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Does the city destroy the resource?

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If you have the relevant technology to access the resource normally (eg, you need Calendar to build a plantation on a hex containing wine to gain access to the resource) then building a city on the source will instantly grant you the resource.

If you do not have the tech when you build the city then it is not destroyed, it will just be granted to you when you unlock the required technology.

I'm not 100% sure what happens to the tile output bonuses (eg, wheat adds +1 food), but I would presume it is kept, and thus becomes a bonus to the output of the city tile - I'm sure this is what happened in Civ4 anyway, but I don't have time to fire up the game at test this right now...

Raven Dreamer has confirmed my uneasiness on the last, deleted, paragraph. You also, as a side effect of building a city on top of the resource, lose any output bonus the resource would add to the tile under normal conditions.

In my current game (I'm alt-tabbed as I type) I have a city built on spice generating 2 food, 2 hammers and 3 gold - not the usual 1 gold, and according to the help spice grants +2 gold on it's tile. So it seems actually you do retain the output bonus from the resource.

And, you do lose the ability to build the relevant special construction on top of the tile for an extra production bonus (eg, you can't build a plantation on the city hex, even if it's placed on top of a wine resource, so won't get the extra tile bonus you would normally get from building a plantation).

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In Civ V at least, all city tiles ignore resources when determining base output. a city established on a grasslands is just the same as a city established on a cow -- but if someone has evidence that contradicts me, then by all means, share, for I'm not 100% sure. –  Raven Dreamer Oct 9 '10 at 17:20
    
Thanks @Raven, as said this was something I was unsure of, I'm quite happy to take your word for it as I did have an uneasy feeling it was wrong. I'll adjust the answer and as Raven has said - anyone with evidence to the contrary please come forward! –  DMA57361 Oct 9 '10 at 17:21
    
@Raven I retract my agreement, as per my last edit, I've a city on top of spice generating 3 gold, not 1, as per the +2 bonus for spice. So I think the tile output bonus is retained. –  DMA57361 Oct 10 '10 at 21:11
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Does Food / Production get modified as well or just gold production? (sounds like time for !!Science!!) –  Raven Dreamer Oct 10 '10 at 21:52
    
@Raven I didn't think to check that... but I did stick another city on Dyes for another +2 gold there as well! –  DMA57361 Oct 11 '10 at 7:18

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