articles‎ > ‎

How Much Gold Is In Fort Knox?

posted 4 Apr 2013, 06:54 by Mpelembe   [ updated 4 Apr 2013, 06:55 ]
This question, to my surprise, has two different answers from
two different sets of people who don’t seem to get convinced
with each other’s views.

 Knox, a U.S. military base, is also home to the Bullion
Depository better known amongst masses as the Gold Vault of the
U.S.A. It was built in 1936 and started operations in 1937 when
the process of shifting gold to the depository started in
January to proceed to transferring most of the U.S. gold to the
site. It has also stored other valuable belongings at various
times like original Declaration of Independence, the Bill of
Rights, reserves from European countries during World War II
and Manga Carta, key documents from western history, the U.S.
Constitution, the Articles of Confederation, three volumes of
Gutenberg bible and specimens of Sacagawea Dollar coins of 22kt

The security, not to mention, is prime and best established.
This two level vault has a door weighing 24.6 tons, walls made
of granite and the strength of the building can be estimated
with the building materials used which include 16,000 cubic
feet of granite, 750 tons of steel, 670 tones of structural
steel and 4,200 cubic yards of concrete. No visitors are
allowed and no one person has access to all the combinations of
the vault, the entry being allowed only on president’s orders.
The facility is classified to an extent to have been visited by
only two presidents Franklin Roosevelt and Harry S. Truman.

Now the main question, the actual gold reserves at the bullion
depository. According to the information from the US department
of the treasury about the U.S. mint, the present holdings of
gold at Fort Knox are 147.3 million ounces at $42.22 per ounce
book value. This is stored in the form of 368,000 gold bars of
400 troy ounces or 27.5 pounds of weight. The highest amount in
this century has been 649.6 million ounces in 1941 that is
amount enough to make 20 Statues of Liberty of pure gold. It is
also stated that no gold has been moved from the facility except
small amounts for purity checks during scheduled audits.

And here’s an alternate answer, the conspiracy theory that
keeps coming up in the form of allegations by people like
Edward Durrell and Tom Valentine who suggest that the gold from
Fort Knox was secretly sold and sent to London by president
Lyndon Johnson in 1967 and 1968 to keep the prices of gold
stable. Mr. Durrell suggested in 1970’s that only 1000 tonnes
out of the 8,500 tonnes remained at the Fort Knox. The facts
supporting these claims are no audit of this gold reserve since
1950 and no concrete explanations for the same. There are people
who suggest that the huge amounts of gold being borrowed and
loaned in the market suggests and endless increase in the gold
trading activity which is only possible with the amounts of
gold from Fort Knox being released in the market. Some other
contentions published in 2001 by Freemarket Gold & Money Report
suggest that all the gold reserve at Fort Knox has been
reclassified without any prior notification to the public about
the same.

The gold stored at the Fort Knox is not called the “Gold
Reserve “any more. It is called “deep storage gold” the
implications of which are questionable. The point raised is if
it does not remain the U.S. Gold reserve anymore and if it is,
then why is the label changed. Tom Valentine was an independent
journalist and a key string of the alternate press in 1970’s
that led to the partial audit of Fort Knox. There are
suggestions that only a single vault was opened as a part of
the audit and it did not have the expected amounts. Only some
poor quality gold probably melted from the gold coins that were
seized in 1934 was found.

The facts on paper however remain to be the most dependable
answer which is the current value of gold holdings at 147.3
million ounces and no complete audits since 1950’s.

About The Author: Herb Lazarus writes for the website: