Profitability of Precious Metals

Actually, silver and gold can be mined together. We find them together in the form of an alloy. It is called electrum. Each and every metal is very rare. Generally we all know that gold is rare than the silver. But if we go into some deep, then we know that silver is a rare material. Silver is approximately 19x more abundant than gold. So, you can understand the difficulty to mine it as well. There are so many reputed gold and silver companies in the world that can do the mining process.

Silver mining:

Silver is the most precious metal in the world. Silver has been qualified as beauty from so many years. You cannot ignore its value. Actually, silver has begun to be mined around 2500 B.C.E. Silver should be mined from the depth of the earth. It should be taken out to the surface and processed before selling it to the market. There are so many metals such as lead, copper, zinc ores are mined together alongside silver.

Generally, in Peru, Norway, Poland, Canada, US, silvers are mined. The oldest silver mining place is located in Peru and Norway. You can also get the silver mining service in Bolivia.

In the year of 1970, the mining industry developed the method of deep sea mining. This particular method can extract from the floor of Pacific Ocean with silver, nickel and manganese. But with the new era, the safety of the mining experts, technology and overall mining cost increase and it affects the rate of the silver in the market as well.

Gold mining:

Actually, gold is mined in four different methods. These four steps are such as placer mining, hard rock mining, byproduct mining and by processing gold ore. These all categories have their unique style and method in order to extract gold from the surrounding materials.

  • Placer mining: In case of this mining, gold is retrieving by metal detecting, cradling, panning, sluicing and dredging procedure. In this process, the experts use the gravity and water in order to separate the dense gold from other kinds of materials. This is the common gold mining method in the world.
  • Hard rock mining: In this method, the experts use the underground mining tunnels of open pits in order to retrieve the gold from the rock.
  • Byproduct mining: This method is related to the hard rock mining. But in this method, gold is the secondary find. The main purpose of this mining process is to recover copper, sand, gravel and other kinds of significant products.

  • By processing gold ore: In this method of mining, the most commonly used chemical is Cyanide. Using the chemical process, the gold ore is recovered.

Sell their gold and silver:

After doing the mining process, they sell the extracted gold and silver to the reputed and well known gold and silver companies such as Regal Assets. It is a big business chain that operated by experienced and skilled people. Gold is used not only in the ornaments but also in the decoration, aerospace, medicine and dentistry as well. So, the market is very big and you can make a huge amount of money from these.

Profits of mining gold and silver:

There is a positive economic development you can get from the mining of gold and silver. This particular sector is developing the economic growth of the nation.

  • Foreign investment: There is a huge chance of foreign investment. It occurs while one country participates in another nation’s developments. The gold mining business can increase the foreign investment through creating factories as well.
  • High revenues: The government can get the high revenues from the gold and silver mining companies. So, it is profitable for the nations as well.
  • Foreign exchange: Gold can be considered a very expensive exchange metal as a form of currency. It also develops the economic structure of a country.

Both are rare products. It is very hard to be mined silver and gold. There are so many reputed mining companies that can do these processes in order to mine gold and silver from the depth of the earth. It is very hard to mine gold and silver. It needs specialists and experts in order to complete the whole process of mining. But mining is very beneficial for the nation as per the economic development.

The World’s Biggest Mining Operations

At present, the mining industry has transformed itself into a global industry and stretches all over the planet. In the subsequent paragraphs, we will take a look at the top 6 mining companies as well as the main products produced by them.

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1. Freeport McMoRan

This particular company has the reputation of being a leading global player in the copper, gold, as well as molybdenum markets. This company operates across South America Copper Mines, North America Copper Mines, Africa Mining, Indonesia Mining plus Molybdenum. The organization can boast of having a significant amount of gold, copper, and molybdenum reserve at present. Right now, Freeport McMoRan is considered to be the biggest publicly traded producer of copper on the planet. In fact, as on December 2016, it stands at a projected total of 26.1 million ounces of gold, 86.8 billion lbs. of copper, as well as 2.95 billion lbs. of molybdenum.

2. Norlisk Nickel

Norlisk Nickel, a Russian based mining company, is considered to be the biggest producer of palladium and nickel in the world, and it is likewise amongst the planet’s biggest copper and platinum producers. Apart from this, this company is also known to produce rhodium, cobalt, silver as well as gold. Norlisk Nickel has several operations throughout the planet which includes Australia, Finland, Africa, and also Russia.

3. Rio Tinto

Rio Tinto, which came into being in the year 1962, is amongst the leading mining companies on earth at present. It operates through as many as 5 product groups which include Copper, Aluminium, Diamonds plus Minerals, Energy as well as Iron Ore. The company performs its mining operations in approximately 32 nations which include France, Brazil, Chile plus Canada; however, the strongest footprint of this mining company happens to be in North America and Australia.

4. Coal India

Next, in this list, we will mention about Coal India which happens to be an emerging mining company out there and includes the entire range of coal reserve identification, comprehensive exploration as well as designing plus the implementation of coal extraction operations in its coal mines. This company, which is based in India, has the reputation of producing approximately 84% of the total coal in the country and caters to as many as 98 thermal power plants in the subcontinent. Besides this, Coal India likewise provides employment to more than 3 lakh individuals.

5. Glencore

Glencore, which is actually based in Australia and the UK, happens to be a premier integrated commodity trader plus producer which operates across the globe. Glencore’s business covers in excess of 90 commodities which include energy products, metals, and minerals, agricultural products, not to mention related logistics and marketing activities as well. All these communities are traded in South Africa, Hong Kong, as well as the UK. Glencore receives support from more than 90 offices spread across 50 nations while providing employment to over 160,000 folks.

6. Alcoa

Last, in this list, we will talk about Alcoa which is located in the US and was founded in the year 1888. It happens to be a leading manufacturer of aluminum and also produces other metals. Aluminum produced by the company is used for various purposes including vehicles, aircraft, packaging, commercial transportation, not to mention oil and gas as well. There are as many as 7 bauxite mines owned by this company at present that are known to produce more bauxite as compared to any other company out there.