Nevada third-largest gold producer

In 2001, the total value of mineral production from mines in Nevada reached US$2.5 billion, most of which came from gold operations.

The state produced more than 8 million oz. gold for the fourth year in a row. Estimated value: US$2.22 billion.

The price of gold is hovering around US$300 per oz., or US$27 higher than the 2001 average of $273.22 per oz. Nevada’s gold production accounts for about 76% of all U.S. production and 11.2% of world production, making it the largest gold producer in the U.S. and the third-largest producer in the world, behind South Africa and Australia.

“Nevada’s mining industry has continued to respond favourably during these challenging economic times,” says Russ Fields, president of the Nevada Mining Association (NMA). “There continue to be increases in production and setting of industry milestones, such as the 50-millionth troy ounce of gold.”

Nevada’s silver production is likewise formidable. Last year, the state produced 17.5 million oz., worth roughly US$76 million. Other mineral production, including aggregates, barite, clays, copper, diatomite lime and limestone, lithium compounds, magnesite, perlite, salt, silica sand and zeolites, was valued at US$200 million.

Moreover, mining industry wages continue to exceed the state average. The average salary for a miner in Nevada is US$60,000 per year, about US$30,000 more than the average worker. Mining generated an average of 10,000 direct and 37,085 indirect jobs, contributing US$1.4 billion to household incomes.

The 2001 gross state product amounted to US$4.4 billion.

The NMA consists of mining, exploration and industry supplier companies. The association addresses various issues, including taxation, education, environmental protection, mine safety, human resources and public lands. A recent study conducted for the NMA indicated that the cumulative tax contribution to Nevada from mining over a 10-year period (1991-2000) was $1.8 billion.