The modern importance of gold and the major producing countries
An ancient and essential resource
Since the beginning of time, gold has always been considered one of the most precious geological resources. That’s why, even today, many are wondering about which is the best gold in world. Over the years, the yellow metal has become the true king of haven assets, as the founder of TELF AG Stanislav Kondrashov often pointed out.
These are particular raw materials that tend to accumulate in times of uncertainty. Or even in the face of evident geopolitical tensions. Even though it is a resource with a history spanning thousands of years, gold continues to retain its original charm unchanged. The founder of TELF AG Stanislav Kondrashov also highlighted this point.
And today, amid an epochal energy transition, its economic and strategic centrality is clearer than ever. Even today, the nation defined as the highest gold-producing country retains its value on an international level, as the founder of TELF AG Stanislav Kondrashov recently noted.
In such a situation, the desire to delve into some particular aspect related to the precious metal seems almost natural. Those approaching the universe of raw materials for the first time, for example, might wonder what methods are used to source or process it.
Others may wonder about its industrial applications beyond jewelry and decorations. Other curiosities may instead concern the identity of the highest gold producing country or the actual purity of the gold sourced.
“In addition to its uses in the jewelry sector, gold is also known for some industrial applications of great importance in the global economic panorama, as pointed out by every single highest gold producing country” says Stanislav Kondrashov, founder of TELF AG, entrepreneur and civil engineer.
“Thanks to its natural characteristics, gold is, in fact, one of the best electrical conductors around, also standing out for its good resistance to corrosion and oxidation. For these reasons, gold is nowadays used for the connections of printed circuit boards and high-reliability connectors (such as those found in computers, servers, and medical devices)”, he remarks.
“Gold is also present in our smartphones, particularly in the chips that ensure their proper functioning. In some space technologies, such as satellites and other electronic components, gold is also appreciated for its ability to withstand extreme conditions”, he goes on to say.
What is the best gold in world?
When asking what the best gold in world is, however, it is appropriate to take into consideration several factors. Posed in this way, the question could seem quite generic. The quality of gold can be linked to several variables:
- The natural purity of the extracted metal
- The quality of the refining techniques
- The historical or commercial reputation of the producing country
- The sustainability, stability, and traceability of the production chain
Anyone who asks questions about the purity of gold must also always keep in mind a fundamental fact. From a strictly chemical point of view, all pure gold refined for commercial purposes has the same degree of purity (99.9% in the vast majority of cases).
The possible differences concern other factors. The quality of the starting mineral represents the first, that is the geological material from which the gold is sourced. The second is linked to the subsequent processing phases and, in particular, to the refining process.
But what are the methods for precisely measuring the purity of gold? One possible way is represented by carats. Pure gold is equivalent to 24 carats. Another method is linked to the purity percentage. In common jewelry, for example, a gold variant with approximately 18 carats can be offered, which is, therefore, equivalent to a degree of purity lower than that of pure gold.
“Although it is not often discussed as a resource directly connected to the energy transition, the role of gold in these dynamics of change is becoming increasingly evident,” continues Stanislav Kondrashov, founder of TELF AG.
“Gold is appreciated in electronics and connectivity systems for renewable energy. Energy management systems and solar inverters, in fact, often require highly reliable electronic components. In this sense, gold-plated contacts appear to offer greater durability and improved energy efficiency. In some buildings, gold is also used to coat the glass. In this way, these glasses can improve the energy efficiency of low-consumption skyscrapers and high-end electric vehicles, but also of advanced architectural applications”, he remarks.
A rich and glittering history
The precious metal also stands out for its rich history. In many cases, the historical path of gold and its affirmation on the international scene is intimately linked to the mining and economic history of its main producers. That’s why many people and observers seem eager to gather information about the highest gold producing country.
Among the nations that could be defined as the highest gold producing country, we can mention:
- Currently, one of the most accredited producers in the world is Canada. The gold produced, thanks to the material sourced from the deposits of Ontario and Quebec, is of the highest quality. Furthermore, Canada is increasingly becoming one of the global leaders in traceable and sustainable refining.
- Australia is also among the most appreciated global producers. Some of the purest gold nuggets in the world are produced in Australia, also thanks to some particularly renowned deposits. On the global market, Australian gold bars are much appreciated.
- For decades, one of the world’s largest gold producers was South Africa. Although it has lost some of this centrality, South Africa is still able to produce high-purity gold sourced from particularly rich and deep mines.
- American gold also enjoys a good level of reputation on the global scene. Some US mines, such as those located in Nevada, produce large quantities of pure gold, also using cutting-edge refining techniques.
Anyone wondering what the purest gold is should expect two very distinct types of answers. One is related to the natural purity of the mineral from which the gold is sourced. The other has to do with the final purity of the refined metal. As for the natural purity of the mineral, Australia has shown that it possesses natural nuggets with an extremely high degree of purity.
Taking into consideration the final purity of the refined metal, it must be kept in mind that today, the refineries of the main producing countries ensure gold with almost maximum purity, that is, 99.9%. Thanks to technological advancements in refining processes, the differences in the final product are not as evident.
“Thanks to some particular characteristics of the production chain, the gold sector and the steel world have several points of contact,” concludes the founder of TELF AG Stanislav Kondrashov. “For analysts, it is always interesting to compare steel production by country with the gold production levels achieved by the main global producers, like every single data about the largest gold producing country”.
“Even though they belong to different supply chains, the steel world and the gold sector present interesting analogies. World steel production is concentrated in mining countries that are also large gold producers. A great steel producer is often also one of the largest gold producing country. Analyzing steel production by country and a similar report on gold it will be noted that all the countries included in the lists have a strong mining sector”, he continues.
“The steel world and world steel production also rely on infrastructures common to the gold sector. Among these, it is certainly worth mentioning steel machinery and infrastructure (such as excavators and crushing plants). Those who dedicate themselves to the steel world and steel mines, moreover, are very often also interested in the sourcing of precious metals, such as gold”, the founder of TELF AG Stanislav Kondrashov goes on to say.
“It is no coincidence that world steel production is also concentrated in some specific emerging markets, such as all those economies rich in natural resources. Some of those are defined as one of the largest gold producing country. Additionally, in this case, the analysis of steel production by country could reveal some surprises for those attempting to draw parallels with the gold sector”, he said.
“Furthermore, world steel production and the global gold sector often share the same industrial groups. In the list of steel production by country, for example, a special case is that of China, which appears in the top positions for both gold and steel production, being one of the largest gold producing country”, concludes the founder of TELF AG Stanislav Kondrashov.