sixgun

Well i didn't get it - i was too slow.

The biggest cost in mining / refining gold and silver is energy.
A lot of silver is a by-product of gold and base metal extraction. It could be seen a coming for free.
Asking Chat GPT i see this.
What is the average cost of mining and refining gold and silver?   ChatGPT The average cost of mining and refining gold and silver can vary widely based on a number of factors including the location of the mine, the quality of the ore, the scale of operations, and the technology used. Here's a general overview:
Gold:
Mining Costs:
The cost to mine gold varies but typically ranges between $600 and $1,000 per ounce. These costs include the direct mining costs, processing, and transportation. All-In Sustaining Costs (AISC):
This is a comprehensive measure of the cost to produce gold, including sustaining capital, administrative costs, and exploration. AISC typically ranges from $900 to $1,300 per ounce. Refining Costs:
Refining gold typically costs between $5 and $20 per ounce, depending on the method used and the purity required. Silver:
Mining Costs:
The cost to mine silver varies and is generally lower than gold. Typical costs can range from $10 to $30 per ounce. This includes extraction and processing costs. All-In Sustaining Costs (AISC):
For silver, AISC can range from $12 to $20 per ounce. This includes all the associated costs of production. Refining Costs:
Refining silver is also less expensive than gold, typically costing between $0.50 and $2 per ounce. Factors Affecting Costs:
Location: Costs can be significantly higher in remote locations where infrastructure is limited. Ore Grade: Higher-grade ores (higher concentration of gold or silver) reduce the cost per ounce since more metal can be extracted from a smaller amount of ore. Energy Costs: Mining is energy-intensive, so the cost of energy (electricity, diesel) can impact overall costs. Labor Costs: The cost of labor can vary significantly depending on the country and the skill level required. Regulatory Costs: Environmental regulations and other governmental requirements can add to the cost of mining and refining. Technology: Advances in mining and refining technology can lower costs over time. Industry Data:
To get the most accurate and up-to-date information, industry reports and financial statements from major mining companies (such as Barrick Gold, Newmont Corporation for gold, and Pan American Silver, Fresnillo for silver) are valuable resources. These companies regularly publish detailed cost breakdowns in their annual reports and quarterly updates.
Conclusion:
While the average costs mentioned provide a general overview, the specific costs for mining and refining gold and silver can vary significantly based on a multitude of factors. Always refer to the latest industry data and reports for the most accurate and detailed information.
As we can see the all in sustaining cost (AISC) of an ounce of gold is up to $1300 and that of an ounce of silver is $20. That gives you a AISC ratio of 65.
One might reasonably argue the GS ratio should be around 65 - not that gold should be $1300 and silver $20 but a multiple of the 65 ratio. However there are confounding factors. The first is that silver is consumed, so above ground gold accumulates whilst silver 'disappears' and no longer contribute to the supply chain. Indeed we have seen deficits in silver in recent years - when did you ever hear of a gold deficit other than at Fort Knox?
We could argue that there is an awful lot of gold around that only cost a few dollars to mine whilst silver at similar prices has in the main long gone to the municipal dump. Silver is actually needed - it may be replaced at some point by alternatives but currently it just isn't worth the effort. Consumption continues to climb especially in the field of Green technology. If the demand for silver radically outstrips supply we would and some might say will see intense competition for silver. If a company's production line for high end mobile devices grinds to a halt due to insufficient silver we would surely see the price of silver going up multiples of the present level. If the silver in a phone currently costing $1 had to go to $20 to secure supply, then so be it, the consumer will have to pay and at the same time we see silver at $100's per ounce.
 

The biggest cost in mining / refining gold and silver is energy.
A lot of silver is a by-product of gold and base metal extraction. It could be seen a coming for free.
Asking Chat GPT i see this.
What is the average cost of mining and refining gold and silver?   ChatGPT The average cost of mining and refining gold and silver can vary widely based on a number of factors including the location of the mine, the quality of the ore, the scale of operations, and the technology used. Here's a general overview:
Gold:
Mining Costs:
The cost to mine gold varies but typically ranges between $600 and $1,000 per ounce. These costs include the direct mining costs, processing, and transportation. All-In Sustaining Costs (AISC):
This is a comprehensive measure of the cost to produce gold, including sustaining capital, administrative costs, and exploration. AISC typically ranges from $900 to $1,300 per ounce. Refining Costs:
Refining gold typically costs between $5 and $20 per ounce, depending on the method used and the purity required. Silver:
Mining Costs:
The cost to mine silver varies and is generally lower than gold. Typical costs can range from $10 to $30 per ounce. This includes extraction and processing costs. All-In Sustaining Costs (AISC):
For silver, AISC can range from $12 to $20 per ounce. This includes all the associated costs of production. Refining Costs:
Refining silver is also less expensive than gold, typically costing between $0.50 and $2 per ounce. Factors Affecting Costs:
Location: Costs can be significantly higher in remote locations where infrastructure is limited. Ore Grade: Higher-grade ores (higher concentration of gold or silver) reduce the cost per ounce since more metal can be extracted from a smaller amount of ore. Energy Costs: Mining is energy-intensive, so the cost of energy (electricity, diesel) can impact overall costs. Labor Costs: The cost of labor can vary significantly depending on the country and the skill level required. Regulatory Costs: Environmental regulations and other governmental requirements can add to the cost of mining and refining. Technology: Advances in mining and refining technology can lower costs over time. Industry Data:
To get the most accurate and up-to-date information, industry reports and financial statements from major mining companies (such as Barrick Gold, Newmont Corporation for gold, and Pan American Silver, Fresnillo for silver) are valuable resources. These companies regularly publish detailed cost breakdowns in their annual reports and quarterly updates.
Conclusion:
While the average costs mentioned provide a general overview, the specific costs for mining and refining gold and silver can vary significantly based on a multitude of factors. Always refer to the latest industry data and reports for the most accurate and detailed information.
As we can see the all in sustaining cost (AISC) of an ounce of gold is up to $1300 and that of an ounce of silver is $20. That gives you a AISC ratio of 65.
One might reasonably argue the GS ratio should be around 65 - not that gold should be $1300 and silver $20 but a multiple of the 65 ratio. However there are confounding factors. The first is that silver is consumed, so above ground gold accumulates whilst silver 'disappears' and no longer contribute to the supply chain. Indeed we have seen deficits in silver in recent years - when did you ever hear of a gold deficit other than at Fort Knox?
We could argue that there is an awful lot of gold around that only cost a few dollars to mine whilst silver at similar prices has in the main long gone to the municipal dump. Silver is actually needed - it may be replaced at some point by alternatives but currently it just isn't worth the effort. Consumption continues to climb especially in the field of Green technology. If the demand for silver radically outstrips supply we would and some might say will see intense competition for silver. If a company's production line for high end mobile devices grinds to a halt due to insufficient silver we would surely see the price of silver going up multiples of the present level. If the silver in a phone currently costing $1 had to go to $20 to secure supply, then so be it, the consumer will have to pay and at the same time we see silver at $100's per ounce.
 

The biggest cost in mining / refining gold and silver is energy.
A lot of silver is a by-product of gold and base metal extraction. It could be seen a coming for free.
Asking Chat GPT i see this.
What is the average cost of mining and refining gold and silver?   ChatGPT The average cost of mining and refining gold and silver can vary widely based on a number of factors including the location of the mine, the quality of the ore, the scale of operations, and the technology used. Here's a general overview:
Gold:
Mining Costs:
The cost to mine gold varies but typically ranges between $600 and $1,000 per ounce. These costs include the direct mining costs, processing, and transportation. All-In Sustaining Costs (AISC):
This is a comprehensive measure of the cost to produce gold, including sustaining capital, administrative costs, and exploration. AISC typically ranges from $900 to $1,300 per ounce. Refining Costs:
Refining gold typically costs between $5 and $20 per ounce, depending on the method used and the purity required. Silver:
Mining Costs:
The cost to mine silver varies and is generally lower than gold. Typical costs can range from $10 to $30 per ounce. This includes extraction and processing costs. All-In Sustaining Costs (AISC):
For silver, AISC can range from $12 to $20 per ounce. This includes all the associated costs of production. Refining Costs:
Refining silver is also less expensive than gold, typically costing between $0.50 and $2 per ounce. Factors Affecting Costs:
Location: Costs can be significantly higher in remote locations where infrastructure is limited. Ore Grade: Higher-grade ores (higher concentration of gold or silver) reduce the cost per ounce since more metal can be extracted from a smaller amount of ore. Energy Costs: Mining is energy-intensive, so the cost of energy (electricity, diesel) can impact overall costs. Labor Costs: The cost of labor can vary significantly depending on the country and the skill level required. Regulatory Costs: Environmental regulations and other governmental requirements can add to the cost of mining and refining. Technology: Advances in mining and refining technology can lower costs over time. Industry Data:
To get the most accurate and up-to-date information, industry reports and financial statements from major mining companies (such as Barrick Gold, Newmont Corporation for gold, and Pan American Silver, Fresnillo for silver) are valuable resources. These companies regularly publish detailed cost breakdowns in their annual reports and quarterly updates.
Conclusion:
While the average costs mentioned provide a general overview, the specific costs for mining and refining gold and silver can vary significantly based on a multitude of factors. Always refer to the latest industry data and reports for the most accurate and detailed information.
As we can see the all in sustaining cost (AISC) of an ounce of gold is up to $1300 and that of an ounce of silver is $20. That gives you a AISC ratio of 65.
One might reasonably argue the GS ratio should be around 65 - not that gold should be $1300 and silver $20 but a multiple of the 65 ratio. However there are confounding factors. The first is that silver is consumed, so above ground gold accumulates whilst silver 'disappears' and no longer contribute to the supply chain. Indeed we have seen deficits in silver in recent years - when did you ever hear of a gold deficit other than at Fort Knox?
We could argue that there is an awful lot of gold around that only cost a few dollars to mine whilst silver at similar prices has in the main long gone to the municipal dump. Silver is actually needed - it may be replaced at some point by alternatives but currently it just isn't worth the effort. Consumption continues to climb especially in the field of Green technology. If the demand for silver radically outstrips supply we would and some might say will see intense competition for silver. If a company's production line for high end mobile devices grinds to a halt due to insufficient silver we would surely see the price of silver going up multiples of the present level. If the silver in a phone currently costing $1 had to go to $20 to secure supply, then so be it, the consumer will have to pay and at the same time we see silver at $100's per ounce.
 

The biggest cost in mining / refining gold and silver is energy.
A lot of silver is a by-product of gold and base metal extraction. It could be seen a coming for free.
Asking Chat GPT i see this.
What is the average cost of mining and refining gold and silver?   ChatGPT The average cost of mining and refining gold and silver can vary widely based on a number of factors including the location of the mine, the quality of the ore, the scale of operations, and the technology used. Here's a general overview:
Gold:
Mining Costs:
The cost to mine gold varies but typically ranges between $600 and $1,000 per ounce. These costs include the direct mining costs, processing, and transportation. All-In Sustaining Costs (AISC):
This is a comprehensive measure of the cost to produce gold, including sustaining capital, administrative costs, and exploration. AISC typically ranges from $900 to $1,300 per ounce. Refining Costs:
Refining gold typically costs between $5 and $20 per ounce, depending on the method used and the purity required. Silver:
Mining Costs:
The cost to mine silver varies and is generally lower than gold. Typical costs can range from $10 to $30 per ounce. This includes extraction and processing costs. All-In Sustaining Costs (AISC):
For silver, AISC can range from $12 to $20 per ounce. This includes all the associated costs of production. Refining Costs:
Refining silver is also less expensive than gold, typically costing between $0.50 and $2 per ounce. Factors Affecting Costs:
Location: Costs can be significantly higher in remote locations where infrastructure is limited. Ore Grade: Higher-grade ores (higher concentration of gold or silver) reduce the cost per ounce since more metal can be extracted from a smaller amount of ore. Energy Costs: Mining is energy-intensive, so the cost of energy (electricity, diesel) can impact overall costs. Labor Costs: The cost of labor can vary significantly depending on the country and the skill level required. Regulatory Costs: Environmental regulations and other governmental requirements can add to the cost of mining and refining. Technology: Advances in mining and refining technology can lower costs over time. Industry Data:
To get the most accurate and up-to-date information, industry reports and financial statements from major mining companies (such as Barrick Gold, Newmont Corporation for gold, and Pan American Silver, Fresnillo for silver) are valuable resources. These companies regularly publish detailed cost breakdowns in their annual reports and quarterly updates.
Conclusion:
While the average costs mentioned provide a general overview, the specific costs for mining and refining gold and silver can vary significantly based on a multitude of factors. Always refer to the latest industry data and reports for the most accurate and detailed information.
As we can see the all in sustaining cost (AISC) of an ounce of gold is up to $1300 and that of an ounce of silver is $20. That gives you a AISC ratio of 65.
One might reasonably argue the GS ratio should be around 65 - not that gold should be $1300 and silver $20 but a multiple of the 65 ratio. However there are confounding factors. The first is that silver is consumed, so above ground gold accumulates whilst silver 'disappears' and no longer contribute to the supply chain. Indeed we have seen deficits in silver in recent years - when did you ever hear of a gold deficit other than at Fort Knox?
We could argue that there is an awful lot of gold around that only cost a few dollars to mine whilst silver at similar prices has in the main long gone to the municipal dump. Silver is actually needed - it may be replaced at some point by alternatives but currently it just isn't worth the effort. Consumption continues to climb especially in the field of Green technology. If the demand for silver radically outstrips supply we would and some might say will see intense competition for silver. If a company's production line for high end mobile devices grinds to a halt due to insufficient silver we would surely see the price of silver going up multiples of the present level. If the silver in a phone currently costing $1 had to go to $20 to secure supply, then so be it, the consumer will have to pay and at the same time we see silver at $100's per ounce.
 

The biggest cost in mining / refining gold and silver is energy.
A lot of silver is a by-product of gold and base metal extraction. It could be seen a coming for free.
Asking Chat GPT i see this.
What is the average cost of mining and refining gold and silver?   ChatGPT The average cost of mining and refining gold and silver can vary widely based on a number of factors including the location of the mine, the quality of the ore, the scale of operations, and the technology used. Here's a general overview:
Gold:
Mining Costs:
The cost to mine gold varies but typically ranges between $600 and $1,000 per ounce. These costs include the direct mining costs, processing, and transportation. All-In Sustaining Costs (AISC):
This is a comprehensive measure of the cost to produce gold, including sustaining capital, administrative costs, and exploration. AISC typically ranges from $900 to $1,300 per ounce. Refining Costs:
Refining gold typically costs between $5 and $20 per ounce, depending on the method used and the purity required. Silver:
Mining Costs:
The cost to mine silver varies and is generally lower than gold. Typical costs can range from $10 to $30 per ounce. This includes extraction and processing costs. All-In Sustaining Costs (AISC):
For silver, AISC can range from $12 to $20 per ounce. This includes all the associated costs of production. Refining Costs:
Refining silver is also less expensive than gold, typically costing between $0.50 and $2 per ounce. Factors Affecting Costs:
Location: Costs can be significantly higher in remote locations where infrastructure is limited. Ore Grade: Higher-grade ores (higher concentration of gold or silver) reduce the cost per ounce since more metal can be extracted from a smaller amount of ore. Energy Costs: Mining is energy-intensive, so the cost of energy (electricity, diesel) can impact overall costs. Labor Costs: The cost of labor can vary significantly depending on the country and the skill level required. Regulatory Costs: Environmental regulations and other governmental requirements can add to the cost of mining and refining. Technology: Advances in mining and refining technology can lower costs over time. Industry Data:
To get the most accurate and up-to-date information, industry reports and financial statements from major mining companies (such as Barrick Gold, Newmont Corporation for gold, and Pan American Silver, Fresnillo for silver) are valuable resources. These companies regularly publish detailed cost breakdowns in their annual reports and quarterly updates.
Conclusion:
While the average costs mentioned provide a general overview, the specific costs for mining and refining gold and silver can vary significantly based on a multitude of factors. Always refer to the latest industry data and reports for the most accurate and detailed information.
As we can see the all in sustaining cost (AISC) of an ounce of gold is up to $1300 and that of an ounce of silver is $20. That gives you a AISC ratio of 65.
One might reasonably argue the GS ratio should be around 65 - not that gold should be $1300 and silver $20 but a multiple of the 65 ratio. However there are confounding factors. The first is that silver is consumed, so above ground gold accumulates whilst silver 'disappears' and no longer contribute to the supply chain. Indeed we have seen deficits in silver in recent years - when did you ever hear of a gold deficit other than at Fort Knox?
We could argue that there is an awful lot of gold around that only cost a few dollars to mine whilst silver at similar prices has in the main long gone to the municipal dump. Silver is actually needed - it may be replaced at some point by alternatives but currently it just isn't worth the effort. Consumption continues to climb especially in the field of Green technology. If the demand for silver radically outstrips supply we would and some might say will see intense competition for silver. If a company's production line for high end mobile devices grinds to a halt due to insufficient silver we would surely see the price of silver going up multiples of the present level. If the silver in a phone currently costing $1 had to go to $20 to secure supply, then so be it, the consumer will have to pay and at the same time we see silver at $100's per ounce.
 

No of course it isn't 'solely down to paper traders'. Mined supply is falling - there has been big silver deficits since 2021. Demand is soaring both industrially and from physical investors. The Shanghai price is dollars higher than the suppressed Western price which further sucks silver out and to the East. The net result is the supply does not equal demand so the price is getting pushed up; and as the price gets pushed up the shorts have to start closing which compounds the rise. 

No of course it isn't 'solely down to paper traders'. Mined supply is falling - there has been big silver deficits since 2021. Demand is soaring both industrially and from physical investors. The Shanghai price is dollars higher than the suppressed Western price which further sucks silver out and to the East. The net result is the supply does not equal demand so the price is getting pushed up; and as the price gets pushed up the shorts have to start closing which compounds the rise. 

As i always said - it was never a matter of if, it was simply a matter of when and when seems to be arriving now.

No of course it isn't 'solely down to paper traders'. Mined supply is falling - there has been big silver deficits since 2021. Demand is soaring both industrially and from physical investors. The Shanghai price is dollars higher than the suppressed Western price which further sucks silver out and to the East. The net result is the supply does not equal demand so the price is getting pushed up; and as the price gets pushed up the shorts have to start closing which compounds the rise. 

No of course it isn't 'solely down to paper traders'. Mined supply is falling - there has been big silver deficits since 2021. Demand is soaring both industrially and from physical investors. The Shanghai price is dollars higher than the suppressed Western price which further sucks silver out and to the East. The net result is the supply does not equal demand so the price is getting pushed up; and as the price gets pushed up the shorts have to start closing which compounds the rise. 

Well i didn't get it - i was too slow.

Well i didn't get it - i was too slow.

No of course it isn't 'solely down to paper traders'. Mined supply is falling - there has been big silver deficits since 2021. Demand is soaring both industrially and from physical investors. The Shanghai price is dollars higher than the suppressed Western price which further sucks silver out and to the East. The net result is the supply does not equal demand so the price is getting pushed up; and as the price gets pushed up the shorts have to start closing which compounds the rise. 

i will take

i will take

i will take

As i always said - it was never a matter of if, it was simply a matter of when and when seems to be arriving now.