Russian Gold Production Increases By 11.2% In 2009

Perhaps the peak-gold case is too focused upon the declines in South Africa. Another counter-example to it has shown up in 2009 production figures for Russia. According to Commodity Online,

Russia produced around 11.2 per cent more gold in 2009 than the previous year.

According to reports, Russia’s yellow metal output soared by 11.2 per cent in 2009 to 205.2 tonnes.

Russia’s Chukotka autonomous region, as well as regions of Kamchatka, Amur, Sverdlovsk, Irkutsk and Buryatia mainly contributed to the increase.

The global recession had helped Russia’s gold mining industry, lowering production costs as small companies were absorbed by larger ones. Last year’s rocketing gold prices had also made marginal projects more profitable....

It looks like the old saw about high prices being the cure for high prices still has some applicability to the gold market. That being said, the peak-gold case is impugned by such production figures but not refuted entirely. Should high prices disappear, they'll no longer cover up any long-term decline in production rates.