Silver Miners On Death Row

Submitted by Charles Savoie

“The silver industry is blindly fighting against extinction” —Mining Congress Journal, July 1930, page 549

Four generations after this statement in the Mining Congress Journal, we continue to behold, some of us almost in a state of shock, this same hell spawned banking community attack against historic money, along with a gold price which, while not so drastically depressed as silver, also squelches maximum gold production in a world starved for both precious metals.  Two key articles have recently appeared on this matter of silver companies struggling to maintain their existence.   In April I released “Silver Bully Boys And Their Kept Slaves” and in late May another item presented an even bleaker financial picture descriptive of current conditions in the silver mining industry, “2013 Full Year Results—Top Primary Miners Real Cost To Produce Silver.”  If a price turnaround is delayed too long, the mining companies will be forced to shut down mining (probably mining higher grade ore at this time) —to sell properties, merge or liquidate.  Meanwhile, silver users like Tiffany & Company make wild markups on fabricated silver.  In “Silver Supply Exclusion Targets—Tiffany & Avery Craftsman,” a May 2014 release, we saw that Tiffany sells a sterling baby rattle, probably containing no more than one third ounce of silver, for $400.  Why should silver users make enormous profits on silver, while silver suppliers run on life support, if at all?  The New York Times, June 19, 1973, page 49, reported that Tiffany & Company called a silver price of $2.59 per ounce “crazy.”

What’s that?  If Tiffany’s $400 baby rattle has one third of an ounce of silver—they’re marking silver up from about $6 their cost at today’s price—a 66.666 times mark up over cost?  At the same time silver miners are absorbing potentially crippling losses?  Very perversely, that figure is almost exactly identical to the horribly skewed silver to gold ratio we currently rub our eyes at—in a market in which gold itself is also badly depressed!  All so paper money printers can allege value to their booby-trapped product, and so silver users can continue robbing miners.

Did you know the Federal government used to “fix” the price of silver by Congressional legislation?  Utah Democrat Senator Abe Murdock, quoted in the Commercial and Financial Chronicle, June 13, 1946, page 3249, complained:  “Silver cannot be produced profitably at 71.11 cents per ounce.”

“Mining costs are a matter of great concern for an industry which must work at a fixed price for its product.”

We are well past those times; the price ceiling on silver is maintained by subversion in the futures markets rather than being quite so obvious as government posted prices (50.01 cents per ounce to holders of bullion when FDR seized silver, 64.64 cents per ounce to domestic miners, et cetera, to 91 cents per troy ounce just before silver trading reopened on June 12, 1963; gold was held back till December 31, 1974, when the Feds officially shifted administration of gold price suppression to the banker controlled futures markets).  The Bully Boys article mentioned six silver miners while the other mentioned a dozen.  Of course there are more than a dozen struggling silver mining companies.  The entire industry is in a deteriorated financial condition.  The plan of the monetary metals suppressors may be to run most of the silver miners into bankruptcy and forced liquidation, so that large multinationals with Pilgrims Society members on their boards of directors—BHP Billiton, RTZ Group and Xstrata— may be able to acquire many intrinsically valuable properties at the customary fire sale price.  The silver companies, especially the top tier names—are a strange lot.  Never say die longs are heavily invested, however, financial entities controlled by Pilgrims Society interests like State Street, Barclays and the lot of them, hold enough shares to keep senior management muzzled as to the price suppression.  The U.K. and the United States are the gold and silver price suppressors, but I don’t see how they can have their way much longer.  All commodities are part of a world market, and the world is weary of Anglo-American bullying.  The February 1943 Mining Congress Journal, page 8, mentioned silver as the target of RACKETEERING on the part of governments and industrialists.  Could Uncle Sam force a level playing field to allow silver miners price equity for the indispensable raw material?  Yes.  Will he?  No, because the government has long since been bought off.  Let me show you something I found in the Times, London, July 24, 1933, page 12, about a similar situation in the agricultural sector.  Scanned—

It is preposterous that gold and silver could be remonetized without the companies who produce these money metals achieving substantial prosperity.

 

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