Mining and refining precious metals such as gold, platinum, and silver are intricate processes and vary based on the type of metals being mined. About 90 percent of total gold production comes from gold mines. And with silver, around 80 percent of silver is produced as a by-product of mining for other metals. Read on as the experienced professionals from First National Bullion and Coin, the best place to sell gold in San Diego, take a closer look at how precious metals are mined.

Rarity of Precious Metals in Pure Form

It’s rare to find precious metals in pure form. Silver, for example, is often found in mineral ores. If an ore contains gold and/or silver, it’s treated with sodium cyanide to dissolve both metals. Gold mined from the ground isn’t usually pure either. It usually contains impurities and has to be refined to reach higher purity levels. This is true with many other precious metals as well. It’s rare to find pure precious metals, despite what some older movies portray.

Mining Methods

There are several mining methods used to extract precious metals. It often takes several years to open a mine due to environmental concerns. However, technological advancements are making mining processes smarter, cleaner, and more efficient. Mines are now designed with these technologies in place. Digitization and automation are becoming increasingly common as well, making mining operations cleaner and more efficient.

Modern mining operations use machines to process many tons of precious metals at a time. The two main types of mining today are surface and underground mining. In surface or open pit mining/strip mining, large areas of land are dug up and processed to remove precious metals. Underground mining uses tunnels and shafts to reach underground deposits.

Developed by the Chaldeans around 2500 BC, cupellation involves heating crushed ore until it melts. The impurities are absorbed and the molten material, usually silver, is drawn off.

A froth flotation process is done by placing crushed ore in a bath. Air bubbles carry precious metals to the top of the bath, where it forms a foam. The foam is skimmed and smelted so it can be separated from other metals.

Platinum ore mining often happens deep underground. Miners pack explosives into holes and blast the rock into smaller pieces. The broken rock is collected and transported to the surface. Palladium is just one of several precious metals often mined as a by-product of other materials.

Refining

Once precious metals are brought to the surface, they’re refined and made into products we recognize, such as ingots, bars, and coins. In some cases, additional processes are needed to extract precious metals from what’s collected from mines. These precious metals are shipped to various precious metals dealers throughout the world.

Prices are based primarily on purity, although other factors are also considered. Individuals are welcome to purchase mining company stocks. It should be noted that production is based on what’s available at various mining locations, which can affect stock prices. 

If you’re looking for the best place to purchase San Diego silver bars, gold coins, and other forms of precious metals, reach out to the trustworthy professionals at First National Bullion. We can answer all your questions and help you find all the information you need on how precious metals can be great investments. Give one of our experienced dealers a call today.

The statements made in this blog are opinions, and past performance is not indicative of future returns. Precious metals, like all investments, carry risk. Precious metals and coins may appreciate, depreciate, or stay the same in cash value depending on a variety of factors. First National Bullion does not guarantee, and its website and employees make no representation, that any metals for sale will appreciate sufficiently to earn the customers a profit. The decision to buy, sell, or borrow precious metals and which precious metals to purchase, borrow, or sell are made at the customer’s sole discretion.