When it comes to melting gold, whether for recycling, redesigning jewelry, or refining scrap, a common question arises: How much gold is lost when melted? The process of melting gold can lead to some loss, but understanding the factors that affect this loss can help you minimize it and get the most value from your gold.
In this article, we’ll explore the gold melting process, the factors that contribute to gold loss, and how much gold you can realistically expect to lose when melting. Additionally, we’ll look at local examples in New Zealand and Texas to help you understand how melting impacts gold value in different regions.
At TJ Handcrafted, we melt and recast gold at our Auckland casting house as part of our custom jewellery manufacturing process. When customers bring their own gold to use as the base material for a new commission, we assess it by XRF testing, confirm its weight and karat, and credit the full melt value toward the new piece — accounting transparently for any material loss that occurs during the casting process. Contact us to discuss a commission using your own gold →
What is the Gold Melting Process
Before we dive into the specifics of gold loss, it’s important to understand how gold melting works. Melting gold involves heating it to a high temperature—1,064°C (1,947°F)—until it turns into a liquid. At this point, the gold can be poured into molds, re-shaped, or mixed with other metals to create new alloys.
The key reason people melt gold is to recycle or refine scrap gold into a purer form. This is especially common for jewelry repair or when dealing with gold that’s no longer needed in its current form. However, during the melting process, there can be a small amount of gold loss, which is important to consider, especially if you are melting large quantities of gold.
How Much Gold Is Lost When Melted?
When you melt gold, there can be a loss of material due to several factors. The exact amount of gold lost during melting can vary, but typically, the loss is minimal if done correctly. Here’s what affects how much gold you lose:
1. Impurities in the Gold
Gold is often mixed with other metals to create alloys, such as copper, silver, or nickel. The higher the purity of the gold before melting, the less likely it is to lose much of its gold content. However, gold that is mixed with other metals can lose some of its weight in the process due to the removal of impurities.
Pure gold (24K) will generally lose the least during melting because there are fewer non-gold elements to burn off or separate.
Lower karat gold (14K, 18K) will experience a higher loss since there are more non-gold materials involved in the melting process.
2. Burning Loss
When melting gold, some of the material can burn off, especially if the gold is exposed to excessive heat or air. The process of burning or oxidation can cause a small portion of the gold to vaporize, especially if the gold is exposed to oxygen for long periods.
3. Loss During Refining
Refining processes, which are often used to purify gold further after it is melted, can lead to small losses. These refining techniques use chemicals or electrolysis, which can extract some of the non-gold materials from the melt. Depending on the method used, the refining process can cause anywhere from 1% to 5% of the original gold to be lost.
4. Improper Handling
If the gold is mishandled during the melting or pouring process, there’s a chance of losing small bits of gold. This could happen if the gold solidifies too quickly or if the pouring method is incorrect, causing some of the molten gold to stick to the mold or tools used.
How to Minimize Gold Loss When Melting
To get the most value from your gold when melting, there are a few best practices to follow:
1. Ensure High Purity
If you are melting pure gold (24K), you are less likely to experience significant loss. Try to avoid mixing gold with other metals that will require additional refining or cause more loss. If you must melt lower karat gold, be prepared for a slightly higher loss due to impurities.
2. Use a Controlled Environment
To avoid burning or oxidation, melt gold in a controlled environment with the correct amount of heat. This minimizes the chances of gold vaporizing and reduces loss. A gold melting furnace or induction furnace designed for gold is ideal because it controls the temperature precisely.
3. Utilize Experienced Refiners
If you’re unsure about melting gold yourself, consider working with an experienced refiner. Professional refiners are skilled in minimizing loss during the melting and refining process. They use state-of-the-art equipment to extract as much gold as possible.
4. Invest in Quality Tools and Molds
The equipment used during the melting process plays a critical role in minimizing gold loss. Use high-quality crucibles and molds that won’t allow gold to stick. Additionally, make sure to use a proper pouring technique to prevent spills or waste.
Local Considerations: Melting Gold in New Zealand and Texas
The gold melting process may not differ much from one location to another, but the cost of gold, local taxes, and market demand can vary. Here’s how it works in New Zealand and Texas.
New Zealand
In New Zealand, gold is priced in NZD. As of June 2025, the spot price for 24K gold hovers around 5,591–5,705 NZD/oz, which equates to about 180 NZD/gram. If you’re planning to melt gold in New Zealand, keep in mind that GST (Goods and Services Tax) is applied to transactions, including gold melting services, which could affect your overall cost.
For more insights into local gold prices in New Zealand, check out How Much Is Gold Worth in New Zealand.
Texas (U.S.)
In Texas, the gold melting process is very similar, with the value of gold being quoted in USD. As of June 2025, the spot price of gold is around $3,371 per ounce or $108 per gram. Since Texas has no state income tax, gold buyers and sellers can benefit from slightly lower costs compared to other regions in the U.S. For those melting larger quantities, such as 10 oz or 1 kg bars, it's essential to choose reputable refiners to minimize gold loss.
If you want more on gold pricing in Texas, check out How Much Is 1 Ounce of Gold in Texas.
The Bottom Line: How Much Gold Is Lost When Melted?
The loss of gold during the melting process is typically small but can range from 1% to 5%, depending on factors like gold purity, the melting process, and handling. Pure gold (24K) will experience the least loss, while lower karat gold may lose more during the melting process due to the removal of impurities.
By using proper techniques, controlled environments, and working with professional refiners, you can minimize the gold loss when melting your pieces. Understanding these details helps you make informed decisions and ensures you get the most value out of your gold.
For more tips on selling or buying gold, visitHow to Buy Gold in New Zealand andWhat is the Safest Way to Sell Gold.
Frequently Asked Questions
How much gold is typically lost when melting jewellery?
In a professional casting operation with controlled equipment and correct technique, material loss from melting jewellery-grade gold is typically very small — often less than 1% for a recast into the same karat alloy. Refining loss (when gold is being purified to a higher grade) is higher, typically 1–5% depending on the method. Burning loss and mechanical loss from improper handling can add to this, but these are largely preventable with the right equipment and process. For customers using their own gold in a TJ Handcrafted commission, the credit is based on the pre-melt XRF weight — not the recovered post-melt weight — so confirmed material is not at risk of being undercounted.
Does karat affect how much gold is lost when melting?
Yes — lower-karat gold contains more non-gold alloy metals (copper, silver, zinc), which are more susceptible to oxidation and burning loss during melting than gold itself. This means a 9K piece (62.5% alloy metals) will lose slightly more non-gold material during melting than an 18K piece (25% alloy metals). However, for a customer being paid or credited for the gold content of a piece, this distinction is accounted for in the pre-melt karat assessment — the payment is based on the gold weight (total weight × karat factor), and the alloy metal loss does not reduce the gold credit.
What is the difference between melting loss and refining loss?
Melting loss is the material lost when gold is heated to its liquid state and recast — it includes burning loss from oxidation and mechanical losses from handling and equipment. Refining loss is the additional material lost when molten gold is subjected to a chemical or electrolytic process to increase its purity. Refining loss (1–5%) is significantly higher than simple melting loss because the refining process deliberately removes material to separate gold from impurities. For customers having jewellery recast at the same karat, only melting loss applies — refining loss is relevant only when gold is being upgraded to a higher purity grade (e.g., from 18K to 24K investment-grade).
How can I make sure I am credited fairly when my gold is melted?
The key protection is pre-melt verification: have your gold weighed on certified scales and tested by XRF before any melting begins. The XRF result confirms the exact karat, and the certified scale confirms the total weight — from these two figures, the gold weight and melt value can be calculated precisely. Any offer or credit should be based on these pre-melt figures, not on the weight recovered after melting. A reputable caster or gold buyer will always assess before the melt and show you the figures. At TJ Handcrafted, pre-melt XRF and weight verification is standard for every transaction. Arrange a free assessment →
Can I use my own gold when commissioning a custom piece at TJ Handcrafted?
Yes — TJ Handcrafted's casting house accepts customer gold as the base material for a custom commission. Your gold is assessed by XRF and weighed before any work begins, and the full melt value is credited toward the new piece at the current NZD spot price — not at the 70–85% rate applied to cash purchases. This means you pay only the making charge for the new commission, with no buy-sell spread on the metal. The gold is then melted, alloyed to the chosen karat, and cast into your new piece on-site at our Auckland casting house. Contact us to start a commission →
