The Impending Silver Resource Extinction Crisis.

are thinking no matter what monetary policy the FED adopts uh well that's this uh this evening uh London time of course no matter how the U.S labor report data and CPD CPI data change that was yesterday it can neither change the fact that silver is about to dry up nor prevent the outbreak of silver depletion crisis Wednesday June 14 2023 Monaco 64 home of alternative economics

and contrarian views we're going to look at Silver Extinction today yes the supply of silver is quickly running out and the reserves of silver are very scarce so we're going to look at some analysis done by a Chinese analyst I've gotten in contact with him through Twitter he sent me uh some some of his work I'd love to have him on the channel but uh he

said his written English is a lot better than his his spoken English but maybe one day he'll come on and that's what we're going to look at today uh before I start I like to say that if you're new to the channel and you enjoy my content make sure uh you subscribe to my channel make sure you hit the little notification Bell as well to be

notified of all my new videos and uh yeah make sure you share my content uh with people that you think would be interested as well it always helps to get the message out and uh what's the purpose of my channel well the purpose of my channel is to look at the economy the markets with a a different perspective from the mainstream and that's why I call

myself the home of alternative economics and contrarian views so I would say that uh the uh saying there is no such thing as a free lunch uh pretty much defines what I try to tell people or try to give my opinion on on things not just uh in the markets but the economy monetary policy money and Banking and of course being the home of alternative economics

I espouse sound money as well because that's something we haven't had for over half a century worldwide but anyway you might be wondering Rudy is he didn't want to stay up there today he's underneath the desk here he's very comfortable we went to a puppy training last night he did very well we're doing a level two uh puppy training so uh yeah back to Silver and

uh if uh China buy that's how I call him his name is by Xiao Jun my pronunciation might not be that good in Chinese excuse me um if what he he's talking about comes to fruition we could see uh probably one of the biggest uh bull markets ever in any commodity as he talks about or writes about in his uh work no other natural resource has

ever gone extinct and uh I just want to reiterate that what he means here uh is that it's going to go extinct it could go extinct for the major silver producers yes there will be some countries out there that still have silver for another 50 or silver reserves that they could exploit but that would take another 20 years to develop and he takes data from the

U.S uh Geological Survey so it's all official data and he looks at uh consumption of silver in China and other countries and the production so yeah if this comes to fruition it's going to be uh pretty astounding and his argument is that it's more important for silver to be available for industrial use because it's very important for the development of new technologies especially alternative Technologies photovoltaics

solar panels and China has a huge program for developing their Technologies regarding uh related to that up until 2035 the Chinese like to have these plans of course I'm not judging China here I'm just saying what what they have and uh he said it could be really um a disaster for civilization if we run out of silver if silver becomes really scarce so that's the general

idea what I'm gonna do now is go over uh one of his uh articles from September 2021 try to go over it fairly quickly um I have asked him uh recently whether I can publish these uh articles he's written because they're not on any website if I could could put it on the Monaco 64.net blog so if I get permission from him uh hopefully you'll be

able to go into my blog and read them as well but if you want you can pause the video here while I read or later on so the impending eruption crisis silver Extinction Xiao Jun by China 25th September 2021 so our concern China is one of the world's five largest silver consumers with an average annual silver demand of 6 300 tons in the last decade according

to the 2011-2020 data release by the U.S Geological Survey USGS China's average annual silver mineral production is only 350 tons uh about 3 000 tons of Supply Gap depends on Imports the key point of our anxiety is that China's proven silver resource reserves was only 41 000 tons by 2020 from this year if the current mining rate would keep unchanged there will be only 11 years

of silver mining Life by by 2032 China's silver resources resources Reserve reserves will be exhausted and underground silver deposits will be extinct from 2033 1600 tons of China's static silver demand will all rely on Imports and the relationship between Global silver supply and demand will be worse dramatically now you can understand why there's so much geopolitical tension maybe in the background uh in the Smoke fill

roof filled room so to speak the Americans and the Chinese are negotiating on this uh for the public of course they tell us it's uh they got a problem with Taiwan who knows I'm just speculating here so let's continue our concern is also uh the world's concern according to the data released by USGS of the US the global civil production was 25 000 tons and the

reserves was 500 000 tons in 2020. according to the current mining speed the underground civil resources would disappear in 20 years mine output would be reduced to zero and this is the important one I think the significant one is the situation in Mexico as it says he says it's more serious Mexico is currently currently the country with the highest silver production in the world with an

average annual output of 5600 tons in the last decade and only 37 000 tons of resource reserves by 2020 according to the current mining rate the mine will be my the resources will be exhausted by the end of 2026 and the output will be reduced to zero the Panic of silver crisis uh is only five years away well now it's only three years away I would

say that was from 2021 this art this uh piece of research it is 57 000 tons of total silver resource reserves compared to 3 500 tons of the total annual mining in Northern in other countries behind the top 10 silver producing countries in the world by 2036 these countries will have no silver to mine and the silver deposits will be extinct only because of the Civil

resource resources Extinction of China Mexico and the countries behind the top 10 silver producing countries the global annual supply of silver will be reduced to 15 450 tons in other words by 2036 the global silver production will be less than 10 000 tons meanwhile demand will still remain above 30 000 tons so here's the timetable that he gives of silver resource Extinction and this is calculated

uh from 2021 and this is released by USGS silver depletion does not occur at an average rate in various countries different countries have different resource reserves and Mining speeds and therefore the order of silver depletion is also different in 2026 when civil resource in Mexico the largest silver producer dries up there will be a silver panic as China's resource dries up it will exacerbate the silver

panic in the following years silver producing countries will be continued to announce the depletion of silver and the Panic would continue to spread all over the world until complete disappearance of silver underground deposits mankind will face the extension of an important natural resource for the first time the concern aggravates our crisis awareness according to the 2011-2020 data released by UK silver Institute China's industrial demand for

silver currently accounts for about 60 percent up to 3 500 tons over the past decade the silver demand of China's industry has increased by more than 50 percent which is the fastest growing country in the world and one of only two growing countries the other is uh UK China has just formulated the the release the release of the 14th Five-Year Plan which contains the outline of

silver will continue to grow at a high speed the industrial demand will exceed 5500 tons by 2030 facing the global Panic of silver crisis triggered by the silver depletion in Mexico in 2026 and the exhausted silver in China in 2032 China has to answer how to ensure the realization of the national 2035 high-tech development strategy how to solve the problem of serious shortage of silver resources

just have a sip of my tea here this morning so this is where price comes in China has a strong sense of Crisis The Dilemma of industrial demand will also appear in silver industrial demand countries such as the US Germany UK Japan and South Korea Etc by 2030 the world's total demand for silver will rise to 35 000 tons because Mexico's silver minerals will return to

zero and China will be very close to zero the global Supply will drop to 16 000 tons and the serious shortage of Supply will aggravate the silver resource crisis and I mean this number could be even higher than sixteen thousand uh he might be uh overestimating uh the supply drop but even if it's 20 25 there will still be a big shortage so we're almost there

at the end here this is uh his debate says our debate it is said that the alternative materials would be found to reduce the demand of the silver industry the physical and chemical properties of silver are unique it's high ductility High conductivity High thermal conductivity and optimal reflux reflectivity determined determines its Irreplaceable role in high-tech electronic industry and green energy perhaps mankind could find new materials

to replace silver in the future or scientific and technological development would innovate materials and processes but these Visions cannot be completed within 20 years at this time silver will be nearly exhausted foreign it is said that the silver resource reserves in Poland and Australia would would have a mining period of more than 50 years at current mining rate and the situation would not be so bad

yes we say that the Civil resource crisis refers to The Disappearance of resources in major silver producing countries which leads to the deterioration of global supply and demand individual countries with high reserves and little exploitation would postpone the depletion period but their production is far from meeting World demands a little bit of silver Supply is not of a little bit of value and significance to the

development of global industry and the continuation of civilization some people say that the supply of silver can be increased and the relationship between supply and demand can be eased by explaining the production scale note that we are concerned with the depletion of civil resources the more we dig the faster the depletion of silver and the earlier uh the crisis will break out that's a paradox I

would say the more we dig the more it depletes our thinking no matter what monetary policy the FED adopts uh well that's this uh this evening uh London time of course no matter how the U.S labor report data and CPD CPI data change that was yesterday it can neither change the fact that silver is about to dry up nor prevent the outbreak of silver depletion crisis

human beings can only seek new minimal resources find new substitutes and develop Innovative materials and processes to get rid of the blow of silver depletion but it takes time measures must be taken to delay the silver depletion period and it's best more than 40 years so as to human beings to find Alternatives and developing new materials and processes the most effective way is greatly increasing the

price of silver and meanwhile strictly controlling the amount of silver mining it will delay the depletion period of silver the long-term uh extremely low price is the basic reason for the waste of silver resources and the serious lack of recycling technology if the price of silver reaches three or four digits announced the waste will be greatly reduced and research and development of silver recycling technology will

make significant progress a significant increase in the price of silver will restrain the demand in non-industrial fields such as jewelry silverware silver coins and bars in order to ensure the needs of industrial application I'm going to skip this paragraph about the China China space station and we'll go to the end here it's time to face the silver crisis seriously the extremely low price that seriously deviate

from the principle of resource balance value should be corrected immediately in accordance with the Dodd-Frank Act passed by the U.S Congress on July 15 2010 the naked Short Selling to manipulate the price of silver should be strictly prohibited and classified as a crime for the first time mankind will face an Extinction disaster of Natural Resources we have only one Earth the silver resource of the earth

is very limited and will be exhausted protecting civil resources is to continue human civilization take action build a protective wall of price and overcome the silver crisis with the silver Revolution so there you go and uh of course this is not the reason or wasn't the reason initially why I started buying silver I started buying silver because it's money it's precious it's been undervalued for for

many many decades one could argue for a century and uh this is developing though now silver is becoming very important for industrial use and China of course is the uh well it's going to be the biggest economy very soon and they need silver they need uh a lot of other resources and that what's happening now is the culmination of all the manipulation and yes it's been

frustrating for those uh silver stackers or the silver squeeze movement which is actually a very uh young movement compared compared to uh how long silver bugs and gold bugs have been around so yes what uh China buy is talking about is the fact that all this manipulation has led to this uh situation where we could have basically uh an almost Extinction of of silver resources and

why is that well because silver has been wasted and kept uh under the thumb of the bullying Banks under the thumb of the pilgrim Society right of the silver users for so long that uh yes there isn't that much silver around anymore yes there are reserves in countries like Australia and Poland and they could keep it going for a long time but it it won't make

much difference to the supply demand equation and the only way to solve the problem as uh by says is much higher prices that will uh probably encourage a lot of people like you and me eventually to to exchange our silver for other assets and that silver will be used for industrial use and for the good of society not it's not just going to be sitting here

on my desk and uh in forms of bars and coins uh does it mean I'm gonna get rid of my silver who knows it all depends on on price and purchasing power so there you go uh I found it really interesting hopefully I'll get by on the channel and he can talk to to us about it so now let's quickly check where the markets are this

morning it's 10 to 9 A.M London time we got spot gold up seven dollars at uh 1951 highs right around here and the low has been 1942. uh silver is up 22 cents or one percent 23.89 a Heisman 90 and below 64. the other thing Buy has noted and you should follow him on Twitter here's his Twitter uh handle if you're on Twitter the the price

in Shanghai in the Shanghai Futures exchange uh is settling like 60 to 50 cents higher every day than the uh the world price the lbma or comex Price which which is pretty interesting I would say uh the stock market futures are pretty unchanged so I won't go through them the currencies as well they're fairly unchanged let's check out the uh other currencies here uh Aussie dollars

up a quarter percent just uh below 68 and the dollar is down slightly versus the Canadian dollar the uh kiwi dollar is up a quarter 61.60 so yeah pretty steady markets are waiting for the FED announcement and the press conference later on today uh the announcement is at 7 pm London or 2 p.m eastern time and then the press conference starts I think half an hour

later Jay Powell to the general Commodities a WTI Crude is up one percent uh just above 70. uh Brent's trading around 75 it's up one percent as well uh we've got uh Platinum up three dollars at 9.85 so Platinum has lost the thousand dollar level seems undervalued to me too high grade copper is down half a percent at uh 382. and now to the bond market

yeah and yield yields continue to go higher yesterday and and today uh the two-year yield is around 490 it has been as high as 495. we saw some GDP data for the UK they weren't that great they're up an anemic amount like 0.1 0.2 and I saw that industrial product production and manufacturing production dropped more than expected construction uh spending as well was not good so

I don't think the UK economy is doing that great anyway uh we're gonna keep an eye on the bond market too and it will be interesting as well to see how the markets react uh to the uh f1c and the press conference but as China buy said in terms of silver it doesn't really matter what the data is what the FED does what matters is the

supply and demand and I know a lot of you are going to say oh you've been saying this for years you know silver never does anything well and it's probably one of the most hated Investments out there and I would say that's probably the best time to acquire that uh investment or commodity so with that I'm gonna wish you all a very good day take care

bye