Precious Metals Report 2021 - Everything you need to know about gold, silver, platinum and palladium! - Swiss Resource Capital AG
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Precious Metals Report 2021 Everything you need to know about gold, silver, platinum and palladium!
Disclaimer
Dear reader, tions of Swiss Resource Capital AG represent only and products presented in all publications of Swiss Neither by subscription nor by use of any publica- rities and Exchange Commission (SEC) under www. and operating costs from the estimates, failure to
the opinion of the respective author. They are neither Resource Capital AG have in part foreign exchange tion of Swiss Resource Capital AG or by expressed sec.gov or other regulatory authorities or carrying receive necessary government approval and en-
Please read the complete disclaimer in the fol- explicitly nor implicitly to be understood as guaran- risks. The deposit portion of single shares of small recommendations or reproduced opinions in such a out other company evaluations. Neither Swiss Re- vironmental permits or other project permits, chan-
lowing pages carefully before you start reading tee of a particular price development of the menti- and micro cap companies and low capitalized secu- publication will result in an investment advice cont- source Capital AG nor the respective authors will ges of foreign exchange rates, fluctuations of com-
this Swiss Resource Capital Publication. By oned financial instruments or as a trading invitation. rities like derivatives and leveraged products should ract or investment brokerage contract between guarantee that the expected profits or mentioned modity prices, delays by project developments and
using this Swiss Resource Capital Publication Every investment in securities mentioned in publica- only be as high that, in case of a possible total loss, Swiss Resource Capital AG or the respective author share prices will be achieved. Neither Swiss Re- other factors.
you agree that you have completely understood tions of Swiss Resource Capital AG involve risks the deposit will only marginally lose in value. and the subscriber of this publication. source Capital AG nor the respective authors are
the following disclaimer and you agree comple- which could lead to total a loss of the invested capi- professional investment or financial advisors. The Potential shareholders and prospective investors
tely with this disclaimer. If at least one of these tal and - depending on the investment – to further All publications of Swiss Resource Capital AG Investments in securities with low liquidity and reader should take advice (e. g. from the principle should be aware that these statements are subject
point does not agree with you than reading and obligations for example additional payment liabili- are exclusively for information purposes only. All small market cap are extremely speculative as well bank or a trusted advisor) before any investment to known and unknown risks, uncertainties and
use of this publication is not allowed. ties. In general, purchase and sell orders should al- information and data in all publications of Swiss Re- as a high risk. Due to the speculative nature of the decision. To reduce risk investors should largely di- other factors that could cause actual events to dif-
ways be limited for your own protection. source Capital AG are obtained from sources which presented companies their securities or other finan- versify their investments. fer materially from those indicated in the for-
We point out the following: are deemed reliable and trustworthy by Swiss Re- cial products it is quite possible that investments ward-looking statements. Such factors include but
This applies especially to all second-line-stocks source Capital AG and the respective authors at the can lead to a capital reduction or to a total loss and In addition, Swiss Resource Capital AG welco- are not limited to the following: risks regarding the
Swiss Resource Capital AG and the authors of in the small and micro cap sector and especially to time of preparation. Swiss Resource Capital AG - depending on the investment – to further obliga- mes and supports the journalistic principles of con- inaccuracy of the mineral reserve and mineral re-
the Swiss Resource Capital AG directly own and/ exploration and resource companies which are dis- and all Swiss Resource Capital AG employed or en- tions for example additional payment liabilities. Any duct and recommendations of the German press source estimates, fluctuations of the gold price,
or indirectly own shares of following Companies cussed in the publications of Swiss Resource Capi- gaged persons have worked for the preparation of investment in warrants, leveraged certificates or council for the economic and financial market repor- risks and dangers in connection with mineral explo-
which are described in this publication: Bluesto- tal AG and are exclusively suitable for speculative all of the published contents with the greatest pos- other financial products bears an extremely high ting and within the scope of its responsibility will ration, development and mining, risks regarding the
ne Resources, Caledonia Mining, Condor Gold, and risk aware investors. But it applies to all other sible diligence to guarantee that the used and un- risk. Due to political, economical or other changes look out that these principles and recommendations creditworthiness or the financial situation of the
Endeavour Silver, First Majestic Silver, First Mi- securities as well. Every exchange participant tra- derlying data as well as facts are complete and ac- significant stock price losses can arise and in the are respected by employees, authors and editors. supplier, the refineries and other parties that are
ning Gold, MAG Silver, Osisko Gold Royalties, des at his own risk. The information in the publica- curate and the used estimates and made forecasts worst case a total loss of the invested capital and - doing business with the company; the insufficient
Sibanye-Stillwater, Skeena Resources. tions of Swiss Resource Capital AG do not replace are realistic. Therefore, liability is categorically depending on the investment – to further obligations insurance coverage or the failure to receive insuran-
an on individual needs geared professional invest- precluded for pecuniary losses which could poten- for example additional payment liabilities. Any liabi- Forward-looking Information ce coverage to cover these risks and dangers, the
Swiss Resource Capital AG has closed IR ment advice. In spite of careful research, neither the tially result from use of the information for one’s lity claim for foreign share recommendations, deri- relationship with employees; relationships with and
consultant contracts with the following compa- respective author nor Swiss Resource Capital AG own investment decision. vatives and fund recommendations are in principle Information and statements in all publications of the demands from the local communities and the
nies which are mentioned in this publication: will neither guarantee nor assume liability for actua- ruled out by Swiss Resource Capital AG and the re- Swiss Resource Capital AG especially in (transla- indigenous population; political risks; the availabili-
Bluestone Resources, Caledonia Mining, Endea- lity, correctness, mistakes, accuracy, complete- All information published in publications of Swiss spective authors. Between the readers as well as the ted) press releases that are not historical facts are ty and rising costs in connection with the mining
vour Silver, MAG Silver, Osisko Gold Royalties, ness, adequacy or quality of the presented informa- Resource Capital AG reflects the opinion of the res- subscribers and the authors as well as Swiss Re- forward-looking information within the meaning of contributions and workforce; the speculative nature
Sibanye-Stillwater, Skeena Resources. tion. For pecuniary losses resulting from invest- pective author or third parties at the time of repara- source Capital AG no consultancy agreement is clo- applicable securities laws. They contain risks and of mineral exploration and development including
ments in securities for which information was tion of the publication. Neither Swiss Resource Ca- sed by subscription of a publication of Swiss Re- uncertainties but not limited to current expectations risks of receiving and maintaining the necessary
Swiss Resource Capital AG receives compen- available in all publications of Swiss Resource Ca- pital AG nor the respective authors can be held res- source Capital AG because all information cont- of the company concerned, the stock concerned or licences and permits, the decreasing quantities and
sation expenses from the following companies pital AG liability will be assumed neither by Swiss ponsible for any resulting pecuniary losses. All ained in such a publication refer to the respective the respective security as well as intentions, plans grades of mineral reserves during mining; the global
mentioned in this publication: Bluestone Resour- Capital Resource AG nor by the respective author information is subject to change. Swiss Resource company but not to the investment decision. Publi- and opinions. Forward-looking information can of- financial situation, current results of the current ex-
ces, Caledonia Mining, Condor Gold, Endeavour neither explicitly nor implicitly. Capital AG as well as the respective authors assu- cations of Swiss Resource Capital AG are neither, ten contain words like “expect”, “believe”, “assu- ploration activities, changes in the final results of
Silver, First Majestic Silver, First Mining Gold, res that only sources which are deemed reliable and direct or indirect an offer to buy or for the sale of the me”, “goal”, “plan”, “objective”, “intent”, “estima- the economic assessments and changes of the pro-
MAG Silver, Osisko Gold Royalties, Sibanye-Still- Any investment in securities involves risks. Politi- trustworthy by Swiss Resource Capital AG and the discussed security (securities), nor an invitation for te”, “can”, “should”, “may” and “will” or the negati- ject parameter to include unexpected economic
water, Skeena Resources. Therefore, all menti- cal, economical or other changes can lead to signifi- respective authors at the time of preparation are the purchase or sale of securities in general. An in- ve forms of these expressions or similar words factors and other factors, risks of increased capital
oned companies are sponsors of this publicati- cant stock price losses and in the worst case to a used. Although the assessments and statements in vestment decision regarding any security should not suggesting future events or expectations, ideas, and operating costs, environmental, security and
on. total loss of the invested capital and - depending on all publications of Swiss Resource Capital AG were be based on any publication of Swiss Resource Ca- plans, objectives, intentions or statements of future authority risks, expropriation, the tenure of the
the investment – to further obligations for example prepared with due diligence, neither Swiss Resour- pital AG. events or performances. Examples for forward-loo- company to properties including their ownership,
additional payment liabilities. Especially investments ce Capital AG nor the respective authors take any king information in all publications of Swiss Resour- increase in competition in the mining industry for
Risk Disclosure and Liability in (foreign) second-line-stocks, in the small and responsibility or liability for the actuality, correct- Publications of Swiss Resource Capital AG must ce Capital AG include: production guidelines, esti- properties, equipment, qualified personal and its
micro cap sector, and especially in the exploration ness, mistakes, accuracy, completeness, adequacy not, either in whole or in part be used as a base for a mates of future/targeted production rates as well as costs, risks regarding the uncertainty of the timing
Swiss Resource Capital AG is not a securities and resource companies are all, in general, associa- or quality of the presented facts or for omissions or binding contract of all kinds or used as reliable in plans and timing regarding further exploration, drill of events including the increase of the targeted pro-
service provider according to WpHG (Germany) and ted with an outstandingly high risk. This market seg- incorrect information. The same shall apply for all such a context. Swiss Resource Capital AG is not and development activities. This forward-looking duction rates and fluctuations in foreign exchange
BörseG (Austria) as well as Art. 620 to 771 obliga- ment is characterized by a high volatility and har- presentations, numbers, designs and assessments responsible for consequences especially losses, information is based in part on assumption and fac- rates. The shareholders are cautioned not to place
tions law (Switzerland) and is not a finance company bours danger of a total loss of the invested capital expressed in interviews and videos. which arise or could arise by the use or the failure of tors that can change or turn out to be incorrect and undue reliance on forward-looking information. By
according to § 1 Abs. 3 Nr. 6 KWG. All publications and - depending on the investment – to further obli- the application of the views and conclusions in the therefore may cause actual results, performances its nature, forward-looking information involves nu-
of the Swiss Resource Capital AG are explicitly (in- gations for example additional payment liabilities. As Swiss Resource Capital AG and the respective publications. Swiss Resource Capital AG and the re- or successes to differ materially from those stated merous assumptions, inherent risks and uncertain-
cluding all the publications published on the website well, small and micro caps are often very illiquid and authors are not obliged to update information in pu- spective authors do not guarantee that the expected or postulated in such forward-looking statements. ties both general and specific that contribute to the
http://www.resource-capital.ch and all sub-websi- every order should be strictly limited and, due to an blications. Swiss Resource Capital AG and the res- profits or mentioned share prices will be achieved. Such factors and assumption include but are not possibility that the predictions, forecasts, projec-
tes (like http://www.resource-capital.ch/de) and the often better pricing at the respective domestic exch- pective authors explicitly point out that changes in limited to: failure of preparation of resource and re- tions and various future events will not occur. Neit-
website http://www.resource-capital.ch itself and its ange, should be traded there. An investment in secu- the used and underlying data, facts, as well as in the The reader is strongly encouraged to examine all serve estimates, grade, ore recovery that differs her Swiss Resource Capital AG nor the referred to
sub-websites) neither financial analysis nor are they rities with low liquidity and small market cap is extre- estimates could have an impact on the forecasted assertions him/herself. An investment, presented from the estimates, the success of future explorati- company, referred to stock or referred to security
equal to a professional financial analysis. Instead, all mely speculative as well as a high risk and can lead share price development or the overall estimate of by Swiss Resource Capital AG and the respective on and drill programs, the reliability of the drill, undertake no obligation to update publicly other-
publications of Swiss Resource Capital AG are to, in the worst case, a total loss of the invested ca- the discussed security. The statements and opi- authors in partly very speculative shares and finan- sample and analytical data, the assumptions regar- wise revise any forward-looking information
exclusively for information purposes only and are pital and - depending on the investment – to further nions of Swiss Capital Resource AG as well as the cial products should not be made without reading ding the accuracy of the representativeness of the whether as a result of new information, future
expressively not trading recommendations regar- obligations for example additional payment liabili- respective author are not recommendations to buy the most current balance sheets as well as assets mineralization, the success of the planned metallur- events or other such factors which affect this infor-
ding the buying or selling of securities. All publica- ties. Engagements in the publications of the shares or sell a security. and liabilities reports of the companies at the Secu- gical test work, the significant deviation of capital mation, except as required by law.
2 3
48f Abs. 5 BörseG (Austria) and Art. 620 to 771 Britain, Japan, USA or Canada or to an US citizen ments of the respective companies and financial Liability limitation for links Liability limitation for availability of website The use of contact data like postal addresses, tele-
obligations law (Switzerland) or a person with place of residence in the USA, Ja- products respectively in all publications of Swiss phone and fax numbers as well as email addresses
pan, Canada or Great Britain nor brought or distri- Resource Capital AG will be achieved. The http://www.resource-capital.ch – website Swiss Resource Capital AG will endeavour to published in the imprint or similar information by
Swiss Resource Capital AG as well as the respec- buted in their territory. The publications and their and all sub-websites and the http://www.resour- offer the service as uninterrupted as possible. Even third parties for transmission of not explicitly re-
tive authors of all publications of Swiss Resource contained information can only be distributed or ce-capital.ch – newsletter and all publications of with due care downtimes can not be excluded. quested information is not permitted. Legal action
Capital AG could have been hired and compensated published in such states where it is legal by applica- No guarantee for share price data Swiss Resource Capital AG contain links to websi- Swiss Resource Capital AG reserves the right to against the senders of spam mails are expressly re-
by the respective company or related third party for ble law. US citizens are subject to regulation S of tes of third parties (“external links”). These websites change or discontinue its service any time. served by infringement of this prohibition.
the preparation, the electronic distribution and publi- the U.S. Securities Act of 1933 and cannot have No guarantee is given for the accuracy of charts are subject to liability of the respective operator.
cation of the respective publication and for other access. In Great Britain the publications can only be and data to the commodity, currency and stock Swiss Resource Capital AG has reviewed the foreign By registering in www.resource-capital.ch – web-
services. Therefore the possibility exists for a conflict accessible to a person who in terms of the Financial markets presented in all publications of Swiss Re- contents at the initial linking with the external links if Liability limitation for advertisements site and its sub-websites or in the www.resour-
of interests. Services Act 1986 is authorized or exempt. If these source Capital AG. any statutory violations were present. At that time no ce-capital.ch – newsletter you give us permission to
restrictions are not respected this can be perceived statutory violations were evident. Swiss Resource The respective author and the advertiser are contact you by email. Swiss Resource Capital AG
At any time Swiss Resource Capital AG as well as as a violation against the respective state laws of capital AG has no influence on the current and future exclusively responsible for the content of advertise- receives and stores automatically via server logs in-
the respective authors of all publications of Swiss the mentioned countries and possibly of non menti- Copyright design and the contents of the linked websites. The ments in http://www.resource-capital.ch – website formation from your browser including cookie infor-
Resource Capital AG could hold long and short posi- oned countries. Possible resulting legal and liability placement of external links does not mean that and its sub-websites or in the http://www.resour- mation, IP address and the accessed websites.
tions in the described securities and options, futures claims shall be incumbent upon that person, but not The copyrights of the single articles are with the Swiss Resource Capital AG takes ownership of the ce-capital.ch – newsletter as well as in all publica- Reading and accepting our terms of use and privacy
and other derivatives based on theses securities. Swiss Resource Capital, who has published the pu- respective author. Reprint and/or commercial dis- contents behind the reference or the link. A constant tions of Swiss Resource Capital AG and also for the statement are a prerequisite for permission to read,
Furthermore Swiss Resource Capital AG as well as blications of Swiss Resource Capital AG in the semination and the entry in commercial databases control of these links is not reasonable for Swiss Re- content of the advertised website and the adverti- use and interact with our website(s).
the respective authors of all publications of Swiss mentioned countries and regions or has made avai- is only permitted with the explicit approval of the source Capital AG without concrete indication of sed products and services. The presentation of the
Resource Capital AG reserve the right to buy or sell lable the publications of Swiss Resource Capital AG respective author or Swiss Resource Capital AG. statutory violations. In case of known statutory vio- advertisement does not constitute the acceptance
at any time presented securities and options, futures to persons from these countries and regions. lations such links will be immediately deleted from by Swiss Resource Capital AG.
and other derivatives based on theses securities. Th- The use of any publication of Swiss Resource All contents published by Swiss Resource Capi- the websites of Swiss Resource Capital AG. If you
erefore the possibility exists for a conflict of interests. Capital AG is intended for private use only. Swiss tal AG or under www.resource-capital.ch – website encounter a website of which the content violates
Resource Capital AG shall be notified in advance or and relevant sub-websites or within www.resour- applicable law (in any manner) or the content (to- No contractual relationship
Single statements to financial instruments made asked for permission if the publications will be used ce-capital.ch – newsletters and by Swiss Resource pics) insults or discriminates individuals or groups of
by publications of Swiss Resource Capital AG and professionally which will be charged. Capital AG in other media (e.g. Twitter, Facebook, individuals, please contact us immediately. Use of the website www.resource-capital.ch and
the respective authors within the scope of the res- All information from third parties especially the RSS-Feed) are subject to German, Austrian and its sub-websites and www.resource-capital.ch –
pective offered charts are not trading recommenda- estimates provided by external user does not reflect Swiss copyright and ancillary copyright. Any use In its judgement of May 12th, 1998 the Landge- newsletter as well as in all publications of Swiss Re-
tions and are not equivalent to a financial analysis. the opinion of Swiss Resource Capital AG. Conse- which is not approved by German, Austrian and richt (district court) Hamburg has ruled that by pla- source Capital AG no contractual relationship is ente-
quently, Swiss Resource Capital AG does not gua- Swiss copyright and ancillary copyright needs first cing a link one is responsible for the contents of the red between the user and Swiss Resource Capital
A disclosure of the security holdings of Swiss Re- rantee the actuality, correctness, mistakes, ac- the written consent of the provider or the respective linked websites. This can only be prevented by ex- AG. In this respect there are no contractual or qua-
source Capital AG as well as the respective authors curacy, completeness, adequacy or quality of the rights owner. This applies especially for reproducti- plicit dissociation of this content. For all links on the si-contractual claims against Swiss Resource Capital
and/or compensations of Swiss Resource Capital information. on, processing, translation, saving, processing and homepage http://www.resource-capital.ch and its AG.
AG as well as the respective authors by the compa- reproduction of contents in databases or other sub-websites and in all publications of Swiss Re-
ny or third parties related to the respective publica- electronic media or systems. Contents and rights of source Capital AG applies: Swiss Resource Capital
tion will be properly declared in the publication or in Note to symmetrical information and opinion ge- third parties are marked as such. The unauthorised AG is dissociating itself explicitly from all contents of Protection of personal data
the appendix. neration reproduction or dissemination of single contents all linked websites on http://www.resource-capital.
The share prices of the discussed financial instru- and complete pages is not permitted and punisha- ch – website and its sub-websites and in the http:// The personalized data (e.g. mail address of cont-
ments in the respective publications are, if not clari- Swiss Resource Capital AG can not rule out that ble. Only copies and downloads for personal, priva- www.resource-capital.ch – newsletter as well as all act) will only be used by Swiss Resource Capital AG
fied, the closing prices of the preceding trading day other market letters, media or research companies te and non commercial use is permitted. publications of Swiss Resource Capital AG and will or from the respective company for news and infor-
or more recent prices before the respective publica- are discussing concurrently the shares, companies not take ownership of these contents.” mation transmission in general or used for the res-
tion. and financial products which are presented in all pu- Links to the website of the provider are always pective company.
blications of Swiss Resource Capital AG. This can welcome and don’t need the approval from the
It cannot be ruled out that the interviews and esti- lead to symmetrical information and opinion genera- website provider. The presentation of this website in Liability limitation for contents of this website
mates published in all publications of Swiss Resour- tion during that time period. external frames is permitted with authorization only. Data protection
ce Capital AG were commissioned and paid for by In case of an infringement regarding copyrights The contents of the website http://www.resour-
the respective company or related third parties. Swiss Resource Capital AG will initiate criminal pro- ce-capital.ch and its sub-websites are compiled If within the internet there exists the possibility for
Swiss Resource Capital AG as well as the respective No guarantee for share price forecasts cedure. with utmost diligence. Swiss Resource Capital AG entry of personal or business data (email addresses,
authors are receiving from the discussed companies however does not guarantee the accuracy, comple- names, addresses), this data will be disclosed only if
and related third parties directly or indirectly expen- In all critical diligence regarding the compilation teness and actuality of the provided contents. The the user explicitly volunteers. The use and payment
se allowances for the preparation and the electronic and review of the sources used by Swiss Resource Information from the Federal Financial Supervi- use of the contents of website http://www.resour- for all offered services is permitted – if technical
distribution of the publication as well as for other Capital AG like SEC Filings, official company news sory Authority (BaFin) ce-capital.ch and its sub-websites is at the user’s possible and reasonable – without disclosure of the-
services. or interview statements of the respective manage- risk. Specially marked articles reflect the opinion of se data or by entry of anonymized data or pseudo-
ment neither Swiss Resource Capital AG nor the re- You can find further information on how to pro- the respective author but not always the opinion of nyms. Swiss Resource Capital AG points out that
spective authors can guarantee the correctness, tect yourself against dubious offers in BaFin bro- Swiss Resource Capital AG. the data transmission in the internet (e.g. communi-
Exploitation and distribution rights accuracy and completeness of the facts presented chures directly on the website of the authority at cation by email) can have security breaches. A com-
in the sources. Neither Swiss Resource Capital AG www.bafin.de. plete data protection from unauthorized third party
Publications of Swiss Resource Capital AG may nor the respective authors will guarantee or be liable access is not possible. Accordingly no liability is
neither directly or indirectly be transmitted to Great for that all assumed share price and profit develop- assumed for the unintentional transmission of data.
44 5
Imprint
Table of Contents
Disclaimer 02 Editor
Swiss Resource Capital AG
Table of Contents | Imprint 07 Poststr. 1
9100 Herisau, Schweiz
Preface09 Tel : +41 71 354 8501
Fax : +41 71 560 4271
Precious metals are back in fashion – The history of safe havens info@resource-capital.ch
and catalysts.................................................................................................... 10 www.resource-capital.ch
Interview with Prof. Dr. Torsten Dennin Editorial staff
Founder and CEO of Lynkeus Capital LLC.......................................................25 Jochen Staiger
Tim Rödel
Layout/Design
Company profiles Frauke Deutsch
Bluestone Resources........................................................................................28 All rights reserved. Reprinting
material by copying in electronic
Caledonia Mining .............................................................................................. 32 form is not permitted.
Condor Gold...................................................................................................... 36 Editorial Deadline: 10/31/2020
Endeavour Silver............................................................................................... 40
cover: sverker, adobestock.com
First Majestic Silver........................................................................................... 45 page 6: Bars of the German gold reserve
© Nils Thies, 2017, CC BY-NC-ND 2.0)
First Mining Gold............................................................................................... 50 page 13: istara, pixabay
page 17: shutterstock.com
MAG Silver........................................................................................................ 54 All pictures and graphics have been
provided by the companies, unless
Osisko Gold Royalties....................................................................................... 58 otherwise stated.
Sibanye-Stillwater............................................................................................. 62 back
1: Osisko Mining
Skeena Resources............................................................................................66 2: Sibanye-Stillwater
3: © Elionora Henzler
4: ©corlaffra/shutterstock.com
Charts: 11/18/2020
by JS Charts by amCharts
7
Commodity-TV Preface
The whole world of commodities
in one App!
Dear Readers,
Now in its sixth year of publication, we are want to give you the necessary basic
pleased to present our special report on Pre- knowledge by means of our general part, so
cious Metals, which follows on from our suc- that you can make your own decisions.
cessful Battery Metals and Uranium Reports.
Precious metals have become indispensable Swiss Resource Capital AG has set itself the
for one‘s own (crisis) prevention and asset task of providing up-to-date and compre-
preservation. Not to be forgotten is the un- hensive information on a wide range of raw
conditional use of precious metals as a store materials and mining companies to raw ma-
of value and money substitute as well as a terial investors, interested parties and those Jochen Staiger is founder and CEO
hedge for bad times. Especially in today‘s who would like to become such. On our of Swiss Resource Capital AG,
corona virus madness, gold is indispensable website www.resource-capital.ch you will located in Herisau, Switzerland. As
to park cash sensibly. The money printing find more than 20 companies and a lot of in- chief-editor and founder of the first
orgies of the central banks can no longer be formation and articles about raw materials. two resource IP-TV-channels
stopped and with Christine Lagarde as suc- Commodity-TV and its German
cessor of Mario Draghi things have gotten With our special reports we would like to counterpart Rohstoff-TV, he reports
rather worse than better. The US Federal Re- give you the necessary insights and provide about companies, experts, fund
serve has already lowered interest rates you with comprehensive information. In addi- managers and various themes
further and the money floodgates have been tion, our two commodity IP-TV channels around the international mining
fully opened in the wake of Corona. Whether www.Commodity-TV.net & www.Rohstoff-TV. business and the correspondent
it comes to a financial collapse is as always net are always available to you free of charge. metals.
questionable and controversial. However, If you are on the move, we recommend our
the financial system has never been more new Commodity TV App for iPhone and And-
Download questionable than today. roid, which provides you with real-time charts,
quotes and also the latest videos.
our unique App A major problem will now be the accelerating
for free! default rates of the overindebted US compa- My team and I hope you enjoy reading the
nies. There is no joy in this for the banks, Special Report Precious Metals and that we
which are under pressure anyway. Please can provide you with a lot of new informati-
keep in mind that in case of emergency only on, impressions and ideas. Only those who
100,000 EUR are secured per institution and inform themselves in a versatile way and
even that I now question whether this is af- take their investment matters into their own
fordable! With gold and/or silver ounces you hands will be able to win and preserve their
can survive many a storm to be able to pro- wealth in these difficult times. Precious me-
vide yourself and your family with the most tals have existed for thousands of years and Tim Rödel is Manager Newsletter,
necessary food and preserve your wealth. will continue to do so. Threads & Special Reports at SRC
But let‘s not assume the worst, but physical AG. He has been active in the
Watch Management & Expert Interviews, Site-Visit-Videos, News Shows precious metals reassure me of the possible Yours, Jochen Staiger commodities sector for more than
and receive top and up to date Mining Information on your mobile device upheavals ahead. We look positively into the 15 years and accompanied
future and take gold as a store of value and several chief-editor positions, e.g. at
worldwide! inflation protection. Mining companies are Rohstoff-Spiegel, Rohstoff-Woche,
still (too) favourably valued, in addition to a Rohstoffraketen, the publications
number of good dividend standard stocks. Wahrer Wohlstand and First Mover.
Amazing features: Especially producers with dividends are now He owns an enormous commodity
• Company Facts first choice and prospective precious metal expertise and a wide-spread
producers have enormous leverage on the network within the whole resource
• Global Mining News respective metal price. In this Precious Me- sector.
• Push Notofications tals Report we present some interesting
companies that are suitable for speculation
• Commodity-TV, Rohstoff-TV and Dukascopy-TV on rising precious metal prices. We also
• Live Charts
9
Swiss Resource Capital AG | Poststrasse 1 | 9100 Herisau | Schweiz | www.resource-capital.ch
Precious metals are back in fashion –
The history of safe havens and catalysts
Supply shortfalls despite rising Palladium, too, which in recent months had Gold:
prices been driven to new record highs of up to
$ 2,780 an ounce, mainly for speculative rea-
Since the beginning THE term for wealth and
Precious metal investors are still in the pole sons, only had to take a short sinking and brilliance
position, with precious metals having been was recently already trading above the
among the best performers of all asset clas- $ 2,200 mark again. Demand from the auto- Gold is a chemical element with the element rial deposits as gold-bearing rock (gold ore)
ses in the Covid 19 crisis. It sounds like a motive sector (use in gasoline catalytic con- symbol Au and the atomic number 79. It can as well as in secondary deposits, including
cliché, but gold and silver are once again in verters) plays a major role here. be worked mechanically very well (moderate soap deposits. Up to 20% of the annually
demand as „safe havens“, as massive in- melting temperature) and does not corrode. mined gold is extracted as by-product,
flows into ETFs and sold out bullion traders The situation for platinum is contrary to this. It is not only rare, but also heavy and its yel- mainly from copper, nickel or other precious
impressively prove. The increasing discrediting of the diesel en- low luster is durable, which is why it is con- metal mines.
gine led to a decline in demand for platinum, sidered to be imperishable and is therefore
which is used in diesel catalytic converters. largely used for jewelry or in coin or bar form
As a result, the price per ounce recently fell
to below $850. Here, however, there are si-
for the storage of value. Gold is also consi-
dered easy to alloy, which makes it very at-
Supply situation
gns of a renaissance. However, not the fuel tractive as a material.
cell or hydrogen transportation, which is still According to the World Gold Council, in
some years away, will be the first violin, but 2019 a total of 3,463.7 tonnes of gold was
[Xe] 4f145d106s1 79
Au
first of all the substitution of the meanwhile mined and 1,304.1 tonnes was recovered
expensive palladium by platinum. from recycling. This brings the total gold
supply (including recycling) to 4,767.8 ton-
In addition, platinum and palladium in parti- nes, an increase of approximately 82 tonnes
cular are expected to see a drastic drop in compared to 2018.
Melting Point 1337 K
supply in the coming years, as the important Boiling Point 3243 K
Goldprice US$/oz South African mines in particular will not be The main gold mining areas are currently
(Surce: JS by amChart) able to maintain their production at the usual
GOLD China, Russia, Australia, the USA and Cana-
In 2020, the price of gold reached a new all- level. Even rising prices are unlikely to cont- da, which together account for almost half of
time high of more than US$ 2,000, mainly as ribute to an improvement. the total annual production. They are follo-
a result of (impending) fiscal and geopolitical Most important properties: wed by Peru, Ghana, South Africa, Mexico
distortions and a certain degree of security, Appearance, corrosion resistance, and Brazil, although the latter is only slightly
which will keep the price of the yellow metal What are precious metals? good processability, good contact ahead of Uzbekistan, which ranks eleventh.
at a consistently high level and will certainly In Europe, only Sweden and Finland can re-
drive it even higher. In most currencies, gold From a purely chemical point of view, preci- Not only in the form of jewelry or coins, but port significant gold production.
was at all-time highs in 2020, a trend that will ous metals are metals that are resistant to also in medical applications, gold scores
continue in view of the escalating orgies of corrosion, i.e. that are permanently chemi- especially with its resistance to corrosion.
money printing by central banks worldwide. cally stable in a natural environment when For example, in dental prosthetics, where Gold production increases only
Silver, an industrial metal accounting for exposed to air and water. The group of pre- additional precious metals such as platinum marginally – gold peak reached?
more than half of demand, initially had to cious metals primarily includes gold and sil- are added due to the relatively high softness
cope with large price losses, but then a me- ver, as well as the so-called platinum metals of gold. In industry, gold is mainly used in the From the turn of the millennium until 2019,
teoric rise followed. With a gold-silver ratio platinum, palladium, ruthenium, rhodium, construction of circuits as an additive (gold gold production has been increasing every
of 125, this was the end of the road, especi- osmium and iridium. Mercury is also a preci- plating) to wires, printed circuit boards, swit- year, but has been declining more and more
ally as silver experienced a great surge in ous metal. In addition, there are a number of ching contacts and connectors. recently. While in 2011, about 2,857 tons of
demand from the investment sector. In the so-called semi-precious metals, including the yellow metal were extracted from the
future, this is probably where the greatest copper. A third group is formed by the earth worldwide, in 2015 it was 3,300 tons.
opportunities for growth are to be expected, so-called short-lived (radioactive) transition Occurrence and extraction Since then, production has only marginally
as silver is finding its way into more and metals, such as Darmstadtium or Roentgeni- increased to 3,398 tonnes in 2016 and 3,455
more industrial applications. In addition to um, which play virtually no role in practice. Gold is very rare in nature, but pure. For ex- tonnes in 2017, and contrary to all predic-
the energy sector (explosion of photovoltaic ample, in the earth‘s crust there are on aver- tions, gold production in 2018 increased
capacities in China!), the automotive sector age only 4 grams of gold per 1,000 tons of again slightly to 3,510 tonnes. In 2019, pro-
(use in electric vehicles) as well as the phar- rock. In addition, it occurs on earth predomi- duction then dropped to 3,463.7 tonnes,
maceutical and medical sectors are particu- nantly in solid form, i.e. in elementary, metal- which could only be offset by an increased
larly noteworthy. lic form. It can be found in primary raw mate- recycling rate.
10 11
It can now be assumed that the gold peak, prices due to the ongoing slump in gold 2019. This showed that gold is gaining 400 tons of gold! In the first three quarters of
i.e. the annual gold production will peak in prices. Particular savings have been made in ground not only in applications in smartpho- 2020 alone, however, this figure was down-
2020. exploration, which has led to the fact that nes or game consoles, but also in the elec- right pulverized. Because in these 9 months,
hardly any larger deposits have been disco- tromobility sector in particular. In view of the just over 1,000 tons flowed into the corres-
vered in recent years. incipient electrical (mobility) revolution, this ponding ETFs!
The reasons for declining gold is likely to lead to continued strong growth in
production are manifold In addition, the current corona crisis, which demand from the technology sector in the Summary:
has brought many mining activities worldwi- future. Demand at record high – supply
Several factors contribute to this. de to a standstill, will have a major impact on faltering
gold production - at least in 2020.
Firstly, more and more deposits are reaching Conclusion: The supply side will be particularly exciting.
the end of their life. Those that are not yet Everything stands or falls with the A lack of supplies in the form of high-grade
fully exploited have to be developed more investment sector – ETF inflows new discoveries as well as increasingly
and more expensively in order to obtain Demand situation recently at record levels cost-intensive and difficult mining will pro-
further gold-bearing material. Some mines bably lead not only to a coming supply defi-
already reach depths of 4,000 meters and Central banks are buying more There are indications of record demand from cit but also to the need for a higher gold
more. gold than ever before the investment sector in 2020. From Q4 price in order to satisfy demand at all. Ad-
2019 to Q1 2020 alone, demand from the in- ded to this - as already indicated - are pro-
Furthermore, the gold content is constantly After decades of gold sales, the central vestment sector doubled from 270 to 547 duction losses due to the current corona-in-
decreasing. Currently, gold deposits are still banks are back on the buying side since tons. In Q2 2020, the third-highest quarterly duced shutdowns of many mines. A further
being exploited at an average of just over 1 2010. Thus, especially in 2018 and 2019, figure since 2010 was 583 tons. Based on catalyst for a further increase in the price of
gram of gold per tonne of rock (g/t). Howe- many central banks have increased their the assumption that the jewelry industry is gold is the fact that currently important
ver, with deposits that have not yet been de- gold reserves. Above all Russia, but also likely to remain below the levels of previous smelters are closed and therefore the further
veloped, there are already indications that Turkey, India, Poland, Egypt, Brazil and Ka- years in terms of demand, it is precisely the processing of gold into (smaller) bars is not
this mark will fall to below 0.9g/t in a few ye- zakhstan have bought a lot of gold in 2018 inflows into gold-deposited ETFs that have guaranteed. This plays a major role, especi-
ars. and 2019. The central banks increased their seen a strong surge in demand since the end ally in the case of physical delivery claims of
gold reserves by 656.2 tons in 2018. This of 2018 and therefore offer the greatest po- COMEX contracts, as many sellers could be
was 73% more than in 2017. In 2019 central tential for demand growth. In 2019 alone, caught on the wrong foot, who would then
bank purchases fell slightly to 650.3 tons. global ETFs recorded an inflow of just under have to cover up at any price.
This meant that a large amount of the supply
was taken off the market by the central
banks alone, once again putting them on the
demand rather than the supply side. In Au-
gust 2020, central bank sales were recorded
for the first time again on a purely net basis,
but this was almost entirely due to Uzbekis-
tan, which sold 32 tonnes of gold.
Demand from the jewelry sector
and investment sector stable –
technology sector growing
Gold-supply (blue) and -demand (grey) steadily
(Source: own representation) A third point is the (missing) discovery of
new deposits. While more than one billion In 2019, there was a global demand for
ounces of gold were discovered in the 1990s, about 4,355 tonnes of gold. The lion‘s share
only slightly more than 600 million ounces was accounted for by the jewelry sector,
were discovered between 2000 and 2014. which consumed 2,107 tons. In second pla-
Since then, the new discoveries have collap- ce was the investment sector, which deman-
sed once again. This is mainly due to the fact ded about 1,272 tons (about 110 tons more
that in recent years gold producers have than in 2018). Demand from the technology
concentrated primarily on reducing mining sector was strong, reaching 326.6 tons in (Source: istara, pixabay)
12 13
Silver: increased only marginally and has even been
declining since 2016. In the coming years,
New uses and an undervaluation against gold silver production is expected to stagnate
make silver the future highflyer and even decline further due to corona,
especially as the output of new mines will
have difficulty compensating for the loss of
zinc/lead mines. From today‘s point of view,
Silver is a chemical element with the element ounces of silver were extracted from the silver production is expected to decline, and
symbol Ag and the atomic number 47 and earth‘s crust. In 2017 there was even a real the total silver supply (including recycling) is
belongs to the so-called transition metals. It collapse to only 863.4 million ounces! In expected to decline. This is primarily due to
is a soft, easily malleable heavy metal with 2018 this trend continued: worldwide pro- the expected closure of several medium to
the highest electrical conductivity of all ele- duction was only 847.8 million ounces! In large zinc/lead mines and further to an enor-
ments and the highest thermal conductivity 2019 finally a further decline to 836.5 million mous investment backlog that has accumu-
of all metals. It is precisely these properties ounces. For 2020, production is even expec- lated in recent years due to the weak silver
that make it an indispensable metal for in- ted to be only 797.8 million ounces, which price development. Corresponding silver
dustrial applications. means that it will fall below the 800-milli- projects have been put on hold and only Silver-supply (blue) and
on-ounce mark for the first time since 2012. poorly developed. As a result, these projects tute expects a slight decline in recycling to Silver-demand (grey)
With an annual production of 180 million are likely to be put into production with a 169.4 million ounces. Sales by central banks (Source: own representation)
[Kr] 4d105s1 47 ounces (equivalent to around 20% of total long delay. In addition, recycling has been have hardly played a role since 2011 and
Ag
global production), Mexico ranks first among declining since 2011 and was less than 170 should not significantly increase silver sup-
the producing nations, followed by Peru and million ounces in 2019 compared to 233 mil- ply in the coming years.
China. These three countries together are lion ounces in 2011.
thus responsible for about half of the global
Melting Point 961,78° C silver production.
Boiling Point 2210°C Silver companies prioritize cost Demand situation
SILVER savings
Silver is above all one thing: Silver with hermaphroditic
by-product! The development of the mine pipeline also function
stalled in recent years with weak silver prices
But silver is much more than that: unlike Only about 30% of annual production comes because the silver companies had to deal While gold is mainly used as an investment,
gold, it is sometimes bound for many years from pure silver mines or mines where silver primarily with getting their cost structure un- to maintain value and in the form of jewelry
in corresponding applications, with the sheer is the primary resource. In contrast, the ma- der control. The high silver prices, primarily (less than 10% of the annual demand comes
number of possible applications growing jority (70%) comes from mines where silver in the years 2010 to 2012, ensured that mi- from industry), silver has a kind of herma-
steadily with technical progress. In addition is only a by-product, i.e. primarily from zinc/ nes were also brought on stream that had phroditic function. This means that recently
to being an industrial metal, silver is also a lead mines, but also from copper and gold all-in costs of over $20 an ounce. These about 51% of the total demand for silver
precious metal. Like gold, it is basically mo- mines. quickly became unprofitable after 2012. Ins- came from industry (including photography),
ney and serves to maintain its value. It can tead of closing them, however, the compa- while the remainder was mainly demanded
also be seen as a kind of hedge against ad- nies have since tried to keep costs down. by investors in the form of bars and coins
vancing inflation. Weak base metal prices cause There was little time and even less money and by the jewelry industry.
silver production to stagnate and left for expensive exploration and develop-
supply to decline overall ment programs. In the meantime, the vast
majority of companies have been able to re- Main application areas:
Supply situation This high dependency primarily on base me- duce their costs to a tolerable and for the Electronics, alloys, photography,
tals such as lead, zinc and copper has most part profitable level. photovoltaics, pharma/medicine –
Mexico, Peru and China are recently led to the fact that weakening base automotive sector is becoming
leading producing nations metal prices and the associated closure of increasingly important
mines or at least a reduction in the corres- Recycling and central bank sales
According to „ The Silver Institute „, global ponding base metal production also had a are not expected to contribute to Its peak values for important properties (hig-
silver production in 2015 reached an all-time negative impact on the production of the an increase in supply hest electrical conductivity of all metals, high
high of approximately 892.9 million ounces. by-product silver. Thus, price declines – thermal conductivity and pronounced opti-
In 2016, production declined for the first above all for copper, but also for lead – in A further decline in supply is also expected cal reflectivity) make silver indispensable,
time in many years. In 2016, 892.3 million recent years ensured that silver production in silver recycling. For 2020, The Silver Insti- especially in the fields of electrics, electro-
14 15
ounces per year. China, in particular, wants
to expand the share of photovoltaic capacity
significantly. The Middle Kingdom alone is
aiming to achieve 120 gigawatts of cumulati-
ve photovoltaic capacity by 2021. This me-
ans that more and more silver will be bound
in corresponding solar modules for at least
20 years! In the future, the pharmaceutical
and medical sectors in particular are likely to Silverprice US$/oz
trigger a further, greater surge in demand. (Surce: JS by amChart)
Since silver has an antibacterial and – cur-
rently especially important – antiviral effect,
it is already considered a possible salutary
agent in medical and pharmacological appli-
cations. Summary:
The automotive sector is also likely to provi- Rising supply deficit, still great
de a further boost. Silver is being used more potential to catch up with gold
(Source: First Majestic Silver) and more for wiring and directly in battery
nics, optics and photography. These areas packs and solar panels for car roofs. In 2019, The silver sector has been slightly oversup- a persistent slump in silver prices. Particu-
also account for a good half of the total the automotive sector alone will demand 40 plied for years, but in 2019 this was turned larly savings were made in exploration,
industrial demand of around 544.6 million million ounces. In 2010 it was just 10 million back into a saturated supply deficit of 50.4 which led to the fact that in the past few ye-
ounces. In addition, there are applications as ounces, in 2000 about one million. The de- million ounces. All in all, despite the corona ars virtually no large deposits were discover-
silver alloys (with copper, zinc, tin, nickel, velopment of a new type of battery based on crisis, global demand for silver is expected ed. And price weaknesses in several base
indium), which are used in electrical en- zinc and silver should also be interesting. to increase again in the coming years. In ad- metals also meant that the development of
gineering and soldering technology as sol- dition to expected increasing ETP inflows mines that produce silver as a by-product
der alloys (so-called brazing), contact mate- and further physical demand, demand from was initially postponed. The Silver Institute
rials (especially in relays) and conductive Physical demand recently the medical and pharmaceutical sectors in expects a supply deficit of up to 105 million
material (for example as capacitor coatings). higher again particular is expected to increase, in some ounces of silver in 2020.
Since 2011, the photovoltaic sector has also cases dramatically. On the supply side, the There is also further potential to catch up
been playing an important role in the de- Physical demand for silver reached a record same applies as for gold: Most primary silver with gold, which is reflected in a record-bre-
mand for silver. This has stabilized in recent high of approximately 1.0735 billion ounces producers have concentrated primarily on aking gold:silver ratio of more than 80 most
years with a demand of around 100 million in 2013 and fell from an extremely high level reducing mining prices in recent years due to recently.
(Source: First Majestic Silver) to approximately 966 million ounces by
2018. In 2019, silver demand increased
again significantly to 1.0735 billion ounces,
to the old record level, mainly due to a revi-
ved investment sector. Thus, demand for
coins and bars increased by 20.4 million
ounces to 186.1 million ounces from 2018 to Like gold, silver is basically money and
2019. In contrast, the global silver ETPs, serves to maintain value and protect
which still had to cope with outflows of 22.3 against inflation.
million ounces in 2018, recorded a net inflow (Source: shutterstock.com)
of 81.7 million ounces in 2019. This trend ap-
pears to continue into 2020. The Silver Insti-
tute expects up to 120 million ounces of sil-
ver to flow into silver ETPs in 2020!
Demand from the jewelry sector declined mi-
nimally by 1.8 million ounces from 2018 to
2019, while demand for other silverware
declined by 5.6 million ounces to 59.8 million
ounces.
16 17
Platinum:
Indispensable in the industry, the next upswing is
within reach
Platinum is considered by investors to be an electrical sector in resistors and for medical tage of platinum. In 2019, approximately 2.16
absolute rarity and at the same time extremely applications and equipment. million ounces were recovered from recycling.
mysterious. Viewed in a purely sober way, pla- Another large field of application is the jewel- Recycling thus accounted for 26.4% of the to-
tinum is a chemical element with the element ry industry, where platinum is often alloyed tal platinum supply for the year.
symbol Pt and the atomic number 78. with other metals, mainly gold. The fourth
large area is the investment sector. Supply stagnates
Overall, global platinum supply has stagna-
[Xe] 4f145d96s1 78
Pt
Occurrence and extraction ted in recent years. While in 2013 about 7.8
million ounces of platinum were available (of
Platinum is found in its elementary form in which about 5.8 million ounces from mining Platinum-supply (blue)
nature. Metallic platinum (platinum soaps) is and almost 2 million ounces from recycling), mainly used for catalytic converters. The je- and -demand (grey)
practically no longer mined today. Although in 2018 about 8.2 million ounces of platinum welry industry demanded 2.05 million oun- (Source: own representation)
Melting Point 1768° C
Boiling Point 3827°C a large part of the mined platinum is extrac- entered the free market (mining: 6.1 million ces. Demand from the rest of the industry
ted from primary deposits in a few places, ounces, recycling: 2.1 million ounces). In reached 2.40 million ounces. The investment
PLATINUM mining as a by-product of non-ferrous metal 2019, the platinum supply fell slightly to 8.19 sector, which slumped from 361,000 ounces
production (copper and nickel) is becoming million ounces (mining: 6.03 million ounces, in 2017 to only 67,000 ounces in 2018, expe-
increasingly important. There the platinum recycling: 2.16 million ounces). An increase rienced a true renaissance in 2019 and re-
Most important properties: group metals are produced as a by-product in platinum production is currently not in si- corded a real explosion in demand to 1.13
Forgeable, ductile, corrosion of nickel refining. ght, since, especially in South Africa, plati- million ounces. In total, platinum demand
resistant num extraction has to be carried out at ever rose by almost 500,000 ounces from 2018 to
greater depths and thus at greater cost. 2019 to 8.46 million ounces.
It has an extremely high density and at the
same time is very easy to forge and stretch.
Supply situation
Its gray-white color has always fascinated South Africa, Zimbabwe, the USA Hydrogen storage technologies
people, probably also because platinum has and Russia are the leading produ- Demand situation as future demand drivers
a remarkable resistance to corrosion and th- cing nations
erefore does not tarnish. Due to its high Platinum has a hermaphroditic In South Africa, research is already being
durability, tarnish resistance and rarity, plati- Extensive and noteworthy primary platinum function conducted on innovative hydrogen storage
num is therefore particularly suitable for the mining is only found in the South African technologies. Power generation with plati-
manufacture of high-quality jewelry. Bushveld Complex, the Stillwater Complex Like silver, platinum has a kind of herma- num catalysts is the major topic here. Low-
in Montana/USA and in Russia. 72.9% of the phroditic function. This means that about cost hydrogen storage systems for fuel cell
Almost infinite possibilities of use platinum mined worldwide in 2019 came two thirds of the total platinum demand vehicles and portable applications are still
from South African mines. This was followed come from the industry, while the rest comes dreams of the future, but China alone plans
Platinum finds its way into a whole range of by Russia with about 11.9%, Zimbabwe with mainly from the jewelry industry and from in- to produce two million hydrogen fuel cell ve-
different applications. By far the most com- 7% and North America with 6%. All in all, vestors in the form of bars and coins. hicles by 2030. In Germany the world‘s first
mon use of platinum is in the automotive in- platinum mining is a relatively small sector, hydrogen fuel cell train has just been put into
dustry and there in the form of automotive as only about 6.03 million ounces were operation. A major platinum company is al-
catalytic converters. In addition to the clas- mined in 2019, for example. Main customers: ready investing in the development of hydro-
sic diesel oxidation catalysts, platinum is automotive industry and jewelry gen compression technology together with
also increasingly finding its way into catalys- manufacturing – investment Shell Technology. As the name suggests,
ts in fuel cells, which could be an enormous High recycling rate demand explodes! these so-called platinum electric vehicles
demand driver in the future. The second ma- need platinum as their basic raw material.
jor industrial application area is the chemical Although a certain amount of gold and silver is Expressed in figures, it is the automotive
sector. Platinum is also used in alloys, for also returned to the cycle through recycling, sector that will be the most in demand for
glass production (melting crucibles), in the recycling makes up an extremely high percen- platinum in 2019. 2.88 million ounces were
18 19You can also read
