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GOLD

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

Domestic Production and Use: Gold was produced at about 52 major 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 2002, the value of mine production

was more than $2.9 billion. Commercial-grade refined gold came from about two 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 the New York, NY, and Providence, RI; areas with

lesser concentrations include California, Florida, and Texas. Estimated uses were: jewelry and arts, 85%; dental,

10%; and electrical and electronics, 5%. 

Salient Statistics—United States: 1998 1999 2000 2001 2002e

Production:

Mine 366 341 353 335 300

Refinery:

Primary 277 265 197 191 180

Secondary (new and old scrap) 163 143 82 83 85

Imports2278 221 223 193 125

Exports2522 523 547 489 165

Consumption, reported 219 245 183 179 170

Stocks, yearend, Treasury38,130 8,170 8,140 8,120 8,140

Price, dollars per ounce4295 280 280 272 305

Employment, mine and mill, number513,400 10,300 10,400 9,500 9,000

Net import reliance6 as a percentage of

apparent consumption E E E E E

Recycling: 85 metric tons of new and old scrap, equal to 50% of reported consumption, was recycled in 2002.

Import Sources (1998-2001):

2

 Canada, 46%; Brazil, 14%; Peru, 8%; Australia, 7%; and other, 25%.

Tariff: Most imports of unwrought gold, including bullion and doré, enter 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 2002 was estimated at about 10% less than the level

of 2001, but high enough to maintain the United States’ position as the world’s second largest gold-producing nation,

after South Africa. Domestic output continued to be dominated by Nevada, where combined production accounted for

more than 75% of the U.S. total. Between July 2001 and August 2002, four gold mines were closed in the United

States. During this 12-month period, the average output per mine remained about the same, companies merged, and

the size of gold mining operations increased. Companies were beginning to have difficulties in successfully replacing

annual production with new reserves. Estimates by an industry association indicate that worldwide gold exploration

expenditures decreased for the fifth consecutive year, with 1997 marking the peak of exploration spending for the

1990s. The expenditures of U.S. gold producers continued to fall, but at a lesser rate than in 2001 owing to the

recovering gold price.

Prepared by Earle B. Amey [(703) 648-4969, eamey@usgs.gov, fax: (703) 648-7757]
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GOLD

During the first 9 months of 2002, the Englehard Corporation’s daily price of gold ranged from a low of about $279 per

troy ounce in January to a high of almost $331 in June. For most of the year, this price range was above $300. After

terrorists attacked the United States in September 2001, the traditional role of gold as a store of value was able to lift

the price of gold out of its low trading range. In 2002, the Swiss National Bank continued selling 1,300 tons of gold

(one-half its reserves). Concerns about terrorism, war in the Middle East, and weaknesses in the U.S. dollar,

prompted increases in gold prices, which averaged over $300 during the year.

World Mine Production, Reserves, and Reserve Base: Estimated reserves for South Africa have been significantly

decreased based on new information from that country. Reserve base estimates for Brazil, China, the Dominican

Republic, Ghana, Kazakhstan, and Peru also have been revised based on new information.

Mine production Reserves7 Reserve base7

2001 2002e

United States 335 300 5,600 6,000

Australia 285 280 5,000 6,000

Canada 160 160 1,300 3,500

China 185 175 1,200 4,100

Indonesia 130 170 1,800 2,800

Peru 138 140 200 650

Russia 152 170 3,000 3,500

South Africa 402 395 8,000 36,000

Other countries 783 740 16,600 26,000

World total (may be rounded) 2,570 2,530 42,500 89,000

Of an estimated 142,600 tons of all gold ever mined, about 15% is thought to have been lost, used in dissipative

industrial uses, or otherwise unrecoverable or unaccounted for. Of the remaining 121,000 tons, an estimated 33,000

tons are official stocks held by central banks and about 88,000 tons are privately held as coin, bullion, and jewelry.

World Resources: Total world resources of gold are estimated at 100,000 tons, of which 15% to 20% is a byproduct

resource. South Africa has about one-half of all world gold resources, and Brazil and the United States have about 9%

each. Some of the 9,000-ton U.S. resource would be recovered as byproduct gold.

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

eEstimated. E Net exporter.

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

2Refined 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 metric tons. 

e. Net bullion flow (in tons) to market from foreign stocks at the New York Federal Reserve Bank: 309.9 (1998), 302.7 (1999), 355.8 (2000),

259.5 (2001), and 40.7 (2002 estimated).

3

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

4Englehard Corporation’s average gold price quotation for the year.

5Data from Mine Safety and Health Administration.

6Defined as imports - exports + adjustments for Government and industry stock changes.

7See Appendix C for definitions.

U.S. Geological Survey, Mineral Commodity Summaries, January 2003