Gold Supply Fell in Q3 Despite Record Mine Production; What Happened? - LinkedIn

AI desk brief

Gold supply fell 1% in Q3 despite record third-quarter mine output of 1,071 tonnes, up 2% year-on-year: recycling declined 8% to 314 tonnes and producer de-hedging reduced supply by 17 tonnes. WGC attributed weaker recycling partly to the 5% quarterly gold-price decline, despite prices remaining higher year-on-year. Average mining AISC reached $1,930/oz in Q2, up 22% annually, highlighting producer cost pressure rather than a bullion price floor. WGC expects supply to contract slightly in 2026, with subdued recycling persisting in Q4; a strong price recovery could lift recycling, but it sees little distress selling and low risk of a sharp release. Tighter supply could support gold, without establishing immediate physical scarcity.