Mouserman and Bogeyman1) SILVER PRODUCTION COSTS AVERAGE $6 AND GOLD AVERAGE IS ABOUT $450. So my math says gold gets a triple and silver gets fiver. hmm
2) AVERAGE GOLD SILVER RELATION AND RATIO IS 16 TO 1, through out history. GOLD IS $1500 AND SILVER IS $ 35. My math says that is a 42 to 1 ratio, three times the norm. Normally gold would be $1500 and silver $93. hmm
3) GOLD HAS BEEN PRETTY CONSTANT IN RESERVES FOR THE LAST 40 YEARS OR MAYBE LONGER I AM NO EXPERT, SILVER RESERVES HAVE DEPLETED SUBSTANTIALLY, I THINK THE US HAS NEXT TO NO RESERVES, MAYBE INCORRECT. So my math says silver may be worth more than $93
4)SILVER IS USED IN MANY APPLICATION, GOLD IN VERY FEW. SILVER ISNT BEING PRODUCED TO KEEP UP WITH DEMAND. My math says that is short fall in NEAR future, supply and demand takes over here.
5) DEBT US, EURO, JAPAN, ETC ETC GOLD EXPENSIVE FOR AVERAGE JOE OR CHAN OR AKMAR SO THERE IS SILVER TO PROTECT THEEIR BACKSIDE, NOTABLY IN WALLET AREA.
I hold physical gold, unfortunately, wish I had silver instead, but it will head north too, so my hedge is silver explorer and PRODUCER SLX.
If SLX produces one mil ounces we should make $30 mil this year at $35 silver, that is .30 a share not bad, even if that number is .15, that is $1.50 a share at EP of 10. That does not take in exploration action, so what if we get to 2 or three mil in next two years and the drill results bring us another 50 or 100 mil ounces.
Patience will pay off in the long run. Too many things pointing in north direction for silver and SLX.
Please note all these numbers are my own from reading and may be off, DYD. JMO