While 1730 is considered Barnaul's official establishment date, its first mention dates back to 1724. It was granted city status in 1771. Chosen for its proximity to the mineral-rich Altai Mountains and its location on a major river, it was founded by the wealthy Demidov family. The Demidovs wanted to develop the copper in the mountains, and soon found substantial deposits of silver as well. In 1747, the Demidovs' factories were taken over by the Crown. Barnaul became the center of silver production of the entire Russian Empire.