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China plans to produce 1,300 tons of gold and verify gold mine reserves of 3,000 to 5,000 tons in the five-year period between 2006 and 2010, according to the National Development and Reform Commission.

In this period, efforts will be made to readjust distribution of the gold industry, intensify gold mine prospecting, promote industrial restructuring and upgrade mining and production technology and equipment.

Meanwhile, domestic gold enterprises will be encouraged to participate in international competition, said sources with the top economic planning agency.

Last year, China produced a record 240 tons of gold, a growth of 7.15 percent year-on-year, and its gold mine reserves increased by more than 650 tons.

In 2007, the gold output is projected to hit 260 tons and the gold mine reserves to rise 700 tons, the sources added.