Assay

The process of analyzing a physical sample to determine its composition. In financial markets, the term assay usually refers to the chemical analysis of a mineral or ore sample to ascertain its content of precious metals or minerals, such as gold, copper, or uranium. These samples are obtained from drill holes made in a mineral or ore body, or property that is being evaluated for its metal or mineral content by a resource exploration or production company.

Since assay results provide an early indication of the potential value of a mineral or ore body, they are closely monitored by investors in junior resource companies, which are typically small-capitalization stocks. An exceptional assay result can trigger a substantial rally in the stock of a company that holds the mineral rights over the property. Conversely, poor assay results may lead to a significant decline in a stock that has run up on speculation about promising results.

In the futures markets, metals that are used to meet delivery requirements of futures contracts must be assayed to ensure that they meet the stringent quality and purity requirements mandated by the commodity futures exchange.


Investment dictionary. . 2012.

Synonyms:
(to determine the quality of metals, alloys, or ores), , , , (metallic substances), ,


Look at other dictionaries:

  • Assay — As*say , n. [OF. asai, essai, trial, F. essa. See {Essay}, n.] 1. Trial; attempt; essay. [Obs.] Chaucer. [1913 Webster] I am withal persuaded that it may prove much more easy in the assay than it now seems at distance. Milton. [1913 Webster] 2.… …   The Collaborative International Dictionary of English

  • Assay — Saltar a navegación, búsqueda Assay País …   Wikipedia Español

  • Assay — As*say , v. t. [imp. & p. p. {Assayed}; p. pr. & vb. n. {Assaying}.] [OF. asaier, essaier, F. essayer, fr. essai. See {Assay}, n., {Essay}, v.] 1. To try; to attempt; to apply. [Obs. or Archaic] [1913 Webster] To night let us assay our plot. Shak …   The Collaborative International Dictionary of English

  • assay — [n] analysis appraisal, assessment, estimation, evaluation, examination, inspection, investigation, measurement, rating, survey, test, trial, valuation; concepts 24,103,290 assay [v] analyze appraise, apprise, assess, check, check out, estimate,… …   New thesaurus

  • assay — ► NOUN ▪ the testing of a metal or ore to determine its ingredients and quality. ► VERB 1) carry out an assay on. 2) archaic attempt. DERIVATIVES assayer noun. ORIGIN Old French assai, essai trial …   English terms dictionary

  • assay — [as′ā, a sā′; ] for v. [ a sā′, əsā] n. [ME & Anglo Fr assai < OFr essai, trial: see ESSAY, n.] 1. an examination or testing 2. the analysis of an ore, alloy, drug, etc. to determine the nature, proportion, or purity of the ingredients 3. a… …   English World dictionary

  • Assay — As*say , v. i. To attempt, try, or endeavor. [Archaic. In this sense essay is now commonly used.] [1913 Webster] She thrice assayed to speak. Dryden. [1913 Webster] …   The Collaborative International Dictionary of English

  • assay — I noun analysis, ascertainment, assessment, breakdown, calculation, computation, diagnosis, examination, experiment, exploration, measurement, probation, probe, test, test case, verification II verb analyze, ascertain, assess, calculate, compute …   Law dictionary

  • assay — vb assess, evaluate, *estimate, appraise, value, rate Analogous words: *analyze, resolve: *calculate, compute, reckon: *prove, test, try, demonstrate …   New Dictionary of Synonyms

  • Assay — An assay is a procedure where a property or concentration of an analyte is measured.There are numerous types of assays, such as an antigen capture assay, bioassay, competitive protein binding assay, crude oil assay, four point assay, immunoassay …   Wikipedia

  • Assay — 47° 04′ 31″ N 0° 17′ 27″ E / 47.0752777778, 0.290833333333 …   Wikipédia en Français

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