Kilo Bar
Also: 1 kg bar, Kilogram bar, 1000 g bar
A kilo bar is a standardised precious metal bar weighing exactly 1,000 grams (1 kg), produced for gold, silver and other precious metals in cast or minted form.
The kilo bar is one of the most widely traded bar sizes in private and institutional precious metal trading. Weighing exactly 1,000 grams, it offers a convenient middle ground between the small bars (1-100 g) and the large bars reserved for interbank trading (e.g. the 400 troy ounce LBMA Good Delivery bar). Anyone wishing to calculate the current value of a kilo bar can use the gold calculator or the silver calculator.
Weight and Unit Conversion
One kilogram equals 32.1507 troy ounces in the troy weight system. This conversion is important because precious metal prices are always quoted internationally in troy ounces per US dollar.
1 kilo bar = 1,000 g ÷ 31.1035 g/oz = 32.1507 troy oz
Value (EUR) = 32.1507 × spot price (USD/oz) ÷ EUR/USD rate
You can find the current gold price and silver price as well as the day's exchange rate on this site.
Production: Cast or Minted
Kilo bars are produced in two ways:
- Cast bars are created by pouring molten metal into a mould. The surface is slightly rough and each bar is minimally individual - a feature that makes counterfeiting harder.
- Minted bars are stamped out of rolled strip and then pressed. They have smoother, more uniform surfaces and are especially suited to blister packaging with an assay certificate.
Leading manufacturers include Heraeus, Umicore, PAMP Suisse, Valcambi and Argor-Heraeus. All reputable providers stamp fineness, weight, serial number and their hallmark directly into the bar.
Fineness Overview
| Metal | Typical fineness | Designation |
|---|---|---|
| Gold | 999.9/1000 | Fine gold (four nines) |
| Silver | 999/1000 | Fine silver |
| Silver | 999.9/1000 | Extra-fine silver |
| Platinum | 999.5/1000 | Fine platinum |
| Palladium | 999.5/1000 | Fine palladium |
Tax Treatment in Malta
Gold kilo bars with a fineness of at least 995/1000 qualify as investment gold under Directive 2006/112/EC and are exempt from VAT. Silver kilo bars, by contrast, are subject to the standard Maltese VAT rate of 18 %. Malta levies no capital gains tax on private disposals of movable assets such as precious metals, so a private individual's gain from selling a bar is generally outside the scope of Maltese CGT (which applies only to specific assets such as immovable property, securities and business interests). Note: This is not tax or investment advice - please consult a tax adviser.
Storage and Safekeeping
A gold kilo bar, with a density of 19.32 g/cm³, has a volume of just under 52 cm³ - so it is surprisingly compact. Nevertheless, with several bars, professional storage in a bank safe deposit box or a certified bonded warehouse is advisable, since the value of a single gold kilo bar is typically in the five-figure euro range.
Distinction from the LBMA Good Delivery Bar
The LBMA Good Delivery bar common in international trading between central banks and commercial banks weighs between 350 and 430 troy ounces (approx. 10.9-13.4 kg) and is neither practical nor affordable for private investors. The kilo bar is the largest bar size available in retail as standard and without a substantial premium over the spot price.
In Brief
The kilo bar combines manageable handling with comparatively low percentage premiums - the larger the bar, the closer the purchase price lies to the pure material value. It suits investors who want to build larger positions in physical precious metal while minimising premium costs.