Will AU's Exploration Strategy Aid Its Gold Mineral Reserve?

AngloGold's reserve additions look impressive until you realize they're fighting depletion rates across an aging asset base. The mining sector burned through easy deposits decades ago. Now they're chasing deeper, lower-grade ore that costs more to extract. This 23 million ounce gain over five years barely keeps pace with what they're pulling out of the ground. Meanwhile, global discovery rates hit multi-decade lows. The resource-to-reserve conversion strategy works short-term, but geology doesn't care about corporate timelines. Fewer new discoveries plus higher extraction costs equals structural supply constraints. Physical stackers benefit from every ounce that becomes harder to mine.