Global gold production reached an all-time high of 106.5 million ounces last year, and is expected to rise marginally to 108Moz this year before peaking at 111.7Moz in 2020, according to S&P Global Market Intelligence.
That would mark 12 consecutive years of growing gold production before it starts to decline, with S&P analyst Chris Galbraith saying falling output at existing operations would start to outpace new growth from 2021.
Current operations to fall short of 2017 production by as much as 3% and by almost 15% by 2022 - due to depletion or production decreasing due to falling grades.
But Galbraith said some regions would see production fall sooner than others.
"In the case of Australia, despite production being on track to hit a 26-year high of 10.2Moz in 2019, we estimate that Australian gold production will start to decline thereafter," he said.
"We are forecasting a 9% fall year over year in 2020, and we expect country's production to reach a generational low of 6.8Moz by 2022, a 33% drop within only three years."
Australia had the most new mines start up in the past 18 months, with 10 operations commissioned between January 2017 and June 2018 out of 34 total new mines worldwide.
S&P said despite the high number of new mines, production would drop due to short mine lives and as large mines approach the end of their lives.
Overnight, the gold price was fixed at $1201.95.
The WTI crude oil price was slightly down overnight at $67.93 per barrel.
In softer commodities, cocoa decreased $80 per tonne or 3.44% to $2243/t yesterday from the $2323 in the previous trading session, tradingeconomics.com reported. Historically, cocoa reached an all-time high of $4361.58/t in July of 1977 and a record low of $211/t in July of 1965.
Coffee increased 0.75c per pound or 0.77% to 97.70c/lb yesterday from 96.95c/lb in the previous trading session, tradingeconomics.com reported. Historically, coffee reached an all-time high of 339.86c/lb in April of 1977 and a record low of 42.50c/lb in October of 2001.