Is Palladium a Precious Metal?
A precious metal is a naturally occurring metallic element with high economic and cultural value due to its rarity, luster, and various industrial and ornamental applications. Palladium is a precious metal with unique properties and commercial importance akin to its renowned counterparts like gold, silver, and platinum.
What is Palladium?
Palladium is a silvery-white transition metal belonging to the periodic table’s platinum group of elements. William Hyde Wollaston discovered palladium in 1803 and named it after the asteroid Pallas, which was discovered around the same time. Palladium is known for its distinct luster, durability, and high resistance to corrosion, making it a valuable material in various industrial and technological applications. It has also become popular in recent years to invest in palladium.
Palladium Chemical Properties
Chemically, palladium boasts remarkable properties that contribute to its precious nature. Palladium features a relatively high density and atomic weight. It exhibits exceptional catalytic capabilities, making it a critical component in catalytic converters that reduce harmful vehicle emissions. Its chemical stability and inertness also contribute to its desirability for various industrial processes.
Palladium in the Periodic Table
With an atomic number of 46, palladium is positioned alongside platinum and nickel in Group 10 of the periodic table. It has an atomic weight of 106.42 units and a 12.023 Mg/m3 density. It is characterized by its high melting point and similar electron configuration to neighboring metals.
Melting Point and Isotopes
Palladium’s notable melting point of 1,554.9 degrees Celsius (2,830.4 degrees Fahrenheit) emphasizes its robustness in high-temperature environments. Furthermore, palladium has several stable isotopes, including Palladium-106 and Palladium-108, each contributing to its distinct properties and uses across various fields.
How Rare is Palladium?
Palladium is considered a relatively rare precious metal. It is rarer than well-known precious metals like gold and silver. When comparing palladium to gold, palladium is thirty times rarer and has sometimes been worth more per troy ounce. Though not as scarce as some of the rarest elements, palladium’s limited global production contributes to its value. Its finite availability has prompted increased interest in mining and extraction, particularly as its industrial applications continue expanding.
Palladium Sources
Palladium is mainly found in two types of deposits: primary and secondary. Primary deposits, like magmatic sulfide and layered intrusion deposits, have palladium as the main target mineral. These deposits are often associated with other platinum group elements (PGEs) and are mined in places like South Africa’s Bushveld Complex and Russia’s Norilsk-Talnakh region. Secondary deposits, on the other hand, yield palladium as a byproduct while mining other metals like copper, nickel, and platinum. Notable sources include Canada’s Sudbury Basin and certain gold deposits.
Palladium mining is concentrated in key regions worldwide. Russia is a major producer, mainly from the Norilsk-Talnakh area. South Africa’s Bushveld Complex is renowned for platinum and palladium, with mines such as Stillwater and Impala. Canada contributes through the Sudbury Basin, where it is extracted alongside nickel and copper. The United States, particularly Montana, adds to production through copper-nickel mining. Zimbabwe’s Great Dyke region is also emerging as a palladium source.
However, palladium production varies due to demand, technology, and economic conditions. Other countries like Australia, Finland, and Botswana also contribute, though to a lesser extent. Additionally, palladium recycling from catalytic converters and industrial uses contributes to the global supply, adding complexity to the metal’s sourcing landscape.
Palladium vs Platinum: How Are They Different?
Platinum and palladium are valuable metals from the same group, but they have notable differences. Both metals are crucial in reducing vehicle emissions, with platinum in diesel and palladium in gasoline engines. It is chemically inert and resistant to corrosion, making it suitable for various industrial uses. In contrast, palladium is more reactive and can readily form compounds, making it useful in specific catalytic reactions.
Platinum stands out for its durability, finding its place in specialized industries. It is denser and stronger than palladium. Palladium, more reactive, serves similar purposes while being more accessible and hypoallergenic, making it a popular choice for various applications, from emissions control to jewelry crafting. Palladium is also rarer than platinum, and the price of palladium is historically higher than the price of platinum.
Palladium Applications
Its wide-ranging applications highlight the versatility of palladium. Since it is integral in catalytic converters, the automotive industry uses over 80% of the palladium produced. Additionally, its use in electronics, dentistry, and even medicine makes it indispensable in modern technological advancements.
Catalytic Converters
One of the most significant uses of palladium is in catalytic converters for automobiles. Palladium and platinum in catalytic converters convert harmful pollutants in exhaust gases into less harmful substances, reducing emissions.
Electronics
It is used in electronics manufacturing, particularly for creating components like capacitors, connectors, and soldering materials. It is also used in multilayer ceramic capacitors (MLCCs) in various electronic devices.
Jewelry
Palladium’s white and lustrous appearance makes it a popular metal for jewelry. It is malleable, doesn’t tarnish in the air, and can be used to produce white gold. White gold created with 75% yellow gold and 25% palladium is the purest white gold on the market.
Dentistry
It is used in dentistry for creating dental crowns, bridges, and other dental appliances due to its biocompatibility and resistance to corrosion.
Hydrogen Storage
Palladium can absorb significant amounts of hydrogen gas, making it useful for hydrogen storage and purification applications.
Fuel Cells
It plays a role in hydrogen fuel cells, which are environmentally friendly energy sources that convert hydrogen and oxygen into electricity.
Aerospace and Aviation
Palladium is used in aerospace applications, including producing aircraft spark plugs and as a coating material for turbine blades.
Photography
While this application has diminished with the shift to digital photography, it was historically used to produce black-and-white photographic prints.
Medicine
Palladium compounds have been investigated for potential medical uses, such as cancer treatment and diagnostic imaging.
Palladium Bullion
While there have been instances of it being turned into bullion as far back as 1966 in Sierra Leone, it wasn’t a popular investment choice until the 20th century. Now, palladium is sold as bullion coins.
Buying Palladium Bullion
Investors and collectors alike have shown increasing interest in palladium, leading to the minting of coins and the production of palladium bullion. The United States Congress approved adding palladium to the American Eagle bullion program in 2010. However, the first American Eagle Palladium Bullion wasn’t produced until 2017. Being thirty times rarer than gold, palladium’s rarity is one driving cause of the element’s demand and value as bullion. Precious metals typically move opposite of the stock market, so buying palladium can be a strategic move to diversify your portfolio and hedge against economic uncertainties.
It’s use and contributions to industry alongside its rarity make it a valuable asset. Palladium’s beautiful luster, chemical properties, and utilization give it a distinguished position among other precious metals such as gold, silver, and platinum.
