Modern Mining March 2023

Annual gold demand soars to a new decade high in 2022

The World Gold Council’s latest Gold Demand Trends report reveals that annual gold demand in 2022 increased by 18% year-on-year, hitting 4 741 t – the high est annual total since 2011. Boosted by a record fourth quarter, demand for gold was propelled by hefty central bank-buying and persistently strong retail investment. Annual central bank demand more than doubled to 1 136 t in 2022, up from 450 t the year before and to a new 55-year record high. Purchases in Q4 2022 alone reached 417 t, bringing the total for the sec ond half of 2022 to more than 800 t. Investment demand in 2022 was up 10% on the previous year. The increase was the result of two factors: a notable slowdown in ETF outflows and strong gold bar and coin demand. Gold bars and coins continued to hold favour with investors in several countries

around the world, which helped to offset weak ness in China. Total European gold bar and coin investment for 2022 surpassed 300 t, aided by persis tently robust German demand. There was also significant growth in the Middle East, where annual demand increased by 42% year on-year, the WGC said.

Annual gold demand soars to a new decade high in 2022.

Change to Perseus’s senior management team Total annual supply in 2022 contin ued its gentle upwards trajectory, up by 2% y-o-y to 4 755 t and remaining above pre-pandemic levels. Mine production increased to 3 612 t – a four year high.  contributed to the annual decline in jewel lery demand.

Jewellery demand softened slightly in 2022, down 3% at 2 086 t. This weakness was largely driven by the marked drop in Chinese annual jewellery demand, down 15% as consumer activity was curtailed by ongoing Covid-19 lockdowns for most of the year. The gold price rally in Q4 also

Africa’s largest gold mine, Kibali, is on track to replace its reserves beyond the ounces depleted by mining in the previous year, while new growth opportunities will also support its +10-year business plan and its status as one of Barrick’s Tier One1 assets, the company said. Barrick CEO Mark Bristow said that Kibali’s prolific KCD orebody was continu ing to deliver additional value with current drilling focused on converting resources New opportunities secure Kibali’s +10-year plan into reserves and exploring the lodes which are still open down plunge. In addition, the Mengu Hill, Ikanva and Gorumbwa targets are showing the potential for joining Kibali’s underground portfolio. In line with Barrick’s global policy of employing and advancing host country nationals, Arthur Kabila has been appointed as Kibali’s first Congolese general manager. A further eight key man agement and technical positions were filled by Congolese last year. 

ASX-listed Perseus Mining has advised that after seven years of service, its chief operat ing officer, Chris Woodall, will retire from the company on 30 June 2023. As part of the management transition, David Schummer, after a period of familiarisation with the company’s West African operations, will assume the role of COO reporting to the CEO. Prior to joining Perseus, Schummer had an impressive career in the mining industry, first with Newmont Mining Corporation where, amongst other roles, he held the positions of vice president – North American Operations based in Nevada, USA, and senior vice presi dent – African Operations based in Ghana. In 2018, he relocated to Riyadh, Saudi Arabia, to join Ma’aden as senior vice president, Ma’aden Gold and Base Metals, a role that has relevance to Perseus’s plans to develop the Meyas Sand Gold Project in Sudan. 

Kibali’s prolific KCD orebody continues to deliver additional value.

March 2023  MODERN MINING  5