perth mint has run out of silver bars, page-50

"You build a plant to refine it, I'm sure there are plenty of private companies that can cast the silver into bars - why not start one?"

It would takes months and cost millions, how was that going to help eliviate the current supply issues, also it would take years to build up a name that is trusted buy buyers.

As I said its not as simple as buying metal from miners

"You seem to accept there isn't a shortage of unrefined metal (would that be accurate?). Last I checked the silver spot price is for the metal itself, not the refined form"

Wrong, the spot silver price is based on large REFINED good delivery bars. You seem to think that there is huge amounts of unrefined metal just sitting there, most silver mined is a byproduct of the mining of base metals, there are very few mines that produce silver as their major metal, this makes the supply of unrefined silver very inelastic, it takes years to get mines up and running. IMO getting this just mined metal into good delivery bars is not the problem.



"Ok that conflicts with information I read that they were accepting backorders, if they're not is this isolated to Perth Mint (a Perth Mint policy), or widespread to all mints? Why don't you follow up bronsuchecki's comment that 1000oz bars are readily available"

If you would have read my post on this thread you would have understood this point, Perth mint had no bars for sale and were not taking order for any either It has been stated many times on this thread.

here is part of my earlier post

Has anyone else taken the Jeffrey Christian challenge?

I have, and guess what, I couldnt buy any of these 1000oz bars that the Perth mint is groning with, and they would love for someone to come in and buy. I tried phone sales, the depositary and the shop.

I could not get my hands any silver bars at all, neither was I able to order any silver bars for future delivery, the closest was the shop currently had a few 1kg bars, but that could change at a minutes notice and thats no good to me as I am not going to fly over to Perth for the chance of getting a couple of kgs.


the 1000oz bars bron is talking about are only available for storage at the perthmint, the perthmint will not sell them to you.

"From what you're saying on bullion dealers, maybe you should become a bullion dealer with guaranteed delivery"

Wrong again, bullion dealers have to wait just like everyone else, they do not get guaranteed delivery, in fact many dealer are steering potential buyers away from ordering perthmint products, because of the major delay with securing products from them.

I dont have accounts with all the mints in the world, but at present like I said earlier, most dealers have most products on backorder, but the perthmint seems to have more issues than other mints.

"I ask again, what is the problem with buying on paper and waiting for the physical to become available, then do a swap? Do you feel a crash in paper markets is imminent?"

Supply constraints are forcing potential physical silver purchasers into the paper markets, but paper is not physical, there is basically unlimited paper silver available at the current price, but no physical silver to be had. That is my point something is wrong, is actual real silver the dog or the tail here, it seems to me that the tail is waging the dog.

I am a stacker, I stack silver because I still believe that it will be more valuable in the future, I have held silver for over a decade. Why should I add another level of hassle or risk, swapping paper for physical, also if I do what you suggest and silver price does head north from here, and I make money on my paper silver, then I have to pay tax on that profit which would then reduce the amount of physical that I can purchase.

"Do you feel a crash in paper markets is imminent?"

I think that the something is wrong, but I have had this feeling before and the paper markets didnt crash then, but instead the price of silver went up dramatically, we little people dont know how much stress is in the physical supply at the big end of the market, but when Jeffrey Christian used the Perth mint as proof of there being nothing wrong with the liquidity of physical supply, then that just adds to my uneasyness in regards to the paper market in general.
I would rather not hold paper silver positions if it is avoidable.



cheers grant



the above is opinion only and written without prejudice