Gold

[JBmurc]

...and that is... a ton of cash! Thanks for mentioning Africa. Forgot that I hold Perseus and keep topping up. Can't beat a bottom left to top right price graph. Will check out Galiano. Thanks for the financial breakdown. Am more familiar with Namibia and the ASX U companies. But that's another story for a separate thread!

Yes, one of the reasons I wanted to compare some of NYSE / TSX etc sub 500mill Gold plays to the ASX micro-cap producers which I've found quite expensive to the likes of GAU .. for one not many have a 45% share in a 5Mtpa CIL plant + 5Moz near surface resource .. Plant alone replacement cost alone is some $400mill+ ...

then x-factor wise you have GAU the operator of the mine has 45% JVP Goldfields wanting to make a decision on there position ..

By Jacob Lorinc
September 20, 2023 at 9:27 AM GMT+12
Gold Fields Ltd. will decide whether to keep or dispose of its stake in its smallest gold asset within the next four months, according to interim Chief Executive Officer Martin Preece.

The Johannesburg-listed firm is “exploring all the options” for the Asanko gold mine in Ghana, including a total divestiture or a move to boost its ownership, Preece told Bloomberg.


Makes sense to me that an operator keeps the project aka GUA buys out GF 45% .. through a scrip deal + cash payments over the next few years ... this IMHO will be great for GAU to hold 90% and forward plan to become a major Gold producer that will if successive command 1-2Bill cap in time if they can extend LOM 20yrs+ etc

[JBmurc]

SBSW..Is this interest drive by Century Mine developments or just general company direction?

Oversold bounce IMHO ... SBSW is still a major Gold producer of 700-800koz+(when you include PGM4E gold etc) pa gold close to $2100oz etc ...

..post I come across that I agree with>>>

I'm surprised some sovereign funds are not stockpiling platinum at these prices, as a safe haven asset. $1 billion buys you roughly 1 million ounces. What an opportunity to sell that soon-to-be worthless US Dollar and buy Platinum, Platinum And Rhodium at close to 5-year lows. 1 Billion is nothing for a Chinese or Saudi Sovereign Wealth Fund. They could buy 1 Billion a day in the futures and ask for delivery. I wonder what that would do to the naked PGM shorts in London and New York, per the Fed trying to maintain interest in its currency.

[Daytr]

Oversold bounce IMHO ... SBSW is still a major Gold producer of 700-800koz+(when you include PGM4E gold etc) pa gold close to $2100oz etc ...

..post I come across that I agree with>>>

I'm surprised some sovereign funds are not stockpiling platinum at these prices, as a safe haven asset. $1 billion buys you roughly 1 million ounces. What an opportunity to sell that soon-to-be worthless US Dollar and buy Platinum, Platinum And Rhodium at close to 5-year lows. 1 Billion is nothing for a Chinese or Saudi Sovereign Wealth Fund. They could buy 1 Billion a day in the futures and ask for delivery. I wonder what that would do to the naked PGM shorts in London and New York, per the Fed trying to maintain interest in its currency.

Yes I have thought the same re Platinum for some time. Back when Platinum peaked about 15 years ago well over $2000/toz there was a lot of substitution to Palladium as back them it was considerably cheaper. There was also a big push for Platinum in regards jewelry which did have some impact on demand.
I think that speculative push higher put a lot of industrial consumers off and the substitution has hurt Platinum demand ever since.

But I agree re Sovereign Wealth funds, it would be a good reserve type investment.

Rhodium is far too illiquid to hold as an investment. The spreads are incredible at times.

[Daytr]

Wow look at gold go. Just smashed through all time highs.

[mistymountain]

Wow look at gold go. Just smashed through all time highs.

Yip. Bunch of reasons.

1. Iranian backed Yemen rebels having a crack at the US Navy and other ships. Will this be the spark that sets the Middle East into a wider conflict? Hence Gold an Insurance hedge
2. Macro reality setting in with as world realises US sovereign debt is unsustainable; Hence Gold an Insurance hedge
3. TA (noted in previous posts) once that 2070 pierced expect a price spike. 2500 here we come??
4. https://tradingeconomics.com/commodity/gold on the 25 year shows that we're overdue for a decent bull run.

Let's enjoy the ride!

Cheers

[Daytr]

Yip. Bunch of reasons.

1. Iranian backed Yemen rebels having a crack at the US Navy and other ships. Will this be the spark that sets the Middle East into a wider conflict? Hence Gold an Insurance hedge
2. Macro reality setting in with as world realises US sovereign debt is unsustainable; Hence Gold an Insurance hedge
3. TA (noted in previous posts) once that 2070 pierced expect a price spike. 2500 here we come??
4. https://tradingeconomics.com/commodity/gold on the 25 year shows that we're overdue for a decent bull run.

Let's enjoy the ride!

Cheers

I will either way. Enjoy that is.
Chart looks massively overbought.
Reminds me of 2012 when gold spiked and then came crashing down.
Now over $60 off its highs this morning in early morning illiquid trade.

But yep there is plenty of tension / conflict around the world that could spark the price up again. I do wonder if MidEast tensions are already priced in & it might take a major escalation to support gold further.

[winner69]

"There are about three hundred economists in the world who are against gold, and they think that gold is a barbarous relic - and they might be right. Unfortunately, there are three billion inhabitants of the world who believe in gold." - Janos Fekete

[Daytr]

"There are about three hundred economists in the world who are against gold, and they think that gold is a barbarous relic - and they might be right. Unfortunately, there are three billion inhabitants of the world who believe in gold." - Janos Fekete

Well those economists were right for about 20 years & funny enough it was really the producers of gold that made the rally in the early 2000s by over a period of time closing out about 3,000 tons of gold hedging.

Many of those economists failed to recognize yhe change in the market especially when gold hit the cost of production price.
Mind you it's only about 10% above it's highs of 2012.

Overall I think gold is heading to $3000 but I think we might see a pretty big pull back first.

[winner69]

I got some gold when world was falling apart 12 or so years ago ….cost me about nz$2,000 Oz

Suppose a 65% gain over that time reasonable

Hope it’s still where I buried it

[Daytr]

I got some gold when world was falling apart 12 or so years ago ….cost me about nz$2,000 Oz

Suppose a 65% gain over that time reasonable

Hope it’s still where I buried it

Haha indeed. Get out that metal detector in the middle of the night!

How much of that gain was due to the NZD?