The Art of Refining

As a consumer, you have felt the pinch of gas prices that over the past few years have become nearly as volatile as the fuel you are purchasing. And as an experienced business owner you know the same principle applies to the unpredictability of the metals market. Precious metals (gold, platinum, and palladium in particular) skyrocketed to unprecedented heights a year ago only to fall precipitously in subsequent months. Now, in the third quarter of 2012, the price of gold has found new footing and is climbing steadily back from its low this past April to its dizzying September 2011 levels. According to Thomson Reuters GFMS 2012 Gold Survey¹, gold is predicted to challenge the $1,800 mark by the end of the year and trade above $2,000 in the first quarter of 2013 with other precious metals such as platinum and palladium riding its coat tails. For the majority of dental laboratories using high noble and noble alloys in the manufacture of metal-based products, the recovery of precious metal scrap from the casting and subtractive production practices used to manufacture metal-based dental devices is a critical business management issue. From purchase and inventory control to strict oversight during the production process and the collection of scrap for refining, the precious metal cycle runs full circle from the outlay of cash to purchase the metals for manufacturing to receiving financial rewards for metal recovery efforts from your precious metals refining partner. At today’s prices, the cost of inventorying precious metals for the production of metal-based restorations requires a sharp business eye on historical usage patterns and knowing the exact amount needed for each restorative situation. The ability to maximize a return on that investment through scrap recovery becomes ever more important.

Because scrap collection and the refining processes are so critical and impact the bottom line of laboratory businesses, IDT is devoting this entire Business Insider section to best practices in precious metals management. On the following pages, you will find sound business advice from experts in the field as well as an inside look at four specialty refining companies and the processes they use to recover precious metals from your floor sweeps, carpets, and grindings. You will also hear from individual laboratory owners who benefitted from listening to the advice of their refining partners and acted on their guidance. We urge you to read these stories and carefully consider the important information these companies offer to help you better understand best practices refining processes and ways you too can maximize your returns.