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‘We Found It All’: Goldcorp Says Mining Reached ‘Peak Gold’; Prices To Hit $1,600

(Kitco News) - All major gold deposits have already been found, said Goldcorp chairman Ian Telfer, adding that mining production can only go downhill from here.

“We’re right at peak gold here,” Tefler told the Financial Post on Wednesday. “Gold produced from mines has gone up pretty steadily for 40 years. [But], this year [or next] it will start to go down, or it’s already going down.”

The dwindling production will boost gold’s prices in the long-run, according to Telfer, who is very bullish on gold despite a recent drop below $1,300 an ounce — a very critical resistance level for the precious metal.

Telfer said he sees gold prices heading all the way up to $1,500 or $1,600 an ounce by the end of this year.

Gold prices tumbled more than 2% on Tuesday, hitting this year’s lowest levels on strengthening U.S. dollar index that climbed to a five-month high. As Asian markets opened on Thursday, spot gold on Kitco.com was last trading at $1,291.10, up 0.07% on the day, and June Comex gold futures were at $1,291.00, down 0.04% on the day.

The argument of peak gold has been gaining support within the mining industry. The World Gold Council (WGC) said in September that annual global gold production will not be able to exceed current levels in the future.

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MARKET SUMMARY

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Name Last Change
DOW 25239.60 0.63%
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Resource Commodities

Name Last Change
Gold 1213.99 0.28%
Silver 14.31 1.33%
Copper 2.71 0.020
Platinum 844.00 1.01%
Oil 56.25 1.00%
Natural Gas 4.84 15.22%
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Zinc 1.15 0.00%

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