https://www.silverinstitute.org/site/2014/10/22/total-silver-investment-may-increase-by-one-billion-ounces-over-the-next-decade/

When investors examine the gold withdrawal numbers coming out of China they see that the Chinese are certainly not abandoning gold as the price falls, but are instead, increasing their gold buying. That is a positive sign for gold investors as it shows that there is a real physical demand floor under the gold price at current levels – that is despite weak demand from Western investors.

The second point for investors to ponder is that gold production growth is expected to decline as Chinese miners have a more difficult time producing as much of the easy fruit has already been picked. That is a trend we’ve been seeing all over the world and it shows that future demand for gold will have to be met from existing above-ground stocks – a positive development for investors that have long-term horizons.

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Silver had a physical supply deficit of 103 million ounces last year.

Physical supply deficits in silver cannot persist in the long-term.

Silver is an investment that will require patience.

Read article

ZNC Presentation

Highlights

Kavaklitepe Gold Project, Turkey (ZNC earning 70%)

• Recent (2013) grass roots gold discovery in Tethyan Belt – (“elephant” terrain)

• Large, virtually drill-ready, high order gold soil / IP anomaly >1km strike  Trenching and drilling (permitting in progress)

Develin Creek Copper-Zinc-Silver-Gold, QLD (ZNC initial 51%, option for 100%)

• 3 known VHMS massive sulphide deposits with JORC resources, 50km of strike of host volcanics

• 2011 drilling outside resource; 13.2 metres @ 3.3% copper, 4.0% zinc, 30g/t silver and 0.4g/t gold

Drilling to extend known deposits, geophysics, geochemistry to detect new targets

Mt Minnie Gold Project, WA (ZNC 100%)

• 75km strike of major regional fault. Alteration, geochemistry, rock samples 64.2 and 21.5 g/t Au

Initial field assessment to follow-up and extend known prospects

Earaheedy Manganese (and Pb,Zn) Project, WA (ZNC 100%)

• New manganese province discovered by ZNC, potential DSO drill intersections (+40%Mn)

• Target area doubled with new acquisitions (RIO tenements, Blue Cliffs).

Mapping, sampling, drilling new ground, beneficiation tests, assess geophysical techniques

Mt Alexander Iron Ore, WA (ZNC 100%)

• JORC magnetite Resource 535 Mt @ 30.0% Fe close to West Pilbara coast, 50% of target untested.

Seeking development partner/ buyer for project

Other
Divesting Indonesian coal project – Conditional offer received, US$500K +royalty US$1/t

Evaluating new project opportunities (acquire at bottom of the cycle)

More about Zenith Minerals Ltd

SIGNIFICANT DUCKHEAD DRILL RESULTS UPDATE

• Significant result of 32 m @ 33.5 g/t gold including 7 m @ 140.0 g/t confirms the Main Lode west plunge continues below the reserve pit, outside of existing resource and reserve model. Potential to extend minelife of Duckhead open pit.

• Infill drilling of the Main Lode continues to confirm positive reconciliation to the resource / reserve model with results including 18 m @ 90.3 g/t gold, 10 m @ 91.7 g/t gold, 28 m @ 47.3 g/t gold and 20 m @ 24.4 g/t gold.

• Significant new Wing Lode result of 7 m @ 10.2 g/t gold, including 2 m @ 32.6 g/t increases the strike length of the Wing Lode to approximately 300m.

• Large auger drilling program on 40 m x 40 m spacing underway to test the Duckhead corridor for surface expression of a new high grade lode.

Highly significant results outside of the existing resource and reserves were received from the Main Lode and Wing Lode indicating potential to extend the open pit mine life at Duckhead.

In the first update to its 2014 gold survey, Reuters said the yellow metal would average $US1270 ($AUD1421) an ounce in 2013, 10% lower than the US$1411.23/oz average in 2013.

Prices are anticipated to recuperate farther down the line, nonetheless, with last year’s unpredictability already beginning to level out.

“There was a large fall in physical gold demand in the initial half of 2014 compared with the massive demand in the first half of 2013.

“A vital point this year is the fact that gold is basically in a period of recuperation after last year’s dizzying activity,” Reuters said.

“Last year was highly anomalous, nevertheless, driven by the dramatic cost fall in the 2nd quarter the marketplace has of late been gradually recovering its composure.”

Reuters said Southeast Asia in particular had fought to digest its significant gold consumption from 2013.

In the broader market, it said professional and grassroots buyers sentiment had both been poor.

“The lack of a clear cost direction and the expectation of lower prices happen to be key drivers in deterring purchases among private buyers as well as a similar attitude has prevailed in the professional sector,” Reuters metals research and forecasts head Rhona O’Connell said.

The only country this year, to post a notable gain in physical demand was the US, where weaker costs and improving consumer sentiment drove an 8% rise in jewellery fabrication.

Elsewhere, Reuters said a European recovery could be key to altering professional opinion in the gold marketplace.

“There continues to be a whiff of professional investor interest this year yet this really is still quite tentative as perceived economic and financial risks are skewed, in the USA at least, toward continued tapering followed by a swing to rising interest rates,” analysts said.

“At present these features would be the prevailing drivers of opinion and, with the perceived dearth of price response to the tensions in the Middle East, has not only discouraged investment but resulted in an expansion of short positions in the market.”

In the supply side, Reuters said mine output was increasing this year after preceding investment.

However, margins remain under pressure and total cash prices that are world-wide have dropped 6% over the first half.

The typical grade of ore that was processed has also risen for the first time in a decade.

“This will probably attract the attention of professional investors, especially when coupled together with the likelihood of increased inflationary anticipation developing in the latter part of 2015 and beyond.

“With a growing demand profile and a flat to declining supply outlook, the market equilibrium is expected to continue to tighten during the the next couple of years,” Reuters said.

Calzada’s (ASX: CZD) AOD9604 Lipotropin sells for $425242 per ounce. ~300x gold and the “peptide” has just been given “generally regarded as safe” status by the US Food and Drug Administration…. a ruling that allows for AOD-9604 use as a food supplement: think sports drinks etc. read more

Gold production guidance for the second half of 2014 of 120,000 – 140,000 ounces of gold remains unchanged with cash costs of US$440 – US$490 per ounce, AISC expected to be in the range of US$640 – US$690 per ounce.

Full year guidance is for 180,000 – 200,000 ounces of gold at full year cash costs of US$595 – US$645 and AISC expected to be in the range of US$805 – US$855 per ounce.

Silver Industrial Demand Expected to Outpace Global GDP Growth Through 2016
Marketwired
The Silver Institute August 1, 2014 1:47 PM

WASHINGTON, DC–(Marketwired – Aug 1, 2014) – The Silver Institute released a report titled “The Outlook for New Electrical and Electronic Uses of Silver.” The report identifies three key potential growth areas for silver demand: flexible electronics; light emitting diodes (LEDs); and interposers. These three growth areas combined have the potential to add another 20 million ounces of silver to total demand by 2018.

The report was produced by Metals Focus, the London-based independent precious metals research consultancy, on behalf of the Silver Institute.

Highlights of the report include:

According to Metals Focus, silver industrial demand, which accounts for over 50 percent of global demand, is expected to grow 5 percent per year from 2014-2016, outpacing forecasted global GDP growth.

Within the flexible electronics sector, the report forecasts notable gains in silver use for flexible displays. Flexible displays, which incorporate silver, are found in tablets, cell phones and e-readers.

The report indicates a healthy rise in LED demand, driven by falling costs and increasingly stringent lighting energy legislation that will accelerate LED adoption, thus leading to strong growth for silver demand.

Interposers that include silver could hold considerable promise for future silver demand. Interposers enable far greater functionality in the next generation of semiconductor chips. Given the greater technical demands made of interposers, glass, with the addition of silver, is being considered as an alternative material. Metals Focus maintains that should glass (and therefore silver) prevail as the interposer technology of choice, silver demand is on course to benefit.

The report also examines the outlook for established end-uses, such as silver’s use in ethylene oxide (EO) production, which is a key building block chemical in the production of detergents, solvents and plastics. Silver demand in the EO sector has enjoyed near uninterrupted growth over the past 30-40 years, primarily due to the growing demand for a range of consumer and industrial products. The EO category could witness even greater silver demand, especially in the United States, with the advent of shale gas, potentially yielding new EO plants.

Metals Focus also reports that silver’s use in photovoltaics for solar power installations may well surpass its previous demand peak, registered in 2011, as early as 2016-17.

“With the introduction of these advanced uses of silver in the electrical and electronics category, which last year provided over 40 percent of total silver industrial demand, along with growth in established uses, we should see silver industrial demand develop even further, especially as economies grow globally,” stated Michael DiRienzo, Executive Director of the Silver Institute.

The report can be downloaded free of charge at:

The Outlook for New Electrical & Electronic Uses of Silver Report

It could be time to have a look at Australia’s new, emerging silver province?

Other ways to invest in silver include our asx listed ETF: ETPMAG and of course silver call options- the latter are of course a binary bet…. Great gains or a total loss so it might pay to get advice… I hold both ETPMAG and long dated silver calls… I bought the latter through my broker Alex P. at Trend Investor Service