sohailag---
Specific gravity is the ratio of the weight of a sample (in this case, your bar), to an equal volume of water.
The density ratio of gold:water is 19.32:1. This represents a Specific Gravity of 19.32.
If the specific gravity of your bar is only 1.06, then it is only 0.31 % of the density of gold. It would be a non-metallic substance, so I think your weights are wrong. It looks like you added an extra zero between the decimal point and the six.
The formula should go like this, using 1 Troy ounce of pure gold, as an example---
1.) Dry weight of sample is 31.10348 grams.
2.) Weight of sample suspended in water is 1.60991 grams (this is actually the weight of the displaced water).
3.) 31.10348 divided by 1.60991 = 19.32 Specific Gravity.
The technique of suspending the bar in water, gives the weight of the displaced water, not the weight of the bar. This allows for the division step to calculate the
ratio of the weight of the bar to the weight of the equal (displaced) volume of water, and thus arrive at the Specific Gravity figure. The bar cannot touch the bottom or sides of the container.
You can also get the weight of the displaced water by suspending a bar into a container of water, on a regular scale, as shown
here. This link also has calculators for figuring the amount of gold, when it is in combination with another mineral, but
only if the other material in it is known.
If you want to determine for your own reference, approximately how much gold your bars contain, you could take a small sample, weigh it, then dissolve it and selectively precipitate just the gold, then weigh the resultant gold to figure a percentage by weight. The purity of the resultant gold would determine the accuracy of your calculations, and the extent of your refining techniques would determine how pure you could be getting the precipitated gold powder.
But to be most accurate you would need an assay.
Edited for correction---
If suspending from a scale, you get the weight of the bar, less the weight of the displaced water, so you need to subtract the "wet" weight from the "dry" weight, to get the weight of the equal volume of water which is displaced.
If you have the water container sitting on the scale, the difference in weight, with and without the bar suspended in it, is the weight of the equal volume of displaced water.