How much is left

[thesoundman]

So with the price dropping daily and mines starting to close, how much spare silver is there? We must at some point get to a point where the price has to go up due to Industral demand.

[ArthGoch]

Industrial demand is suppressed due to downturn in the larger manufacturing economies such as China. Investment ownership of silver is only a fraction of the overall market size, and retail investors ( collectors and stackers) are again a smaller percentage of this segment.

 

Add to the equation an improvement/efficiency of recycling silver as well as what seems to be a converse reaction to the norm from the markets during a period of economic uncertainty, low interest rates, and dwindling supplies and you have the current situation that we face.

 

 I  agree to what you allude to, in the matter  that supply and demand should start to drive prices up. However the rule book has gone through the window and  adds credence to those who believe that the market is being manipulated and gives ammunition to the conspiracy theorists 

[craig12]

if it was at a mining cost higher than what they got for it that runs them at a loss dodent it  ,  if that was the case everybody would shut up shop , it obviously dosent cost £10 to pull out of the ground

 

all the so called experts tell you it costs more to dig out , but no one of them gives you a breakdown , or how they came to that conclusion

[HighlandTiger]

Oh please. Why is it that people assume that if a mine starts to run at a loss it will close its doors. During the recession a vast number of industries and businesses have been running at a loss but they have absorbed those losses and are still in business today. Mines are no different to any other business

[Danny-boy]

Oh please. Why is it that people assume that if a mine starts to run at a loss it will close its doors. During the recession a vast number of industries and businesses have been running at a loss but they have absorbed those losses and are still in business today. Mines are no different to any other business

Agreed.

Also, it may cost them £10 in 2013 but then they streamline down to £7 somehow.

[ArthGoch]

If mining is anything like the industry which I am in ( oil and gas) specific work areas such as seams or wells can be shut down dependent on the overhead for each and with the subsequent result that the overall costs are reduced vis a vis a reduction in output  

 

Within O&G the variation in fixed and operating costs between two wells, literally within meters of each other, can be significant. Depth, water cut, age, horizontal/lateral drilled, production flow, distance to terminal, type of oil etc all contributed to the cost basis. When people talk about barrell cost ( lift cost + finding cost) there seems to be a belief propagated within the media that this is an almost universal figure across the world and divisible by the location/region; simply this is no where near the case. 

 

 I assume that for miners variation in seam quality and geophysical variations will have the same effect even within the same mine or area.  

[DeanMills83]

STG prices have been going up all week

[CatStudent]

Just to add that most silver production comes from secondary mines, being silver the subproduct of another main mining product, therefore silver can go down to 1 gbp and this mines will continue open.