Significance Of Gold Mining

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Gold is one of our favorite metals, but it is expensively precious as well. This element has a huge contribution to the monetary economy that’s why it is a great value source. The importance of gold is reflected in history, everyone has given gold a special place and symbolic value of humans.

Gold for Economy

Gold is also associated with the country’s economy. It acts as one of the major economic drivers for the nation creating direct or indirect employment opportunities. Gold mining companies have a significant role in foreign direct investment, foreign exchange, and tax revenues. Furthermore, these companies contribute to infrastructure and utilities. Various companies like Collective Mining Ltd focus on mineral exploration and work cooperatively with stakeholders to achieve mutual goals. Collective Mining is responsible for the largest gold mine construction in Columbia.

According to World Gold Council (WGC) data, the gold mines produced 3,478.1 tons of gold in 2020. Talking about the early 1970s, the quality of gold produced has tripled each year. Its diverse usage in technology, jewelry, central banks, and other sectors has driven different points of the economic cycle. Compared with other investments, gold always seems like a great hedge. For sustainable socio-economic development, gold with its extreme properties is highly needed.

Gold Mining Companies

The gold mining companies are ranked upon various factors involving annual production, cash count per ounce, the cost for mining, etc. In 2016, countries including China, Russia, the USA, Canada, Mexico, and Indonesia recorded major output growth. The gold mining processes are predominantly held where a significant concentration of gold ore is present. Around 60-70% of gold is produced from surface mines, whereas the remaining is obtained from underground mines. You should know about some top gold mining companies which have made a major contribution in meeting economic needs.

1. Newmont Goldcorp Corporation

  • Headquarter – Greenwood Village, Colorado, U.S.
  • Founded in 1921

It is the world’s largest gold mining company involved in the production of copper, silver, zinc, and lead. The company owns gold mines in Colorado, Quebec, Ontario, Nevada, Mexico, and other regions. Newmont Gold Corporation has also been involved in selling or purchasing various operations, including Red Lake Mine, Golden Grove mine, Wiluna Gold Mine, etc.

2. Barrick Gold

  • Headquarter – Toronto, Ontario, Canada
  • Founded in 1983

Barrick Gold Corporation has 16 operation sites in 13 countries engaged in the production of gold and copper. It was the world’s largest gold mining company until Goldcorp was acquired by Newmont Corporation in 2019. The company has major mining operations in Argentina, Canada, Chile, the Democratic Republic of the Congo, the Dominican Republic, and other regions. In 2020, it produced 4.6-5 million ounces of gold and 440-500 million pounds of copper.

Conclusion

The global gold market has pushed economic growth and development. Gold production is responsible for indicating a transformative impact on socio-economic development in the countries producing this metal. With its highly desirable lustrous and metallic qualities, people consider gold a valuable commodity.

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