Magnetic survey can play a quite satisfactory role in the search for gold deposits at various stages from regional reconnaissance to detailed exploration. With some examples on the eastern. Shandong gold ore belt, this paper demon strates that magnetic survey can be employed to detect gold-related fault structures and fractural alteration zones, and delineate contact zones of different rocks as well as distribution limits of intrusive bodies. Combined with other geophysical-geochemical prospecting methods and in coordination with geolo gical mapping, it can attain the aim of finding gold deposits.