70 

GOLD 

(Data in metric tons1 of gold content unless otherwise noted) 

Domestic Production and Use: Gold was produced at about 50 lode mines, a dozen or more large placer mines 

(nearly all in Alaska), and numerous smaller placer mines (mostly in Alaska and in the Western States). In addition, a 

small amount of domestic gold was recovered as a byproduct of processing base metals, chiefly copper. Thirty mines 

yielded more than 99% of the gold produced in the United States. In 2006, the value of mine production was about 

$5.1 billion. Commercial-grade refined gold came from about 2 dozen producers. A few dozen companies, out of 

several thousand companies and artisans, dominated the fabrication of gold into commercial products. U.S. jewelry 

manufacturing was heavily concentrated in New York, NY, and Providence, RI; areas with lesser concentrations 

include California, Florida, and Texas. Estimated uses were jewelry and arts, 84%; electrical and electronics, 6%; 

dental and other, 10%. 

Salient Statistics—United States: 2002 2003 2004 2005 2006e

Production: 

 Mine 298 277 258 256 260 

 Refinery: 

 Primary 196 194 222 163 180 

 Secondary (new and old scrap) 78 89 92 76 80 

Imports2

 217 249 283 341 285 

Exports2

 257 352 257 324 340 

Consumption, reported 163 183 185 183 185 

Stocks, yearend, Treasury3

 8,140 8,140 8,140 8,140 8,140 

Price, dollars per ounce4

 311 365 411 446 610 

Employment, mine and mill, number5

 7,600 7,300 7,550 7,910 7,900 

Net import reliance6

 as a percentage of 

 apparent consumption E E 8 4 E 

Recycling: 80 tons of new and old scrap, equal to about 43% of reported consumption, was recycled in 2006. 

Import Sources (2002-05):

2

 Canada, 41%; Peru, 29%; Colombia, 8%; Brazil, 7%; and other, 15%. 

Tariff: Most imports of unwrought gold, including bullion and doré, enter the United States duty free. 

Depletion Allowance: 15% (Domestic), 14% (Foreign). 

Government Stockpile: The U.S. Department of the Treasury maintains stocks of gold (see salient statistics above), 

and the U.S. Department of Defense administers a Government wide secondary precious-metals recovery program. 

Events, Trends, and Issues: Domestic gold mine production in 2006 was estimated to be 2% more than the level of 

2005, which elevated United States into a tie with Australia as the second leading gold-producing nation, after South 

Africa. An increase in gold production from newly opened mines in Alaska and Nevada was partially offset by the 

closure of one mine and reduced output from other mines. Domestic mine output continued to be dominated by 

Nevada, where production accounted for about 82% of the U.S. total. The United States returned to being a net 

exporter of gold in 2006 after 2 years of being a net importer. 

The continued rise in costs at South African gold mines, owing to the strengthening of the rand, caused several mines 

to curtail expansion operations and reduce gold production. Gold mining in China has steadily increased, and China is 

now the fourth leading producer of gold worldwide. 

 

Gold Exchange-Traded Funds (ETFs) have gained popularity with investors. According to some industry analysts, 

traditional gold investments have difficulties in access, insurance, high markups, and storage. The claimed advantage 

of the ETF is that the investor can purchase gold ETF shares through a stockbroker without being concerned about 

these problems. Each share represents one-tenth of an ounce of allocated gold. 

During the first 9 months of 2006, the Engelhard Corporation’s daily price of gold ranged from a low of about $526 per 

troy ounce in January to a high of about $726 per troy ounce in mid-May. 

Prepared by Micheal W. George [(703) 648-4962, mgeorge@usgs.gov, fax: (703) 648-7757] 
 71 

GOLD 

World Mine Production, Reserves, and Reserve Base:

 Mine production Reserves7 Reserve base7

 2005 2006e

United States 256 260 2,700 3,700 

Australia 262 260 5,000 6,000 

Canada 119 120 1,300 3,500 

China 225 240 1,200 4,100 

Indonesia 140 145 1,800 2,800 

Peru 208 210 3,500 4,100 

Russia 169 162 3,000 3,500 

South Africa 295 270 6,000 36,000 

Other countries 793 840 8

17,000 826,000

 World total (rounded) 2,470 2,500 42,000 90,000 

World Resources: An assessment of U.S. gold resources indicated 33,000 tons of gold in identified (15,000 tons) 

and undiscovered resources (18,000 tons).9 Nearly one-quarter of the gold in undiscovered resources was estimated 

to be contained in porphyry copper deposits. The gold resources in the United States, however, are only a small 

portion of global gold resources. 

Substitutes: Base metals clad with gold alloys are widely used in electrical/electronic products and jewelry to 

economize on gold; many of these products are continually redesigned to maintain high-utility standards with lower 

gold content. Generally, palladium, platinum, and silver may substitute for gold. 

e

Estimated. E Net exporter. 

1

Metric ton (1,000 kilograms) = 32,150.7 troy ounces. 

2

Refined bullion, doré, ores, concentrates, and precipitates. 

 Excludes: 

 a. Waste and scrap. 

 b. Official monetary gold. 

 c. Gold in fabricated items. 

 d. Gold in coins. In 1991, the last year for which estimates are available, net imports amounted to 3.5 tons. 

e. Net bullion flow (in tons) to market from foreign stocks at the New York Federal Reserve Bank: 39.6 (2002), 29.9 (2003), 3.0 (2004), 0.0 

(2005), and 0.0 (2006 estimate). 3

Includes gold in Exchange Stabilization Fund. Stocks were valued at the official price of $42.22 per troy ounce. 4

Engelhard Corporation’s average gold price quotation for the year. 5

Data from Mine Safety and Health Administration. 

6

Defined as imports – exports + adjustments for Government and industry stock changes. 7

See Appendix C for definitions.

8

Reserves and reserve base for the “Other countries” category does not include some countries for which reliable data were not available. 9

U.S. Geological Survey National Mineral Resource Assessment Team, 2000, 1998 assessment of undiscovered deposits of gold, silver, copper, 

lead, and zinc in the United States: U.S. Geological Survey Circular 1178, 21 p. 

U.S. Geological Survey, Mineral Commodity Summaries, January 2007