What Is Good Delivery Status?

The Good Delivery status is a quality standard—also used by The Silver Mountain—that is widely recognized in the international gold and silver trade. Gold bars and silver bars that carry the Good Delivery status meet strict criteria regarding weight, purity, and physical characteristics.

This status is issued by the London Bullion Market Association (LBMA) and ensures that precious metals are accepted on global markets. This makes trading in these metals safer and more transparent for both producers and investors, while guaranteeing consistent quality.

Requirements for Good Delivery Status

To qualify for Good Delivery status, gold and silver bars must meet specific requirements set by the LBMA. These include a weight range of 350 to 430 troy ounces for gold and a minimum purity of 99.5% for gold and 99.9% for silver.

Additionally, the bars must meet standards for dimensions, stamping, and markings. Only gold and silver mines that meet these stringent requirements may offer their products as Good Delivery bars.

Application of Good Delivery Status in Gold and Silver Trade

The Good Delivery status is a key quality mark in the global gold and silver trade. It ensures that transactions can occur without issues because the bars meet high standards. This is especially important for central banks, major investment funds, and institutional investors who regularly buy and sell large quantities of precious metals.

The Benefits of Good Delivery Status for Investors

For investors, Good Delivery status offers several advantages. First, it guarantees that the gold or silver bars purchased are of the highest quality and comply with international standards. This increases the liquidity of the precious metal, as bars with Good Delivery status are accepted worldwide.

Moreover, the assurance of consistency in quality and dimensions makes it easier to store and trade gold and silver securely.

The Process of Obtaining Good Delivery Status

Obtaining Good Delivery status is not a simple process. Mines must meet strict standards and are assessed by the LBMA based on their production processes, quality, and consistency.

This involves undergoing extensive audits, during which both the physical bars and internal procedures of the mines are thoroughly evaluated. They must also prove their ability to consistently produce high-quality bars that meet all requirements.

Future Outlook and Developments Around Good Delivery Status

The Good Delivery status is expected to continue playing an important role in precious metal trading. The standard helps maintain trust in the market, especially as transparency and ethical responsibility in the mining sector gain more attention.

Developments such as traceability from mine to final product are becoming increasingly important. It is likely that the requirements for obtaining Good Delivery status will become even stricter in the future to meet growing demand for sustainable and ethically sourced precious metals.

Would you like to learn more about trading gold and silver or the benefits of Good Delivery status? Contact us for personal advice and more information about our offerings.

Disclaimer: The Silver Mountain does not provide investment advice and this article should not be considered as such. Past performance is no guarantee of future results.