Photo Credit: Grants-Nuggets-Jewelry-and-More
Natural Gold Nugget Australian 9.94 Grams Genuine
Buy It Now Price: $503 (price as of 2016; item no longer available)
Pros:
-This is a natural Australian gold nugget that weighs in at a chunky 9.94 grams (0.3196 troy ounces). Almost the size of a U.S. quarter, it is a substantial specimen. Gold nuggets this large are rare and highly sought after.
-Australian gold nuggets are renowned for their high purity, with gold content typically running in the mid to high 90% range. Australia, along with the Alaska/Yukon region, is currently the world's premier gold field with significant nugget production.
-This particular nugget is a marvelous specimen with an interesting shape, lots of intricate detail and a rich, golden color. The highly textured surface is a physical characteristic common among Australian nuggets. It is an indicator that this nugget has not been subjected to much hydraulic action which usually happens to nuggets found in streams and rivers.
-Assuming 95% purity this nugget contains about $388 worth of gold (with a gold spot price of $1280 a troy ounce). Therefore, the premium you pay over spot for this specimen is $115, or a mere 30%. A 30% premium is on the low end for a gold nugget of this size, taking into account the fact that premiums generally increase in tandem with nugget size.
-This gold nugget originates from Orocal Natural Gold Company, a well-respected firm based in California that specializes in buying and selling natural gold nuggets. The specimen is also accompanied by a certificate of authenticity from Orocal.
Cons:
-Although this is a large gold nugget, there are still larger ones available. For example, one troy ounce gold nuggets - supposedly as rare as 5 carat diamonds - can still readily be purchased. Pricing for such a specimen would, predictably, be significantly higher than for this (still sizable) example.
-This gold nugget has no matrix (mother rock) or quartz embedded in it. An attractive gold nugget with matrix attached typically sells for a significantly higher premium than a similar nugget with no matrix.
