Member Info for goldgnome

Thanks Rebess

Nothing wrong with removing the middlemen

CEY has done this

> No debt
> No royalties

and some how this seems to have been lost in the narrative ?

regards
the gnome

NEVER A DULL MOMENT IN THE COLONIAL OUTPOST IN THE SOUTH!
There is an argument that war and political tensions are good for Gold, and hence good for CEY shareholders?

One of Australia's most powerful Australian national security figures says free nations "again hear the beating drums" of war, as military tensions in the Indo-Pacific rise. [I think he means the political class wants to send the poor bu**ers in the military out to shoot the poor bu@@ers on the other side]

Key points:
Home Affairs Secretary Mike Pezzullo [career gpvernment employee] says the nation should be striving for peace but "not at the cost of our precious liberty" The powerful bureaucrat is widely tipped to take over as Defence Department Secretary later this year
His message comes as Defence Minister Peter Dutton says war with China should not be discounted

In an Anzac Day message [Lets not forget how futile war is?] to staff, Home Affairs Department Secretary Mike Pezzullo said Australia must strive to reduce the likelihood of war "but not at the cost of our precious liberty". Mr Pezzullo also invoked the memory of two United States war generals and warned this nation must be prepared "to send off, yet again, our warriors to fight". [fair enough, like seeing a surgeon, who then recomends surgery?] Amid growing military tensions between China and the US over Taiwan, the powerful bureaucrat also highlighted the "protection afforded to Australia" (?) by its 70-year-old ANZUS military alliance with the US and New Zealand. China for the unitiated is Australias biggest trading partner, and purchaser of outrageously expensive Iron Ore (what exactly is China doing with all of this Iron Ore? I hope its not going to come back to haunt us in the forms of tanks, and defense boats etc?), and supplies the lions share of high paying international students which keeps our Universities afloat?

"Today, as free nations again hear the beating drums and watch worryingly the militarisation of issues that we had, until recent years, thought unlikely to be catalysts for war, let us continue to search unceasingly for the chance for peace while bracing again, yet again, for the curse of war," Mr Pezzullo said.

Well here we go again. Drums beating. Narrative being developed. Idealogies being sharpened. Lies being told.

On the back of the unbelievable M2 (now disocntinued byt eh Federal Reserve !!!??? a warning sign if there was ever one, https://fred.stlouisfed.org/series/M2 ] money supply hikes, a good dust up in the Pacific should see Gold go to $5,000 or more?

Living in interesting times?
best
the gnome

Mr T.

The largest gold producing country is China (Russia 2nd)
China does not sell its gold.

Why?

The top 10 countries with the largest gold reserves do not include China
Why?

Hint : China has a lot of gold reserves, and some magnificent gold deposits and Gold provinces.

It is very debatable that the financial system "constructed" largely by the US has served anyone [but the US] very well at all. It needs some "tesnsion at the table" (not war), and a major overhaul. Its intrinsically unstable, opaque in many critical places, conflicted, and results in inefficient allocation of capital. Just my humble opinion.

We live in interesting times.
best
the gnome

Cryptocurrency Huge change beckons in the payments system.

Ainslie Wealth and Instant Pay flicked a switch this week to enable real-time payments for crypto assets. It was a small action, but one that will have a big impact on emerging services built on the distributed ledger technology that enables bitcoin.

Ainslie, the third-largest gold dealer in Australia, has sold a digital representation of gold on the ethereum blockchain for the past three years, but there’s been a problem: Ainslie has had to wait for the traditional payment system to deliver it cleared funds before providing the token to the buyer. Much of the delay is a result of banks’ clunky ‘‘batch’’ processes and legacy systems that can take several days to clear a payment.

But now, Ainslie will use Instant Pay’s connection to the ‘‘new payments platform’’ (NPP) to receive customer funds instantaneously. This will save costs and reduce risks.

‘‘There is a big opportunity to bring bullion into the blockchain space, but given the chargeback risk, transaction limits and the cost of credit cards, we haven’t been able to give customers the normal, online shopping experience, including payment in one, uninterrupted shopping session,’’ said Ainslie Bullion director Paul Engeman.

But now it can. The arrival of realtime payments for crypto assets has been made possible after the major banks spent more than $1 billion building the NPP, a demand of the Reserve Bank. Instant Pay is connecting to the system via another ADI, Cuscal.

The NPP is a piece of critical national infrastructure set to unleash a wave of payments innovation, as hosts help fintechs connect to the real-time system to accelerate service delivery.

‘‘There are a growing number of NPP-connected fintechs supporting an expanding range of interesting use cases,’’ said Adrian Lovney, New Payments Platform Australia chief executive. ‘‘Either that’s real-time transfers to crypto and stock exchanges any time of the day or week or paying gig-workers and taxi drivers at the end of every shift. It’s a reminder that beyond speed, one of the key features of the NPP is that it is available 24/7/365.’’

Ainslie started offering bitcoin assets in September 2017 and in 2018 launched a digital representation of hard gold bars.

Thanks Cowichan
Many years ago I read a book that suggested one should consider ones life at the end. Imagined you were in the wooden cask, looking around in the church. Who would you want there? How would you like them to remember you? What impact would you like to be able to know, that you had on their life?..and a lot more
Never forgot that book
FIRST THINGS FIRST...Stephen J Covey (appears the kindle version is inferior to the paper)

best
the Gnome.

Are we doing alright or what? There is so much bunkum around, I thought I would have a look at some figures in the public domain, over a 20 year period.
Step 1: What is CPI?
CPI stands for Consumer Price Index. CPI is often used interchangeably with inflation because CPI measures the change in prices over time that consumers pay for goods and services.
The Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by consumers for a market basket of consumer goods and services
The issue with using CPI to gauge inflation is that it is a basket of goods and services. It is what is included and not included in this basket that causes issues.
CPI puts expenditures into 8 majors groups: food and beverages, housing, apparel, transportation, medical care, recreation, education and communication, and other goods and services.
It does not include investment items, such as stocks, bonds, real estate, and life insurance.
How inflation impacted investment items
It seems we’re paying 56.3% more overall for items since 2000. The purchasing power of money is shrinking. OK
But none of these components have increased as much as investment items such as real estate and stocks, which are not included in inflation (CPI) calculations.
Since 2000, the S&P 500 is up 181% (from $1,469.25 to $4,128.80) and the average home price is up 110% (from $165,300 to $346,800.) ... 78% in UK...
In Australia, same period
Sydney 102%
Melb 131%
Darwin 60%
Canberra 151%
Brisbane 98%
Perth 88%
Adelaide 119%

So if these two categories were included in CPI’s calculation, inflation would be much higher each year.
[The other way of looking at this is that best not to keep cash in the basement }
So in short inflation is higher than the CPI number.
I don’t know what the “true” CPI number would be if you include investment items. Salary 2–3% annually, are you really staying ahead of inflation or are you losing purchasing power?
If real estate and stocks are the simple strategies to get rich, we should all follow suit...or do we invest in something else?

The Federal Reserve?
The federal reserve control the United States monetary system. And since the US went off the gold standard in 1971 their impact has been sensational.
The Fed, directly or indirectly, inflates the prices of investment assets. As a result, “the rich get richer.”
A while back I stumbled across a website, https://wtfhappenedin1971.com/
Its worth a careful look, and do your own research! -> Dont keep $ in bank
It provides a variety of graphs displaying the impact going off the gold standard has had on the economy. Two of the best graphs show the impact it has had on income by percentile.
The other thing you can look at is the POG. In 2000 about $280/oz, Now $1750. That’s 525% increase.
You chose…
Interested in what you think!
Celebrating ANZAC today. Started in Gallipolli. Led to the wrong beach by the elites, and we don't seem to learn?

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the

Well I guess each to their own defintion of fun. I think people have to be far more discocerning about what they chose to read. There is an incredibale amount of uninformed, negatively biased, anxiety dripping rubbish that passes for news and "informative" articles, and allows people to pass their time. On the other hand there is a large amount of very considered and well analysed writing. Chose well what and who you read. Life is shorter than one thinks.

I am tending to be more discerning these days, and if I must read something I read a good book by an author who I can do some proper research on, rather than flip and flop in the news feeds and twitter tweets and twats (not that I ever spent much time with that rubbish)
Just passing by...
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the gnome

Sorry, the last post was meant to be asking ...what would yu do if you were in government right now, to stimulate the economy, right the wrongs, head the learnings of the past and create a fairer and more sustainable future. My opinions maybe wrong?!

best

Interesting times we live in.

Predictably Biden has come out with his tax on the rich. Our exPM (some dont know when their time has been) has come out with his favorite "super" tax on Mining companies (he rejected most of the other 137 tax recomendations of a well structured future tax plan?! preferring cheery pick, or captains pick as they say in polite circles) when they make "super profits". (read Iron Ore Companies). The comprehensive tax review he commissoned in 2007/8 produced a well thought out wish list of tax reforms to set Australia up for the 21st century.... two days out from Christmas (a thinky disguised christmas present, and compulsive summer holiday reading) — a 783-page tax tome...and now of course...few of its 138 recommendations have been implemented in the last 12 plus years, with those that have, often bastardised beyond recognition.
"I am today absolutely stunned that so little has actually been implemented," Dr Henry (architect of the comprehensive study) told The Business in an exclusive interview marking a decade since his review...how time flies? why was he surprised at yet another comprehensive study and voluminous government sponsored report put on the shelves?!!!
I can imagine there will be lots of excietment about tax, and wild speculation and more tax reviews and reports, and interviews ad nauseum in the next few years.
Options to get through the latest pandemic management crisis? (there will of course be a lot more, more mutations, more vaccines with side effects etc)
1. more tax, and the targets must be those that do not create employment
2. encourage those industries/businesses that actually create quality employment (not flipping burgers and opening doors) - small companies employ most people
3. spend on building infrastructure that will increase productivity - justify wage increase which has been missing in action for a few years and no end in sight
4. raise more debt, no surprises
5. put effective caps on long term bond rates,

and what will gold do in response to these and more measures?
HInt: Go up.

Good night and good luck all! We may well need it and a lot more

best
the gnome

But our marvellous governments are moving forward
1. tax, and the targets must be those that do not create employment
2. encourage those that create employment - small companies employ most people
3. spend on building infrastructure that will increase productivity - justify wage increase
4. raise debt
5. put effective cap on long term bond rates

Thanks Sotolo.

The amount of reports written on the negative impacts of Artisinal and Small scale mIning, aprt from being mind numbing, is inversely proportion to the effective action to remedy the stuation. There is a whole industry built of do gooders who sit in various Universities, think tanks and NGO's around the world, living off government grants and the donations of well meaning people, writing endless reports based on voluminous studies based on short field trips and analysis of remote sensing data. Part of the root problem is poverty, coupled with ignorance, and lack of employment opportunities,
In one of my frank converstions with some youths in Cote DIvoire who were robbing our wrokers daily , relieving them of all but their underwear (their productivity was abysmal!) went like this. " Well you see Mr, we were born in a prison. It wasn't our choice. There is no door out of the prison. There is a window. We can see a better world, but we can never get there. It hurts. We have no education Mr. We have no trade. We have no job. We have no money. We cannot marry the pretty girl in our villages, as we have nothing to offer. No money to her father and mother. This is how it works for us. No future. Nothings works. No work. So what do you suggest we do Mr?"
So when you donate to a NGO, judge them on their outcomes What did they achieve. How did they measure the achievement. Writing endless reports no longer gets me out of bed, or loosens a donation from me.

There will come a time when all the chickens come home to roost.

best
the Gnome

The true cost of artisinal miing is unknown but likely to be very significant, both short and long term.
The cost to the environment is horrific. The rivers and creeks in Guyana are awash with mercury. IN the fish, IN the people.
https://www.youtube.com/watch?v=wlxCu_zIt0c&t=93s
"Socially and environmentally, it is impacting on the life of the surrounding communities. We are now seeing the impact. All the creeks are polluted. People have a lot more mercury in their system. The miners are back and everything is chaotic,” he said in an interview on Thursday.
https://www.forestpeoples.org/en/node/50362
The western Amazon is being bathed from outside in mercury from the small scale miners in Peru.
https://www.youtube.com/watch?v=aepc6z8pdCc
and bathed from the inside with mercury due to artisinal miing in the Amazon source water regions.

Corruption is pandemic. At the highest levels. Proceeeds go to foreign bank accounts (see Panama papers), are not taxed, and amount of gold won largely not known.

As gold prices soared from 2008 onwards, tens of thousands of foreign miners, especially from China, entered the small-scale mining sector in Ghana, despite it being ‘reserved for Ghanaian citizens’ by law. A free-for-all ensued in which Ghanaian and Chinese miners engaged in both contestation and collaboration over access to gold, a situation described as ‘out of control’ and a ‘culture of impunity’. Where was the state? This paper addresses the question of how and why pervasive and illicit foreign involvement occurred without earlier state intervention. Findings indicate that the state was not absent. Foreign miners operated with impunity precisely because they were protected by those in authority, that is, public officials, politicians and chiefs, in return for private payments. Explaining why state institutions failed in their responsibilities leads to reflection about the contemporary state in Ghana. It is concluded that the informality and corruption characteristic of neopatrimonialism remains predominant over legal–rational structures, albeit in a form that has adapted to neoliberal restructuring. Public office remains a means of private enrichment rather than public service. Such findings cast a shadow over the state and government in Ghana, and tarnish its celebration as a model of democratic governance for Africa.

Shut it down? Just put in proper regulations which are int heir law, but never adhered to becuase of the corruption and under-resourcing

It is truly pathetic state of affairs, and I would urge everynone to educate themselves about this, and support organisations who are trying to do something.

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the gnome

I think that the report delivers an impressive set of numbers, both for underground and open pit. A lot of dirt being moved efficiently. Costs going very well, despite these unusual times. I am concerned there is no mention of Exploration..anywhere. This is the growth engine, and efficient mining needs to work with efficient resource replacement. I would like to see an exporation summary and insight into whats happening in the leases in Egypt.

Disappointing the lack of progress with the Egyptian Government. They are being well supported by Centamin, and reciprcoity is in order.

Very interested as always as to what is happening in West Africa. Given there seems ot be little to no value on these assets, any positive news will bode well for the SP

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the gnome

You may as well join them on the prediction front. If you make enough predictions,one of them is bound to be right!
Gold to $2000 by years end.

The prediction servics in the crypto space is amazing. Gold of course does not do too bad. What a business model. You can make as much money predicting with a entertaining 5 minute video, as you can buying the stuff.

best

the Gnome

The bottom line was Pardy was below Par. Need to move on, as CEY has.

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the gnome

The Magic Millions is the biggest horse auction in Australia. Just role up, select your horse and enter the auction. 10% goes to the owner of the Auction. Great business model.

Buying and selling bitcoin is getting easier. Justn ramp on, and ramp off
https://cointelegraph.com/explained/cryptocurrency-on-ramps-and-off-ramps-explained

best, I am off to my local ramp for the rest of my joyous weekend My footy team won,! again! Great season looming in the AFL

the gnome

One of the outstanding things about the crypto investment world, is the scam denisty. Some are going into the $billions in market capitalisaton almost overnight, and not a shovel raised in anger, or a ton of earth moved....?

Magic Millions, money laundering and a $4b crypto scam?
The FBI is investigating the biggest investor in Australian horseracing over a scam that could have cost Australians $770 million, according to a former executive.

Over the past four years, a previously obscure Dubai businessman named Amer Abdulaziz Salman has helped drive a horseracing investment boom that culminated in January at the Magic Millions yearlings sale, where Abdulaziz and Canberra casino owner Tony Fung spent $11.6 million on 19 horses, becoming the biggest spenders at one of the most lucrative Australian horse sales in history.

... how did a man accused in a US court of laundering money for a global cryptocurrency scam that the US Department of Justice estimated cost Australians almost a billion dollars become one of the leading investors in horseracing?

Since establishing Phoenix Thoroughbreds in 2017 as what he said was the world’s first racehorse investment fund, Abdulaziz has blossomed into a star of the global racing circuit.

Last year his horses won 82 races in Europe, Britain, Ireland, Dubai, the US, Argentina and Australia, including the Golden Slipper Stakes at Rosehill Gardens Racecourse in Sydney, the richest race for two-year-old thoroughbreds in the world.

Wealthy investors like Abdulaziz have created significant racehorse inflation. In 2012, the Gold Coast Magic Millions yearling sales raised $69 million from 675 horses. This year, 1031 horses sold at Magic Millions for $212 million, a doubling the average price in nine years.

Last August, the US Department of Justice told a New York judge that Abdulaziz had laundered money for an internet scam where a Bulgarian management consultant named Ruja Ignatova allegedly sold more than $4 billion in worthless bitcoin-like securities called OneCoins.

Applying to seize the assets of OneCoin’s lawyer, Mark Scott, government lawyers said in a letter that “Scott subsequently transferred approximately €185,000,000 from the Bank of Ireland to the accounts of another one of Ruja’s money launderers, named Aamer Abdulaziz.”

and on it goes, another day another scam...

the amazing thing is that still, investors are lining up indrives to invest in the net big thing..another crypto? It does suggest a frailty in the human psche. Life is a gamble for many

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the gnome

There does come in ones life a time when one tries to figure out what the real value of things are.

Well I undertstand houses, utilities, consumer non-discretionaries and on it goes. But there is the Crypto space. Lets spare a thought for CEY devotees (like me). CEY has a mkt cap of GBP1.3b, pays a near 7% div, no debt, and likely to run out on present reserves for another 25-20 years.
Plenty of understandable upside.
Then there are the Cryptos, and what a magnificent lot of start ups we have. Dont produce any income, pay no dividend, here today gone tomorrow, value determination is in the clouds (literally), but the crypto companies can start and reach a $40b mkt cap in a few years, without doing much at all. Yes they pay for the master blasters, and the endless publicity machine. Like so many things these days we have gone the Edward Bernays way

"The conscious and intelligent manipulation of the organized habits and opinions of the masses is an important element in democratic society. Those who manipulate this unseen mechanism of society constitute an invisible government which is the true ruling power of our country."

Where is the value, how is it derived?
"A thing may be desired not for its intrinsic worth or usefulness but because (someone) has unconsciously come to see in it a symbol of something else, the desire for which he is ashamed to admit to himself."

And yet they are seen as being a rival for gold (by some in the publicity world).

Someone has taken leave of their senses, and the dutch tulips are flowering again. Ever green, along with snake oil, eternal life, and flying pigs?

Just so interesting to see the chatter and the lemmings being herded again. So much cash to splash as they say.

have a good weekend all....

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the gnome

lta100,

Yes there are a lot of chairs changing hands on the Titanic. Funny about that.
The smokes and mirrors dont seem to do the same old trick, as they used.
I am expecting the pack of cards to need a restructure.

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the Gnome.

The stupidity of it all, is they have a go at the Africans for Nepotism. Who are the gold medalists?

All coming together every well for CEY. I think this is the next major leg up! Could the mining indutsry see Tier One magnement with a Tier One orebody? Certainly hasnt happened with Rio, to name one ...

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the Gnome

Whats going on? Germans take the Portuguese police to court for enforced quarantining and hotel isolation:? The deliberation of the Lisbon Appeal Court is comprehensive and fascinating. It ruled that the Azores Regional Health Authority had violated both Portuguese and international law by confining the Germans to the hotel. The judges also said that only a doctor can “diagnose” someone with a disease, and were critical of the fact that they were apparently never assessed by one.
They were also scathing about the reliability of the PCR (polymerase chain reaction) test, the most commonly used check for Covid.
The conclusion of their 34-page ruling included the following: “In view of current scientific evidence, this test shows itself to be unable to determine beyond reasonable doubt that such positivity corresponds, in fact, to the infection of a person by the SARS-CoV-2 virus.”
In the eyes of this court, then, a positive test does not correspond to a Covid case. The two most important reasons for this, said the judges, are that, “the test’s reliability depends on the number of cycles used’’ and that “the test’s reliability depends on the viral load present.’’ In other words, there are simply too many unknowns surrounding PCR testing.

If one cant rely on PCR testing, and yet so much seems to depend on it, then what is happening?

"In Australia we see the first, and I can only guess this will not be the last, CLASS ACTION strating gainst the overnment for..
Given the initial novel nature of SARS-CoV-2 and the little knowledge we had about its origins and behaviour, initial Government actions may have been justified. However, over the past seven months it has become evident that that the decision-makers responsible for the management of SARS-COV-2 public health risks have made decisions that are significantly disproportionate to the risks and are targeting the healthy members of our communities, at the risk of neglecting the most vulnerable." Given the first estimate of fatalities, was fallacious.. (up to 150,000 in Australia, see)

And now we supposedly have letters from the open Police force?
https://cairnsnews.org/2020/11/02/police-blow-whistle-on-coronavirus-deception/
Very unusual times, and it does seem that THIS TIME IT WILL BE DIFFERENT?
I am not sure that things are going to return to any semblance of normality for years? in life and in the market place?

At the moment we have a run on housing prices, which is getting the RBA interested, but consensus seems to be that after a run up which may take a year, there will be a run down, which will coincide with interest rates moving.
Well perhaps not too different?
Best
the gnome