Facts about Gold

Gold, like no other metal, has a fascinating history and a special place in the world. For thousands of years it has been used as an ornament of kings, a currency and standard for global currencies, and more recently, in a wide range of electronic devices and medical applications.

Gold's many unique properties have secured it a central role in history and human development. Gold is a remarkable, rare metal, with an unparalleled combination of chemical and physical properties. It is the only yellow metal and bears its name from the Old English word for yellow, 'geolu'. It is also the only metal that forms no oxide film on it's surface in air at normal temperatures, meaning that it will never rust or tarnish.

Gold's chemical symbol, Au, comes from the latin word for gold, aurum. In the Periodic Table of Elements, gold is classified as a transitional metal with the following characteristics;

	Symbol: Au
	Atomic number: 79
	Atomic mass: 196.96655 amu
	Number of protons/electrons: 79
	Number of neutrons: 118
	Melting point: 1,064.43°C (1,337.58°K, 1,947.97°F)
	Boiling point: 2,807.0°C (3,80.15°K, 5,084.6°F)
	Density @ 293°K: 19.32 grams per cubic centimeter
	Crystal structure: cubic

Gold may be alloyed with various other metals to give it special properties. In its pure form, gold has a metallic luster and is sun yellow, but when mixed or alloyed with other metals, such as silver (Ag), copper (Cu), zinc (Zn), nickel (Ni), platinum (Pt), palladium (Pd), tellurium (Te), and iron (Fe), creates various color hues ranging from silver-white to green and orange-red. Usually, red, yellow and green golds are made by adding varying amounts of copper (Cu) and silver (Ag) to produce alloys of 10 to 14 carats. White golds have traditionally been made by alloying nickel (Ni), zinc (Zn) and copper (Cu) with gold, but more recently silver (Ag) and palladium (Pd) have replaced the zinc. These color variation treatments to gold are mostly used in jewelry.

Properties of Gold

An unparalleled combination of chemical and physical properties make gold invaluable to a wide range of everyday applications. One of the most important of these properties is gold's virtual indestructibility. Gold is the most non-reactive of all metals. It is called a "noble" metal (an alchemistic term) because it does not oxidize under ordinary conditions, meaning that it will never rust and never tarnish. Gold's physical properties of high electrical conductivity and chemical inertness make it an excellent and reliable conductor, particularly in harsh environments, where temperatures can range from -55°C to 200°C. The use of gold in circuitry ensures reliability of equipment operation, particularly in the vital activation of safety airbag mechanisms in motor vehicles or deployment of satellites and spacecraft.No other metal is as ductile or as malleable as gold. A single ounce of the metal can be drawn into a wire five miles long. Gold can be hammered into sheets so thin that light can pass through. High purity gold reflects infrared (heat) energy almost completely, making it ideal for heat and radiation reflection. Gold-coated visors protected astronauts' eyes from searing sunlight on the Apollo 11 moon landing. Gold is also an excellent conductor of thermal energy. It is used in many electronic processes to draw heat away from delicate instruments. For example, the main engine nozzle of the space shuttle uses a 35% gold alloy.

Gold Colors

White gold is very popular right now. It can be in 18-karat or 14-karat gold (but not in 22-karat, as it is yellow gold). There are two basic types of white gold alloys: white gold mixed with nickel and white gold mixed with palladium. Nickel can be mixed with gold to create a white or gray color, but some people have an allergy to nickel. Palladium is another metal used to create white gold. Palladium is better but it costs more.

Copper creates pink and rose tones in gold.The more the copper, the deeper will be the effect.

Greenish shades are created by adding silver to gold.

Rose gold and Green gold can be 18-karat or 14-karat but the color is stronger in the 14-karat alloys.

Purple gold. It is referred as amethyst or violet gold. Purple gold is obtained by mixing gold and aluminium in a certain fixed ratio. Gold content is almost 79% and therefore it is qualified to be referred to as 18K gold.

Blue gold is made as an inter-metallic compound between gold and indium . The gold gets a bluish hue color with this process.

Black gold is created using a few techniques. Electro-deposition using black rhodium or ruthenium is the first technique. Controlled oxidation of Carat gold containing cobalt or chromium can also be made to create black gold. Amorphous carbon is also used some times, with the Plasma Assisted Chemical Vapor Deposition process.

Uses of Gold

Gold has been prized by people since the earliest times for making statues and icons and also for jewelry to adorn their bodies. Intricately sculptured art objects and adornment jewelry have been uncovered in the Sumerian royal Tombs in southern Iraq and the tombs of Egyptian kings. Significant buildings and religious temples and statues have been covered with thinly beaten sheets of gold. Due to its rarity, gold has long been considered a symbol of the wealth and power of its possessor.

In 2001, it was estimated that 2870 tons of gold were produced worldwide. About 80 percent of that gold production was used to make jewelry, the majority of which was sold in India, Europe and the United States of America. Gold jewelry is universally popular, loved for its lustrous yellow color and untarnishing character. In many Asian countries, such as India, Thailand, and China, gold is important to religious ceremonies and social occasions, such as the Chinese New Year and Hindu marriages in India.Importantly, gold is still regarded throughout much of the world as a store of financial value, particularly in many developing countries. However it has many other vital uses in modern life.

Each year approximately 660 tons of gold are used in telecommunications, information technology, medical treatments, and various industrial applications. Due to its high electrical conductivity, gold is a vital component of many electrical devices, including computers. It is used in the manufacture of approximately 50 million computers each year, as well as millions of televisions, DVDs, VCRs, video cameras and mobile phones.

Gold has been used in medicine since 1927, when it was found to be useful in the treatment of rheumatoid arthritis. Even before then it was used in dentistry, in fillings and false teeth. Because it is non-toxic and biologically benign, gold is perfect for many medical applications. Surgeons use gold instruments to clear blocked coronary arteries. In another medical procedure, gold pellets are injected into the body to help obstruct the spread of prostate cancer in men. Gold is also used in lasers, which allow surgeons to seal wounds quickly or treat once-inoperable heart conditions. Thin gold wires are used in many surgical procedures to provide strong and inert support.

Gold as an Investment

In the West pension funds and mutual funds keep typically around 4% of their assets in gold partly as a hedge against inflation, partly as an alternative to major currencies such as the dollar and partly as an insurance against a major financial crisis. To invest in gold they buy shares in gold mines or futures contracts. There is an irony in this: in the event of the kind of meltdown they are insuring against, shares, futures contracts, even bullion deposited in a bank would in all likelihood be worthless. Only physical possession of gold would count.

In Asian countries many people prefer to keep their savings in gold rather than government paper. They buy gold in the form of jewelry or gold bars. In their long histories systemic risk has been more than just an abstract theory; its a historical and contemporary reality.

Thai gold jewelry costs only around 4% over the spot price of gold. This is about the same as gold coins . If you buy gold in the form of jewelry you have the added advantage of being able to use and enjoy it. You can't wear your coins or your share certificates to your friend's party! Hallmarked gold jewelry in the western world so exceeds the value of the bullion it contains that it could never be considered an an investment.

For the westerner, buying Thai gold has significant tax advantages.