Melman on Gold & Silver
June 2012 by Leonard MelmanUnquestionably, it was the other side of the Atlantic Ocean—that is the European side—that provided virtually all the political, economic and social fireworks during the past month.
While a great many questions remain unanswered, there is little doubt that a new financing option for small-scale mining operations, “crowdfunding,” is growing as a viable and legitimate funding source.
It’s been no secret that the prices of gold and silver have been moving upward at a fast clip in recent months. Gold has soared 27 percent so far this year. There has not been a significant drop-off in production, so it’s been evident that an increase in demand has been a part of the force driving the price upward.
If the costs of financing the national debt increase in a manner described in this study, that should, in our opinion, be regarded as a long-term plus for the precious metals.
The idea of decisive action in 2014 will be at the heart of my presentation at the ICMJ Gold Prospecting and Mining Summit of April 5-6 in Placerville. I look forward to meeting you all then.
Somehow, we received the impression from these two gatherings and from other conversations that bureaucrats in general are simply not aware of how difficult it is to raise capital to finance mining operations and how important it is for newer companies to show true progress in order to receive further financing.
The Bawl Mill • Our Readers Say • Iowa Hill District • Gold Deposition and Gradients of Placer Streams—Part I • Pursuing Rare Earths in Wyoming • The Mole • Prospecting for Copper Ores—Part I • Repair / Replace Tax Rule Changes • The Wisdom of Mark Twain—And Tales of Cheating the Unwary Prospector • Colorado Mining Association Appeals Roadless Ruling • Ganes Creek Hits 10 Years—Part II • Fifteen and Counting • Mining Stock Quotes and Mineral & Metal Prices