recent years, mining companies are increasingly motivated to unlock additional ounces. Producers are actively pursuing new opportunities, including ore bodies that were previously considered too difficult or uneconomic to develop. Reade cites the Donlin Gold
Africa remains the world’s leading gold- producing region and strong prices have reinforced the continent’s importance in the global gold market. Looking ahead, Africa appears well positioned to maintain its
Beyond the traditional investors that include central banks, private investors, the jewellery industry and exchange-traded funds (ETFs), is Tether, and not the gold back BRICS currency, the Unit, which has muscled in on the market.
project in Alaska, a long-known project which, given the soaring gold price, is now a viable project for development. As of early 2026, the project is advancing toward a construction decision. A Bankable Feasibility Study (BFS) is underway, with a prime contractor
leadership. There is a substantial pipeline of potential new projects, particularly in West and Central Africa, with additional opportunities emerging in parts of East Africa. Overall, the continent is expected to remain a cornerstone of global gold supply for the foreseeable future. In line with this sentiment, Reade notes that junior mining companies are busy raising significant funding to advance gold projects. Canadian Bankers, in particular, are aiding junior mining companies across all sectors – be it gold, silver, uranium or copper - advance the discovery of key commodities. Moreover, Reade expects there could be more mergers and acquisitions taking place as large scale gold producers look to supplement current production rates. “It is often easier to acquire another mining company, or a group of gold mines, than it is to find and build a mine from scratch.
selection expected in Q1 2026, following strong 2025 drilling results and key Alaska Supreme Court permit validations. In February,
the company selected Fluor Corporation to lead the Bankable Feasibility Study (BFS) as the engineering firm. Further to this, a new agreement for natural gas supply was signed recently, and high-grade drilling results continue to support the project’s massive potential. The project is proposed as a massive open-pit mine, designed to produce more than 1 million oz of gold annually over a 27-year lifespan. It is one of the world’s largest undeveloped gold deposits, co-owned by Novagold Resources.
12 MODERN MINING www.modernminingmagazine.co.za | April 2026
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