Chinese language newspaper Beijing News reported that gold sales had surpassed 10 million yuan ($1.7 million) an hour, after Cai Bai jewellers in Beijing opened to a scintillating start on January 1, setting a new record.
Cai Bai is touted as one of the largest gold jewellery chain stores in Beijing. It reported sales of 200 million yuan (about $33 million) on December 31, 2013, while China Gold’s flagship store at Jiang Zhaikou sold more than 150 kilograms of gold on the same day.
Sun Gold Jewellers noted that since international gold prices slid in December, gold sales have grown significantly at its many stores. Sales surged by at least 30% in December 2013 from a month ago, and were up by 25% as compared to the same period in 2012, the retailer told a news agency.
One of Hong Kong’s best known jewellers, along with Chow Tai Fook and Luk Fook has been Chow Sang Sang. The latter has embarked on a massive expansion drive in the mainland China market, looking to take advantage of the growing demand particularly in second and third tier cities.
Incidentally, China's gold imports more than doubled last year to exceed 1,000 tonnes, ousting India as the biggest global buyer.
While international gold prices were $1,696 per ounce at the beginning of 2013, and fell 28% to less than $1,200 end December 2013, the largest drop since 1981, retail prices of gold also dipped in the Chinese capital.
The price of a gold bar was recorded at $44.29 per gram, and gold jewellery was priced at $48.73 per gram.
Last year, during this period, prices were hovering at around 400 yuan per gram. This year, it has fallen 50% to around 200 yuan per gram.
Even as investors in the international market redeemed exchange traded funds backed by more than 800 tonnes of gold, in anticipation of the US Fed's tapering of quantitative easing, the extra supply was absorbed by Asians, primarily Chinese consumers, who bought jewellery and invested in bars and coins
Gold prices fell in 2013, breaking a 13 year winning streak and consumers in China have been taking advantage of the lower prices, with demand galloping to new heights before the start of the Lunar New Year on January 31.
As 2014 is considered the year of the horse in China, horse related golden products have posted massive sales across the nation.
Even as demand from India has been dented given the government's many import curbs, Chinese consumers have been eager to get their hands on the precious commodity, given the massive price slump.
Many gold retailers in Beijing and Hong Kong have been catering to a steady stream of customers, since the price of the precious metal started decreasing over the last three months.
Hong Kong bullion retailer Chow Tai Fook posted 34% growth in its third quarter sales, with the homegrown competitor especially marketing to middle class consumers and youngsters. Other Chinese gold jewellery operators have also launched several promotions to boost sales, ahead of the annual pick up for the New Year.
A report was received from Dr Jim Oliver, a consultant geologist specialising in porphyry and epithermal mineral deposits, on thin section samples taken from earlier drill core specimens at Mutsk. Analysis of polished, thin sections confirms that fine visible gold was identified at 27.2 metres depth in diamond drill hole DDB-07. Analytical data previously reported, indicated that this borehole carried 3.27g/t Au between 22.0 and 36.0 metres.
The Company now believes that the hydrothermal alteration and mineralisation encountered sits at a high level in the epithermal system, with a possible relationship to quartz diorite intrusions logged in some of the drill holes. This suggests that high grade gold feeder/boiling zones may be preserved at deeper levels in the system, which have not yet been tested by drilling.
We mustn't forget In addition to drilling undertaken by Orogen, re-sampling of a previous Georaid vertical hole B-7, located 260m north of OG13-02 returned an assay interval of 14.0m @ 3.27g/t Au from 22.0 to 36.0m depth. This suggests a minimum strike extent of 600m along the mineralised zone, which is open in both directions. Several short gold intervals, up to 3.0m @ 4.16g/t Au are confirmed by Orogen re-assaying in historic hole B-1 located 330m south of OG13-01. Gold values up to 0.4g/t Au have also been obtained by from a gossanous bedrock exposure about 1km to the north of the drilled area, suggesting that the mineralised zone may have a total strike extent of at least 2km.
In summary, drilling at Mutsk confirms the discovery of a new gold mineralising system of potential economic importance at shallow depths. While it must be stressed that work on the property is at a very preliminary stage, these initial results are highly encouraging. Detailed geological, litho-geochemical and structural analysis, as well as grid soil sampling is in progress to understand the anatomy of this exciting new project and the controls on the gold mineralisation.
And not to long until those eagerly awaited Mutsk drill results.my take on the year ahead is that our main focus will most defenatly be on Mutsk.with Deli jovan simmering away in the background..The widths & grades that have been confirmed from our initial 6 holes & the 're testing of old core samples make this a screaming BUY for me we must REMEMBER only 6 holes.& 're tested cores so far WITH 957 meters due very soon.
HIGHLIGHTS from drill results
1, 11.0 meters @ 5.56 g/t AU from 37 mtr to 48 mtr depth & 17.3 meters @ 3.68 g/t AU from 29mts to 46.3 mtr depth 2, 10.2 meters @ 5.73 g/t AU from 34.8 to 45 mtr depth 3, 6 meters @ 0.7 g/t AU from 7 to 13 mtr depth 4, 3 meters @ 1.67 g/t AU from 50 to 53 mtr depth.
SOMETHING WORTH CONSIDERING is that the biggest rewards for a investor are made in exploration ,Each year several company's make TEN fold gains DUE to finding a Potencialy economic deposit.
For each & every Drill hole their are two IMPORTANT numbers, The length of mineralization & The grade.So far on present drill holes & retested core samples we have strong mineralization from 22 meters to 53 meters,WHICH is very shallow = a potential open pit = low extraction costs.
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