PRU Target Price : 70 Cents, page-423

Reasons to be bullish on gold prices short/mediumterm:

-US: Late cycle. Flat yield curve. USD willweaken in 2019 as fed pauses rates = bullish on gold

-US: Government shutdown and fiscalblow-out will be focus of 2019. Will need to issue a large number of bonds intonext year = oversupply of USD. Currently few central banks buying US bonds = weakerdemand = bullish on gold



-China: Released the petro-yuan (Yuan basedoil futures contracts) in March 2018. Coincides with Hong Kong Goldfutures in 2017. Thus, yuan now has a soft peg to gold price. Countries nowtrading oil outside of US sanctions with China need to increase gold holdingsto hedge the yuan. Many central banks have already significantly increasedholdings. This is key for demand.

-China: Yuan already weak vs USD. Risk islargely to the upside.

-China: Aiming tax cuts and looser monetarypolicy into 2019. Bullish for yuan = bullish for gold.

2019-2020 will see great leaps in increase of gold price IMO. Perseus is on a significant growth path during this time which will mean share price will break through to upwards of 65-70cents IMO. On the completion of Yaoure and a gold price above 1450 we will see SP looking toward $1. This is all just my thoughts only, this is why I hold so many shares. DYOR