One of the most prized metallic elements in the world, silver has been valued for its beauty and usefulness for thousands of years. It is believed that silver began to be mined around 2500 B.C.E. Silver ranks 66th in natural abundance among elements in the Earth’s crust. Silver must be mined from deep deposits, brought to the surface, and processed before it can be traded in the market.
Silver Mining Process
While many technologies exist, silver is typically mined through a process that uses gravity to break and extract ore from large deposits. The exact method of ore removal used varies by the physical characteristics of the rock surrounding the metal, as well as the unique shape of the deposit. Deposits are often long and cylindrical, so they are known as veins. Silver ore can be strong and made up of solid nuggets, but it can also be found in the form of flakes within a more substantial deposit of sand, gravel, and other minerals.
Silver is often mined alongside gold, and it is found together as an alloy called electrum. Other elements regularly mined with silver include argentite, pyrargyrite, and cerargyrite, the latter sometimes known as Horn Silver. Silver also occurs alongside lead, copper, and zinc ores; nearly 50% of the silver mined today is obtained when processing other kinds of ore. Silver is separated from this ore using a chemical process known as smelting.
To begin a new silver mine, a system of multi-layered crosscuts is made. Each cut connects to a central shaft but is kept at a safe vertical distance to avoid collapses. Openings called raises are dug to connect each level. These openings divide the body of ore into blocks. At this point, the silver mine is ready to begin extraction. The ore is often removed starting at the bottom and working up one layer at a time in a method called overhand stoping. Mines include a network of tunnels and chambers designed to safely raise the pulverized ore up and out in mine cars.
Where is Silver Mined?
Peru, Poland, Norway, Canada, and the U.S. are world leaders in silver mining, with Mexico serving as the country with the largest annual production. The oldest silver mines still in operation are located in Peru and Norway. Silver is also mined in Bolivia. In Europe, practically all silver mines are extracted as lead sulfide ore, also known as Galena. Down under Queensland, Australia, the Cannington mine is one of the world’s largest in terms of reserves. In North America, very few mines extract silver alone; most U.S. mines primarily dig for zinc, lead, and copper. Within the U.S., states that lead in silver mining are Arizona, Montana, Nevada, and Idaho.
Mining Methods Today
During the 1970s, the mining industry began developing deep-sea mining methods. This technology extracts nodules from the floor of the Pacific Ocean rich with copper, manganese, nickel, silver, and various other metallic elements. While this technology is promising, traditional mining methods are still more common.
Advancements in mining are a critical component of silver market news. Mining costs, employee safety, acquisitions, and new deposit discoveries all impact the silver market’s valuation. While the mining sector may not be front-page news in your local newspaper, investors and industry insiders pay very close attention because seemingly subtle changes can have a profound impact on prices.
