TMTPOST -- Shares of Hunan Gold Corp. have surged by the maximum 10% limit for two consecutive days following the discovery of a significant gold resource in Hunan province, central China. The Geological Bureau of Hunan Province announced on Thursday that over 40 gold veins were identified in the Wangu Goldfield in Pingjiang County, containing an estimated 300 tons of gold at a depth of around 2,000 meters. However, feasibility studies are still required to confirm the actual size of the reserves, the bureau added. Hunan Gold, which owns some mines in the goldfield, told Securities Daily that while the discovery could be promising, the commercial viability is uncertain due to the depth of the gold veins. It is unclear whether the resource can be developed economically, the company noted. Gold prices have been on an upward trajectory this year, driven by expectations of US interest rate cuts and ongoing geopolitical tensions. Goldman Sachs predicts gold could reach $3,000 per ounce by the end of 2025, a 12% increase from current levels. Additionally, the Geological Bureau estimated another gold deposit of about 1,000 tons at a depth exceeding 3,000 meters at the same site. With China’s total gold reserves around 3,000 tons, the nation remains the world’s largest consumer of the precious metal.