CBGA Gold Sales Meager in First Year

Source: Mineweb, Lawrence Williams (9/27/10)

"Countries buying gold covertly. . ."

In the first year of the latest Central Bank Gold Agreement (CBGA), which ended yesterday, the Financial Times reports that European Central Banks sold a grand total of 6.2 tons of the precious metal, a huge fall (some 96%) from the final year of the previous CBGA. This is the lowest total since the gold sales agreement was first signed back in 1999. At their peak eurozone gold sales under the Agreement reached 497 tons only five years ago. How the Banks' attitudes have changed!

At the moment, the only significant gold seller is the IMF with its mandate to sell 400 tons of which well over half has already been purchased—virtually all by Asian Central Banks. With the dearth of sales by the Europeans, and continuing purchases by other Central Banks, this has provided good support for the gold price as supply from the Central Banks has more than dried up. Indeed there is a suggestion that some Central Banks are hiding their purchases of gold through internal accounting measures so as not to overly disrupt that market.

China here is a particular case in point. Any overt Chinese buying on the open market would almost certainly give the gold price a huge boost, which is not necessarily in the immediate interests of a Central Bank trying to supplement its gold holdings. How many more may be using similar methods to hide their dealings in the market?

Other covert ways in which countries may be purchasing gold are via sovereign wealth funds, which are known to be investing in gold ETFs and other gold-related instruments, and perhaps in bullion itself. Such purchases will not show up in official gold reserves.

Announcing Streetwise Live! Events
Source: Streetwise Reports (07/13/2020)

Streetwise Reports is offering 100 investors—at no charge—the opportunity to meet via Zoom with executives of precious metals companies as they discuss recent developments at their companies and upcoming catalysts.

"China's export quota could be opportunity for Canadian miners"

Latin America: Six Gold Juniors Amass 100M+ Ounces
Source: Marc Davis, BNW News (05/25/2010)

Latin America, the world's last great mineral frontier for prolific gold discoveries, is proving a godsend for some lucky investors.

Mexico: Gold's Next Powerhouse Player
Source: Marc Davis, BNW News (11/03/2009)

As the world's key gold producing nations struggle mostly in vain to replenish dwindling below-ground supplies, Mexico is bucking the trend in a big way.

Where Have All the Gold Mines Gone?
Source: Brent Cook, Exploration Insights (04/14/2009)

Given the declining global gold production, mining companies’ demand for reserve replacement and the acute dearth of new gold discoveries, there is no doubt that real economic discoveries will be exceptionally valuable. . .the opportunity for stellar profits is the best it has probably ever been. Identifying the few successes, however, will require vigilant and constant technical assessment of geology and drill results, always with an eye to mine economics.

Congo Completes Mining Review, Says Majors Quit Talks
Source: Reuters (12/20/2008)

"Review process is extended an additional 45 days to allow six companies to return to the negotiating table for direct talks with government ministers."

I haven’t spoken to my old mining stock friend, noted and universally respected gold stock guru, Bob Bishop, about Rare Element in a year, but I hear he is still a supporter and very large shareholder. I don’t believe he will hold it against me to remind you that this was one of his favorite holdings when he left the newsletter writing business. . .

It's Only the Beginning for Uranium
Source: www.financialinsights.com (06/03/2005)

Dr. Richard S. Appel, author of Financial Insights, first became bullish on uranium in mid-2003, when it appeared obvious that its supply versus demand equation was fated to seriously drive higher its price. Since then, a series of events in the uranium industry has led Appel to believe that uranium prices will reach never before seen levels.

(00/00/0000)