27-Sep (Bloomberg) — Peak gold production may be reached within the next three years as miners fail to replace their reserves, according to Randgold Resources Ltd. Chief Executive Officer Mark Bristow.
The lack of new discoveries, cost cutting and miners digging out higher-grade material for a short-term gain, which can subsequently shorten the lifespan of a mine, are to blame for a supply crunch in the industry, Bristow told reporters in Johannesburg on Monday.
Bristow, a South African who made his name by discovering and building some of the continent’s biggest gold mines, is a longtime critic on his own industry and frequently criticizes miners for bad acquisitions and spiraling costs.
“The big debate is: When is peak gold? Is it 2019 as this graph shows?,” Bristow said while pointing to data compiled by BMO Capital Markets. “This is the waterfall I’ve been talking about at this meeting for some time. It’s now come into focus.”
