Gold Bullion Coins
Bullion is the term used to define precious metals, including gold, that are as pure as refining processes can make them. The gold referred to as bullion gold is 99.9 percent pure and is usually smelted into bars, ingots or coins. These are traded on the open market by bullion dealers and may be purchased by anyone, from private investors to businesses, corporations and banks.
Where Gold Comes From
There are hundreds of gold mines all over the world, on every continent except Antarctica, where mining is not allowed. Worldwide gold production amounts to roughly 2,485 tons annually. As of 2010, that figure had remained stable in recent years. According to the Goldsheet Mining Directory the biggest individual gold producing countries in 2008 were China, the United States and South Africa.
The Growth of the Gold Industry
During the California Gold Rush of the 19th century, the '49ers scrabbled in riverbeds, manually panning for gold in the fast-flowing water. Back then finding gold was left to luck and chance. Today geologists use modern technology like remote sensing and airborne geophysics to discover possible drilling sites.
Drilling for Gold
Once a likely-looking location has been found, test drilling is done at various sites within the area to discover the quantity and quality of any gold deposits. Mining engineers decide whether or not mining is worthwhile and what type of mine is needed. It may be either open-pit on the surface, or underground.
How Bullion is Extracted from Gold Mines
Gold, before it is mined and processed, is contained within ore that is either dug from the surface or blasted from underground rock. The ore is then milled and the gold separated from the ore. The gold is then melted down and cast into bars. The bars are further refined until they are at least 99.5 percent pure. Further refining can increase the purity to 99.9 percent.
Closure of Gold Mines
There is only so much gold that can be taken from a mine to be processed and sold as bullion. In bygone days gold mines would have been simply boarded up and abandoned. With the modern awareness of the environment and the impact of our activities on the Earth, spent gold mines are returned to as natural a state as possible. In the case of open-pit mines this may mean planting trees and reintroducing wildlife.
Tags: gold mines, gold that, into bars, percent pure
