head winds?

If you don't like reading just skip to the end and read the last sentence. Will new SRU product and revenue growth in the energy segment counter the shrinking revenue in the minerals segment? I believe its best to wait.

The declining rate of new gold discoveries and grades across the global market during the last decade has accelerated over the last 4 years. Over the course of the 10-year time-frame, Africa lead the way with new discoveries of 479 million ounces of gold with an average grade of 2.8 grams per tonne. Next was North America, although with significantly less new ounces of 290 million, and with a much lower grade of 1.3 grams per tonne.

Data and analysis from IntierraRMG reveals that the 2 year period from 2003 to 2004 was the best in the study range, with over 400 million ounces of new gold discovered. This includes inferred, indicated and measured ounces with an average grade of 1.65 grams per tonne. In contrast, 2005 and 2006 had the lowest number, with just over 150 million new gold ounces discovered – albeit with a similar grade.

Discoveries then increased significantly during 2007 to 2008 with greater than 390 million ounces. The average grade also increased significantly to 2.65 grams per tonne; the highest in the 10 year period.
Over the next two years, slightly more than 250 million ounces were discovered with a declining grade of 1.25 grams per tonne. This deterioration continued through 2011 and 2012 as the amount of new gold ounces discovered dipped below 225 million ounces with a reduced grade of 1.17 grams per tonne.

In this 10 year study period, Africa lead the way with new discoveries of 479 million ounces of gold with an average grade of 2.8 grams per tonne. Next was North America, although with significantly less new ounces of 290 million, and with a much lower grade of 1.3 grams per tonne.

Europe had the third most new discoveries with 240 million ounces but with a higher grade than North America of 2.0 grams per tonne. South America recorded 188 million ounces, whilst Australasia saw 74 million ounces of new discoveries with an average grade of 1.4 grams per tonne.

Glen Jones, Western Hemisphere Director for IntierraRMG concluded, “With global drilling activity waning, IntierraRMG forecasts that the next few years will continue the trend with fewer new gold discoveries.”