Gold reserves can be exhausted in the next 20 years.

Gold is one of the rarest elements in the world. That is why it is one of the main reasons why it’s so highly valued across the globe. Unlike fiat money, of which we can always print more, the only way for us to acquire more gold is to dig. But for how much longer mining of the precious metal will continue ?

Analyst from Goldman Sachs estimate world gold reserves to be exhausted in the next 20 years.

If this becomes a reality and the last gold nugget is is exhumed from the earth in 2035, price of gold can reach record levels. While different annalist think price will reach somewhere between $10 000 - $12 000, there’s really no way of knowing how high gold could go.

What we do know is that global gold output has been contracting since 2013. Moreover, the number of newly discovered mines, in the past few years, has also decreased and the percentage for an increase in the near future are not favorable. This year, second-quarter mine supply was 2 percent less than the same period in 2015 and Some analysts now expect global production to fall 3 percent in 2016.

With gold now trading above $1,340 an ounce, up 26 percent for the year, many investors expect producers to begin lifting spending on exploration and production.

Newmont Mining CEO Gary Goldberg said his company, the second-largest gold producer in the world, sees supply falling 7 percent between now and 2021. Demand for the yellow metal, on the other hand, should remain strong during this period, helping to support prices even more.

or the first half of 2016, inflows into commodities have been the strongest since 2009. Gold and other precious metals account for about 60 percent of the new money, which has pushed commodity assets under management above $235 billion. Barclays believes 2016 could be the best year on record for gold-related ETFs.

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