Summary of gold mining in Australia in 2022

Gold production in Australia is estimated to have grown by 3.1% in 2021 as the industry began to recover from the COVID-19 pandemic and the consistently high gold price drove record exploration and investment.


Here's a snapshot of how Australian gold mining looked at the end of last year and why companies and investors feel even more positive about 2022.


World's largest gold producer


Australia overtook China to become the largest gold producing nation in the first half of 2021. Australian mines produced 157 tonnes of the precious metal – four tonnes more than China during the same period, according to consulting group, Surbiton Associates.

China was the world's leading gold producer since 2007, but a number of closures following accidents may have contributed to slower growth than expected in 2021, while Australia rebounded with 3.1% growth expected across the year.

As miners reap the benefits of ongoing investment and exploration, analyst GlobalData predicts that growth will continue at an average rate of 3.5% to reach 13.7Moz of gold produced by 2025.

Growth of gold exports


Australian gold exports increased in 2021 as the economic impact of the pandemic eased and demand for the precious metal grew worldwide.

This was particularly the case in China, where demand for gold jewellery was estimated to increase more than 40% from the previous year at the same time as domestic output slowed.

China's trade ban with Australia eased in late 2020 and early 2021, which saw exports increase by 26%, including gold and other sought-after commodities such as gold and copper. Australian gold exports to China totalled A$2,066m in the 2021 financial year, according to Statista.

Other leading markets for gold exports included the United Kingdom (A$9,102m), United States (A$4,012m) and Singapore (A$2,988m).


Gold investment at all-time high


Strong gold prices encouraged mining companies to invest more in gold exploration than ever before in 2021, seeking out new prospects and expanding or restarting existing operations.

This was particularly the case in Western Australia, the hub of gold mining, where gold investment reached $309 million in the September quarter. Almost double what companies were spending at the height of the last mining boom, this is the highest figure since records began.

Exploration expenditure also increased for iron ore, copper and minerals, according to ABS.

New and expanding projects


More than 100 new gold projects are currently under development in Australia, which are expected to contribute more than 1,166koz to production by 2025.

Last year saw a number of significant projects begin operation, among them the Karlawinda Gold mine near Pilbara and Wiluna Stage 1 expansion, both targeting over 115koz production by the end of 2021, and breakthroughs by Resources & Energy Group at the Granny Venn deposit in WA and Mount Mackenzie in Queensland.

Resources & Energy Group (ASX:REZ)

Resources & Energy Group (ASX:REZ) is a gold explorer, developer and producer, with projects in Western Australia and Queensland. ​REZ is focused on developing highly prospective and low-risk Australian mining regions.


Resources & Energy was formed in 2005 and has operated as a gold exploration and development company since 2015.

To keep up to date with their news and progress, and for more information about gold investment as a whole, subscribe to the Resources & Energy Group Chairman's List.