China has unveiled what it describes as the largest undersea gold deposit ever discovered in Asia, located off the coast of Laizhou in Shandong Province. The find was revealed during a municipal government conference reviewing achievements under the current five-year plan, according to a South China Morning Post report published on Dec. 19.
Officials from the Yantai Municipal People's Government confirmed that the Sanshan Island (Haiyu) Gold Mine contains proven cumulative reserves of 562 tonnes of gold, with an average grade of 4.2 grams per tonne, evaluated under international JORC standards. The addition lifts Laizhou's total proven gold reserves to over 3,900 tonnes, representing about 26% of China's national total, placing the city first nationwide in both reserves and output. To extract ore at depths of up to 2,000 meters below sea level, authorities plan to invest 10 billion yuan ($1.4 billion) in a state-of-the-art facility capable of processing 12,000 tonnes of ore daily, yielding an estimated 15 tonnes of gold annually.
Recent Gold Discoveries and Strategic Context
The undersea deposit follows a series of major inland finds over the past two years, including a super-large low-grade deposit in Liaoning with confirmed reserves of 1,444.49 tonnes and another in the Kunlun Mountains near Xinjiang with estimated reserves exceeding 1,000 tonnes. These 2025 discoveries come amid surging spot gold prices, which hovered near $4,340 per ounce as of mid-December. While China's total proven gold reserves still trail those of South Africa, Australia, and Russia, the continuous discoveries have prompted a reassessment of the country's resource endowment.
Technology and Investment Drive Exploration
Geologists are deploying so-called “New Quality Productive Forces,” including AI-driven mineral modeling and high-powered ground-penetrating radar, to identify deep-vein deposits previously inaccessible. China invested 115.99 billion yuan in geological exploration last year, with cumulative spending since 2021 reaching nearly 450 billion yuan, leading to the identification of about 150 mineral deposits. The country remains the world's largest gold ore producer, with output of 377 tonnes last year. Gold serves both as a financial hedge and as a critical material in electronics and aerospace manufacturing. Analysts believe the Laizhou development will further consolidate China's position in the global gold supply chain and reduce reliance on external sources.