Orko Silver Corp fka OK

[gharma]

The one thing that is certain is that something has to give, and very soon. I cannot see PAA walking from that many ounces and that size of an investment.

[Bull_Run]

Getting closer to the April 14th deadline! I expect excitement to come back into the share price!

[Pro-Life]

Scoreboard for the week: -0.59%

[Pro-Life]

Looks like last week was the week to buy...

[Pro-Life]

Another buy point???

[Pro-Life]

The share price is still taking a licking.

[Pro-Life]

Bullish Price Objective is $7.13 on the P&F chart... sweeeeeeeeeeeeet!

[Pro-Life]

While others see a falling SP, not here!!!

[profiteer11]

Orko Silver (CVE:OK), is developing one of the world’s largest silver deposits at the La Preciosa Project in Mexico in joint venture with Pan American Silver (NASDAQ:PAAS, TSE:PAA), who are earning a 55% interest by sole funding the completion of a feasibility study and construction of production infrastructure.

La Preciosa is located in Durango State, which envelops the heart of Mexico’s prolific Sierra Madre Mining Belt, and includes large silver deposits such as Fresnillo and Pitarrilla. The area produced a total of 104.7 million ounces of silver in 2009, and is known as the world’s second largest producer of silver. La Preciosa is close to the city of Durango and is surrounded by a paved highway, national power grid and rail lines.

The Joint Venture ground covers 32,400 hectares or about 80,000 acres, and currently hosts a NI 43-101 Compliant Indicated Resource Estimate of 10.64 million tonnes grading 0.27 g/t Au, and 185 g/t Ag, for a Silver-Equivalent grade of 201 g/t at a cut-off grade of 100 g/t Ag; and an Inferred Resource Estimate of 12.0 million tonnes grading 0.25 g/t Au and 185 g/t Ag for a Silver-Equivalent grade of 200 g/t at a cut-off grade of 100 g/t Ag. That equates to an Indicated Resource of 68.9 Million Silver Equivalent Ounces, and an Inferred Resource of 77.6 Million Silver Equivalent Ounces.

This resource estimate was completed in February of 2009, and covers part of the strike line on the Martha Vein, within a conceptual open pit area of approximately 1,250 meters, measuring only a small part of the resource potential of the entire strike line.

Orko Silver discovered the main Martha Vein, while drilling on the property in March of 2007, and delineated a relatively flat lying vein that dips 20 degrees from surface to depth. This vein is not typical of vein systems and should allow for low cost mining methods for ore extraction, over its average width of 10 meters, and represents approximately 74% of the current resource. The current estimate for precious metal content is made up of 95% silver and 5% gold, with very little base metal content.

In 2010 the Joint Venture Partners confirmed the completion of over 245,000 meters of drilling that covered 717 holes, and initiated geotechnical, metallurgical, petrographical and environmental studies, and also launched processing plant design studies.

This drilling now covers a strike extension of at least 4,000 meters, with recent highlights including hole BP10-539, which yielded a true thickness of 7.71 meters in the Gloria vein grading 0.646 g/t Au and 648.0 g/t Ag for a silver-equivalent grade of 686.8 g/t. This included 3.59 meters grading 0.894 g/t Au and 986.7 g/t Ag for a silver-equivalent grade of 1,040.3 g/t. Pattern drilling has already been completed at LP resources, Bartina South, along with Martha East and South.

Additional identified targets include Cerro San Juan, El Vaquero, La Plomosa, Nancy and Dany that lie along an 8 kilometer strike line that runs parallel and is approximately 1,000 meters west of the La Preciosa resource outline. The property also contains four more large targets that are located up to 12 kilometers to the northwest and northeast of La Preciosa at Esmeralda, El Cristo, Javier Mina and La Blanca.

Snowden Mining Consultants were recently retained to examine various mining scenarios for La Preciosa, and AMEC were contracted to Orko to provide an independent technical review of project engineering. Snowden Mining Industry Consultants is on track to issue both the Preliminary Economic Assessment as well as an updated NI43-101 compliant resource estimate near the end of July, 2011, with a strong probability that this estimate will define a larger resource.

Recent studies confirm that a combined open pit, and underground mining operation is the most attractive development option. Positive results have allowed Pan American to approve an additional expenditures to complete a bankable feasibility study by the end of April, 2012.

Additional ongoing studies include finalization of the open pit and underground modeling, detailed metallurgical testing, geotechnical work, condemnation drilling, tailings and waste rock disposal, community relations, environmental studies, water sourcing and dewatering, land acquisition and road construction.

Pan American Silver is the ideal Joint Venture Partner, it is world’s fourth largest primary producer of silver, operating seven mines in Mexico, Peru, Argentina and Bolivia, that currently produce 21.2 million ounces of silver per year.

The Joint Venture Partners have also established an additional Joint Venture with Canasil Resources (CVE:CLZ) over the Carina Project, which is located 6.5 kilometers southeast of the La Preciosa Project. The Partners will be able to acquire up to an 80% interest in the venture and incorporate that interest into the La Preciosa Joint Venture.

Prior mapping and sampling at Carina defined an area measuring 500 meters by 800 meters that hosts multiple quartz vein structures with anomalous silver, gold and base metal values in surface samples that are characteristic of a high level epithermal system. The large claim area covers 3,100 hectares and has potential for additional mineralized zones and for bulk tonnage disseminated mineralization.

Orko Silver currently represents a pure silver play on one of the world’s largest primary silver deposits that has only been partially explored, and has substantial upside for further resource definition. The Company is fully funded for its 45% equity interest.

Joint Venture Partner Pan American Silver reported cash generation of $39 million in the March quarter along with cash reserves of $397 million, and certainly has the financial muscle to buy out its minority partner. Both Byron Capital Markets and GMP securities agree that Orko provides a unique opportunity to gain exposure to an undervalued silver play

[Pro-Life]

Best of success out there. A summer of opportunities... in my belief.

[Pro-Life]

For the week: +7.29%

[Bull_Run]

Im new to this stock. Bought in on McCoach's recommendation. Any news anybody can report? Hard to find it searching online.

[Pro-Life]

+2.64% is the scorecard for the week...

[Pro-Life]

Reviewing the week: +8.55%...

[Pro-Life]

My friends, for the week: +5%!!!

[Pro-Life]

The next leg seems to be underway...

[Pro-Life]

CPM Group Looks For Historically High Silver Prices For Next Decade

10 December 2010, 10:30 a.m.
By Kitco News
http://www.kitco.com/

http://www.kitco.com/reports/KitcoNews20101210AS_CPM.html

(Kitco News) - Silver prices are projected to remain at historically high levels over the next 10 years, concludes CPM Group in its 2010 edition of its “Silver Long-Term Outlook,” released Thursday by the New York commodities research and advisory firm.

The 224-page study is a comprehensive analysis of the key market fundamentals of silver that are expected to influence prices over a decade. The report contains projections for global mine production through 2019 on a mine-by-mine basis and also contains a new China section with an analysis of the silver supply and demand in a previously opaque market. CPM Group said the use of silver in China during 2009 was perhaps twice as much as had been believed.

The report also reviews uses for silver, including new fabrication demand such as solar panels, as well as investment. The report includes 10-year projections of supply, demand, and prices under a base case and two alternative scenarios.

“Strong investment demand, the single most important factor in influencing the price of the metal, is expected to keep silver prices at elevated levels during the projected period,” CPM Group said in a news release announcing the publication, which can be purchased. “Investors who view silver as a safe-haven asset are expected to continue buying large amounts of silver over the next couple of years as uncertainty regarding global economic growth, financial market instability, and volatility in major currency markets persist. As these concerns recede later in the decade, investment demand is projected to decline. Silver prices are expected to weaken alongside the decline in investment demand as the decade progresses.”

CPM Group said fabrication demand for silver is forecast to rise over the projected period, providing additional support to prices.

“Even in present economic conditions, there is strong demand for some of the products in which silver is used, including various electronic components used in a full range of consumer and industrial equipment,” CPM Group said. “Fabrication demand for silver is expected to rise further over the next few years, due to an anticipated improvement in global economic activity coupled with increased use of silver in some of its new and relatively new uses, such as solar panels, silver-zinc batteries.”

Primary silver mine production is expected to increase due to high silver prices and the relatively low cash and total operating costs, CPM Group said. Also, since much silver is produced as a byproduct of gold, copper, lead, and zinc, favorable market fundamentals and rising prices for these metals are expected to mean higher output and thus more silver as a by-product during the initial years covered by the CPM Group report. However, during the second half of the forecast period, net additions to silver mine supply are expected to decline, which CPM Group forecast to support silver prices during that time.

Meanwhile, CPM Group said silver use in China is estimated to have risen around three and a half times over the last decade, from 40.8 million ounces in 2000 to 139.2 million ounces in 2009, twice as large as many Western commentators have previously suggested. “Chinese silver fabrication demand is projected to account for nearly a fifth of global silver fabrication demand this year,” CPM Group said.

Previously, a lack of reliable statistics on silver fabrication demand and secondary recovery prevented China’s inclusion in international statistics. However, CPM said it has developed what it feels are sufficiently reliable statistics on silver fabrication demand by major industrial category and scrap recovery, relying on a network of industry associations and industrial participants in these markets.

By Allen Sykora of Kitco News; [e-mail]

[Pro-Life]

Interview With Theodore Butler

By: James Cook & Theodore Butler
Posted 24 November, 2010

Cook: For the past ten years you have been claiming that silver was the best thing people could own. How do you feel now with silver around $25 an ounce?
Butler: I have a sense of relief that I could not possibly have hurt anyone who followed my advice. I also feel intellectually vindicated about the way things are turning out. Lastly, I feel amazed how good silver still looks for further gains.

Cook: How high could it climb?
Butler: Real high, but by now you should know I shy away from specific price targets.

Cook: A lot has been going on with silver lately. Most of the things you’ve written about are starting to happen. What do you think about the recent spate of lawsuits against JPMorgan and HSBC?
Butler: It’s a big deal. The main thing is not the outcome of this case, but rather the fact that they were filed.

Cook: How many lawsuits were filed?
Butler: The latest tally is 25, I’ve been told.

Cook: Why do you think these lawsuits are important?
Butler: It is another confirmation of the growing recognition that silver has been manipulated in price.

Cook: They must be reading your newsletter because everything claimed in the first lawsuit originated with you. Do you agree?
Butler: Yes, I know that for a fact.

Cook: The basis of the lawsuit is that these big banks are short an inordinate amount of silver. How much to be exact?
Butler: It varies over time, but at the time referenced in the lawsuit, JPMorgan, either alone or with another U.S. bank, held short on the COMEX the equivalent of 25% of world annual mine production

Cook: How many ounces is that?
Butler: In most recent CFTC data, it is 150 million ounces, but within the past year it has been over 200 million ounces

Cook: You’re claiming that’s manipulative?
Butler: Absolutely. It would be impossible for such a concentrated short position not to be manipulative. It was this observation that led to the current CFTC silver investigation which, in turn, led to this lawsuit.

Cook: How many ounces are there held short in total?
Butler: The total net short position in COMEX futures is around 550 million ounces, but if you include everything, especially unbacked bank certificates and pool accounts, it grows to 2 or 3 billion ounces.

Cook: Who are these short sellers outside of the big one or two?
Butler: On the COMEX, there are about 8 commercial entities short over 300 million ounces, including the biggest.

Cook: They got squeezed pretty good when silver hit $29, didn’t they?
Butler: You bet.

Cook: How big have the losses been for the shorts?
Butler: In silver, the big 8 were out over $3 billion at the top, and more than $5 billion if you include all the shorts.

Cook: You pointed out that there had to be a lot of margin calls, when gold is included, what’s the total?
Butler: All in all, almost $15 billion.

Cook: They actually had to cough up $15 billion?
Butler: Absolutely. That’s a key component of the clearinghouse system.

Cook: Did anybody fail to make their margin calls?
Butler: It’s hard to tell.

Cook: I thought the price rise to $29 might have been because some folks couldn’t make margin calls and the brokerage firm bought back their position. No?
Butler: I’m certain there was a lot of that; they liquidate the contracts to satisfy the margin calls.

Cook: They don’t mess around do they?
Butler: This is basic commodity stuff. As a customer, if you don’t meet your margin calls your broker will liquidate your position. Otherwise the brokerage firm must eat the customer’s loss. Brokerage firms don’t allow customers a free ride. If a brokerage firm doesn’t meet its overall margin requirements to the clearinghouse, that’s a default, a real no-no.

Cook: It’s hard for me to believe that JPMorgan is sitting flatfooted waiting for the axe to fall. Don’t you think they’ve dug up a lot of silver to help reduce this short position?
Butler: I’m sure they’ve come up with as much silver as possible, but there are physical constraints to that. Their problem is not a money problem, but a physical material problem.

Cook: I see they raised margin requirements on silver. Why only silver?
Butler: Silver had moved the most and the margins should have been raised. The scandal was when they raised the margins. This is an issue of timing. They waited until prices made a downside reversal and then raised silver margins.

Cook: Is this fishy?
Butler: This is an example of why I refer to the CME Group (COMEX) as operating a criminal enterprise, as I’ve seen them pull this dirty trick numerous times in the past. The exchange times the margin increase so that it comes when it is least likely to hurt, and maybe help, its big constituent member short holders. That time is always best when the price makes a sudden reversal down after a big climb. This way, the margin increase actually hurts the longs and benefits the shorts. The reversal to the downside swings the financial tide against the longs temporarily.

Cook: What should they have done?
Butler: What they should have done is raised margins on the way up, but that would have hurt the shorts, something the exchange would never do. By timing the margin increase just after a price reversal to the downside, the exchange helps the shorts.

Cook: Are they above the law?
Butler: What’s particularly infuriating and illegal is that the exchange is designated under commodity law as a self-regulatory organization (SRO). That means the CME Group is supposed to do things on a fair and even-handed basis, not cater to the selfish interests of its most important members. The phrase that comes to mind when describing how the CME fulfills its regulatory obligations is letting the fox guard the henhouse.

Cook: How in the world did this come about?
Butler: The CFTC and Congress made a very big mistake when they turned over so much regulation to the exchanges years ago. There is a conflict of interest in what the exchange does in its regulatory role. That’s why the COMEX is fighting the CFTC tooth and nail over position limits and every other issue that may infringe on its own interests.

Cook: The Commodity Future Trading Commission has ruled that within 3 months or so they will put limits on how much one entity can be long or short. Will this break up the concentrated short position?
Butler: If they stick to the timeline dictated by the new law and if they impose legitimate limits and throw out the phony exemptions to those limits.

Cook: Won’t that set silver “free at last?”
Butler: Yes, “thank God Almighty.”

Cook: Will the COMEX back down?
Butler: I don’t think so. They know this is the one issue that can blow the lid off silver.

Cook: Silver could turn into a runaway train. Why don’t these short sellers get out of the way and cover now?
Butler: They desperately want to, but it’s easier said than done because their position is so large that they are trapped. Just covering the limited amount of shorts to date has already had a profound impact on price. Why do you think we’ve risen so much in the past few months?

Cook: One of the commissioners at the CFTC has made a number of statements criticizing the shorts and the Commodity Exchange itself. Sounds like the senior regulators have embraced your views. Do you agree?
Butler: It’s hard to reach any other conclusion.

Cook: If that’s true then position limits are inevitable would you say?
Butler: The new law has mandated position limits, so unless the law is repealed I would say they are inevitable. But more than that, it’s important to remember that position limits are of specific relevance for silver more than any other market.

Cook: What do you mean?
Butler: COMEX silver is the only market which must have position limits radically reduced from the current accountability level. In all other commodities, including gold, the level of position limits is not so important because the short position is not that large. In silver, it’s the core issue.

Cook: What kind of position limit level do we need to see in silver?
Butler: If we don’t see a new level of close to 1500 contracts, instead of the current 6000 contract level, then this market is more crooked than I have been alleging. And I would think those in the public who follow this issue closely will be outraged and demand an explanation from the regulators. I know I will be.

Cook: Is it safe to say that silver is a buy until the short position is covered?
Butler: At least until the concentrated short position is reduced.

Cook: The volume on the SLV, the exchange traded fund, went ballistic recently. How many shares were trading before this jump and what did it go to?
Butler: There was an average daily volume of close to 15 million shares a day and it jumped to ten times that on a recent trading day.

Cook: How much of that was day trading?
Butler: Close to 99%, same as in every other market.

Cook: OK, but how much silver do you think was purchased on balance and must be delivered to the SLV?
Butler: I had been guessing close to 20 million ounces, but much to BlackRock’s credit (they’re the new sponsor), the silver is being brought in much more quickly than when Barclays was the sponsor.

Cook: Where is the silver coming from?
Butler: No one knows for sure, but the hallmarks on many of the new bars being deposited were from Russia and China. I think that’s good, because as those two countries wake up to the silver manipulation, they should be unlikely to continue supplying material at artificially depressed prices.

Cook: I heard a big delivery came in to the SLV last week. True?
Butler: Yes, there was an extraordinary deposit of 11.3 million ounces into the SLV on Wednesday, November 10, the largest one day deposit in the ETF since 2006. This brings the deposits into the Trust to over 18 million ounces in little more than a week and a half, to a new record of over 344 million ounces.

Cook: Are you underestimating the amount of silver available? Seems like there is always more silver.
Butler: While it is certainly possible that I have underestimated the amount of silver bullion in the world, that is not yet evident to date. I have always estimated about one billion ounces and we haven’t grown above that amount yet. What has happened is that more silver is being transferred from unreported inventories to reported inventories. This does create the illusion that the supply of silver is endless. It is not.

Cook: How much is left in unreported inventories that can come into the market?
Butler: Unless you have Superman’s x-ray vision and can see all the world’s vaults simultaneously, there is no way to know how much is left in unreported inventories. And I guarantee that you will make yourself crazy if you persist in trying to figure out the amount remaining.

Cook: Are you still sane?
Butler: No one comes with a butterfly net.

Cook: How much is known or in the reported category?
Butler: Since 2006, more than 550 million ounces have been transferred from unreported silver into reported world inventories, including the SLV and all other similar programs. Currently there are more than 716 million ounces in total world visible silver bullion inventories. That’s a very big chunk of my long-time estimate of one billion ounces in total world inventories. The way to look at it is that there are 550 million ounces less that can be transferred in the future. The long-term rise in price would seem to confirm my thinking.

Cook: Could the big shorts be buying the SLV to cover their short position?
Butler: Sure, but not to excessive amounts, as that would require lying to the SEC on ownership disclosure regulations. That’s not likely.

Cook: How much silver do you think JPMorgan and one other bank are short?
Butler: As of this moment, I’m guessing JPM may now be below 25,000 contracts. That’s 125 million ounces. But we won’t know for sure until more CFTC data are released.

Cook: How about the big eight shorts?
Butler: My guess is they are down to 56,000 contracts. That’s 280 million ounces.

Cook: How about all the shorts combined?
Butler: In COMEX futures total, I’d guess a bit under 500 million.

Cook: How does that compare with other commodities?
Butler: Still way off the charts when comparing paper contracts to real world production and inventories.

Cook: Do you see this leading to a price explosion in silver soon?
Butler: It’s one of several things that will lead to an explosion.

Cook: How does the silver short position compare to gold?
Butler: The silver short position is much bigger than gold in every measurement, especially compared to world inventories. Silver’s relative short position is more than 100 times larger than gold’s.

Cook: Do you think silver will outperform gold?
Butler: Yes. Silver has yet to leave gold in the dust, although it has fully matched or exceeded gold’s price performance. That is actually an advantage to those gold investors who have yet to make the switch into silver. It’s not too late.

Cook: Are you suggesting a switch now?
Butler: Yes. The facts suggest silver will outperform gold in the future, the logical investment action would be to convert gold into silver. Not because gold is likely to go down necessarily, but because silver is likely to offer better investment bang for the same buck.

Cook: Have people begun to switch?
Butler: There has been a noticeable shift to physical silver investment demand, perhaps from gold investors, although I still believe it’s in the early stages. Additionally, U.S. Mint sales of Silver Eagles are particularly strong relative to Gold Eagle sales, further confirming what may be a growing investor preference for silver over gold. Given how little silver exists compared to gold, if this trend continues, the influence on silver prices should be profound.

Cook: What’s the gold-silver ratio now?
Butler: The gold/silver ratio narrowed to almost 52. This is the best relative reading for silver since the summer of 2008, just before the price of silver was manipulated lower by JPMorgan and other commercial crooks on the COMEX.

Cook: You’ve got big cahunas calling JPMorgan a crook over and over again. Ever hear from their lawyers?
Butler: Not a peep and I send every article I write in which I mention JPMorgan to Jamie Dimon, CEO of JPMorgan and to the top regulatory officials at the CME, in addition to the CFTC.

Cook: I wonder why they haven’t sued you. If someone was calling my company crooked I think I would at least have my lawyer send them a letter.
Butler: Look, I’m not looking to get sued, but I don’t know of any other way to flush these weasels out. I know that JPM and the CME are operating as a criminal enterprise when it comes to silver.

Cook: What about the COMEX? You’ve been calling them sleazy for years. Have you ever received an answer to the numerous letters you’ve sent them?
Butler: Up until a few years ago, they would respond from time to time, but more recently they’ve been hiding behind the CFTC’s skirt and letting the Commission do their dirty work.

Cook: Yes, but now I see the COMEX has been in bitter disagreement with the CFTC on position limits. Why are they so opposed?
Butler: It may indicate that the CFTC, under Gary Gensler, is sick of the exchange using the CFTC. The reason the CME is so opposed to position limits is because of silver, not any other commodity. Don’t be fooled into thinking this isn’t a silver-specific issue.

Cook: Why only silver?
Butler: This is an important point. There is no position limit problem in any other commodity apart from silver. Not in oil, or grains or gold. Just silver. It’s the dirty secret that’s about to be revealed.

Cook: How much money have the banks made over the years with this big short position in silver?
Butler: Cumulatively, it could be billions of dollars.

Cook: This gravy train has suppressed the price, right?
Butler: Yes. The concentrated short position makes it impossible for the price not to have been suppressed.

Cook: If the market gets free of the concentrated short position it should revert to the true market price. Any idea what that is?
Butler: I’ll let the market tell us, but much higher than we’ve been in silver.

Cook: Do you think it will overshoot?
Butler: I think it’s impossible for it not to overshoot.

Cook: You think that Chairman Gensler at the CFTC is a straight shooter, right?
Butler: I think he walks on water. I may be dead wrong, but I’m a pretty good judge of human character.

Cook: Will he cure the silver mess?
Butler: If he follows the law and what he knows to be right.

Cook: Is he more competent than prior chiefs?
Butler: Gensler is the smartest guy in any room. It would be an insult to compare him to any former chairman or chairwoman.

Cook: Do you still claim the CFTC has looked the other way?
Butler: They have in the past, but I sense that is changing.

Cook: I think they hate your guts. Nobody’s been in their face with solid accusations like you have. Are they still hostile?
Butler: Hard to tell. I’m not concerned with past feelings. I don’t see why they would still be hostile; I offer constructive solutions where nobody else does. If they are hostile to anyone it should be towards those responsible for the manipulation, like JPMorgan and CME.

Cook: You’ve been the pioneer of virtually every new revelation about silver for over a decade. Just about everything that you predicted has come to pass. You’ve been a great conceptual thinker on silver and the premier whistleblower. Do you think the CFTC will ever acknowledge this and give you the award you deserve?
Butler: I sure hope so, but you’d have to ask them.

Cook: Everybody and his brother is writing about silver now. Some of it is amateurish and the good stuff originated with you. However, most of these articles never give credit to you. Do you agree that this is dishonorable?
Butler: Yes.

Cook: These organizations and individuals are trying to elbow themselves into position to take credit for your work. I’ve never seen anything like it, have you?
Butler: No.

Cook: What do you make of it?
Butler: Those that plagiarize are stealing my stuff and then lying by pretending they thought up my ideas. I’d avoid such people with a ten-foot pole.

Cook: They need to at least mention you if you are the source of their information. Right?
Butler: I think so.

Cook: Let’s change directions. What about COMEX silver inventories? What’s going on with them?
Butler: Recently, COMEX warehouse inventories dropped to near four year lows, at just under 108 million ounces. This drop, importantly, was accompanied with great turnover (in and out movements); highly suggestive of tightness and that the inventory is held in strong hands.

Cook: What’s the historical perspective on this?
Butler: COMEX silver inventories are down 60% from the 280 million ounce peak in the mid-1990’s. In contrast, COMEX gold inventories are at a record high of over 11.3 million ounces, the highest in the 45 year history of the COMEX. This is an apples to apples comparison, as the COMEX is the dominant market for both gold and silver trading.

Cook: Are we in a shortage?
Butler: I think we are in the early stages of a silver shortage that is bound to grow more severe.

Cook: Won’t this cause a surge in mining production?
Butler: Sure, eventually. But any mining increase in response to higher silver prices will take many years to hit the market. It’s not like flipping a light switch.

Cook: You’ve mentioned three things that will drive up the price of silver. It looks like one of them, investment demand, is kicking in. Will it get bigger than this?
Butler: I think that’s a certainty, as more people are waking up to the silver story.

Cook: Your second bullish factor is industrial demand. Do you still expect industrial users to panic because of a shortage?
Butler: Ever see what’s left in a supermarket after a hurricane warning?

Cook: Where does the price of silver burn itself out if a buying panic occurs?
Butler: Use your imagination. Then double it.

Cook: Your final and biggest bullish factor is the end of the concentrated short position. What will this do?
Butler: Terminating the concentrated short position will end the decades-old manipulation itself. That will bring about an honest and free market.

Cook: How will they cover the short position?
Butler: By buying back the position, delivering against it or by defaulting on it.

Cook: What about going forward? What will no big short sellers mean for the future?
Butler: It will be a different world price-wise.

Cook: According to the CFTC, the deadline for position limits is just over 2 months. Is silver a ticking time bomb until then?
Butler: Silver is a ticking time bomb for many reasons and the coming open debate on position limits is one of them.

Cook: The shorts are going to have to buy back futures aren’t they?
Butler: At some point, the shorts buying back is the post plausible outcome, as the only other choices are to deliver metal or default.

Cook: How many more shorts other than JPMorgan will have to cover?
Butler: My guess is somewhere around 15 to 20 thousand, a 75 to 100 million ounce equivalent.

Cook: Am I missing something or is this a lock?
Butler: If you mean much higher prices, then it looks like a lock to me.

Cook: This is so compelling I have to ask why it hasn’t been discounted in the silver price? How come it’s not $100 already?
Butler: I think it’s a combination of a lack of homework and the initial disbelief of the whole silver premise which prevents an objective investigation.

Cook: I remember when we first met ten years ago. You were telling me silver was the best thing on earth to own. Meanwhile, a well known investment service was sending out mailings suggesting people short silver at $4.00. They said silver was more plentiful than cockroaches. I wonder what happened to them?
Butler: I hope they covered their shorts quickly.

Cook: I bring this up because a lot of people have disagreed or argued with you along the way. They’ve all been proven wrong. However, to this day there are naysayers. What do you say to a guy like Jeffrey Christian at CPM who says there’s no way that JPMorgan is short that much silver?
Butler: Generally it’s good that disagreement exists so that market participants can hear both sides of the silver story.

Cook: What about Jon Nadler who says if Ted Butler was right the price would already have gone up?
Butler: The price has gone up and will continue to do so, in my opinion.

Cook: Why exactly has silver made this big recent move?
Butler: Primarily because of a lack of additional commercial short selling on the COMEX. It was the absence of additional commercial short selling, particularly by the big concentrated shorts, like JPMorgan, that allowed the price to climb as much as it did. On the rally it became obvious that the shorts were experiencing great financial stress, being forced to deposit many billions of dollars in margin calls. This should be taken as further proof of the manipulative role that the big shorts exerted on the price of silver.

Cook: Why did it get whacked?
Butler: The problem for the big shorts was that not only were they experiencing financial stress due to the rising price, they were unable to reduce their short position. That circumstance threatened to result in financial ruin if permitted to continue. Faced with financial ruin and the growing awareness by many of the predicament the big shorts were in, they resorted to their only alternative to that ruin – create a large and dramatic sell-off. That was what we began to see on Tuesday, with the CME’s unethically timed silver margin increase and the collusive vicious sell-off on Friday, under the cover of general commodity weakness.

Cook: What’s next?
Butler: No one knows for sure. It comes down to how much additional long liquidation the big shorts can engineer. We are still above all the critical moving averages, so there does exist the possibility we could go lower to get the technical funds completely flushed out. For sure, if we do go lower, it will be because JPMorgan and the other COMEX crooks are successful in tricking the technical funds into forced selling and not for any other reason. But there has been significant liquidation already, so it is just as possible it could be done or nearly so. Certainly there is nothing in the real world of silver that would account for further selling.

Cook: What’s the status of the formal investigation of silver by the CFTC, Enforcement Division?
Butler: It has yet to be concluded. A new director was just named which should help resolve the investigation that was initiated because of my revelations in 2008 and which Commissioner Bart Chilton publicly referenced recently. No one is more anxious than me to see what the investigation concludes.

Cook: You’ve made a big thing about pool accounts at brokerage firms, international banks and private mints. What can go wrong?
Butler: Everything. It is not hard to imagine investors ending up with a total loss because the metal may not exist to back these programs. If someone is claiming to store 1000-ounce bars for you and you don’t have the serial numbers for the exact bars you paid for, you should run, not walk, to a storage program that allows you to get the specific bars. I’d be especially wary of metal purported to be stored out of the country.

Cook: Are you recommending people switch from gold to silver?
Butler: Most definitely. That still appears to be a switch, which will be greatly rewarding. It amazes me how so many commentaries predict that silver will outperform gold, yet won’t come out and say that you should sell gold in order to buy silver. It makes no sense not to sell gold in order to buy silver if you are convinced silver will outperform gold. I think many feel it’s heresy to sell gold for any reason. But if your goal is to get the best return on your investment dollar in the future, which it should be, switch to silver from gold.

Cook: The bottom line is that people who followed your advice have made a lot of money. What advice would you give to our clients now?
Butler: Well, the days of 4 or 5, 7 to 12 dollar silver are over and that’s too bad for new buyers. At least we spared no effort in urging folks to buy all along. I think in the future we will look back at current prices with much the same result, namely, large profits for those who bought. Although the price is much higher now than it was then and conditions have changed, in many ways today’s new conditions are better.

http://news.silverseek.com/SilverSeek/1290625106.php

[Pro-Life]

Excellent... and for the week: +9%!

[barendverberg]

i fund this on the web very intresting





Estimating Orko Silver Fair Market Valuation
By Dennis Boyko
Created on: March 10, 2010
Current version: 2.2.1: November 5, 2010 -- removed comments.
Metrics have been updated with closing prices available on 2010-Nov-25.

Fair Market Valuation Summary - 2010-Nov-25
Projected fair market stock price for Orko Silver Corp., based on the current NI 43-101 resource disclosures, is C$2.88. The actual closing stock price was C$2.49.

Details
Based on the close of trading on 2010-Nov-25, the current and projected Market Capitalization per ounce of Silver Equivalent for Orko Silver Corp., considering Orko Silver's share of the La Preciosa property, were:

•current market valuation: US$5.37 per ounce of Ag Eq.

•projected valuation as junior silver producer: US$6.75 per ounce of Ag Eq.

•estimated valuation at start of production: US$6.89 per ounce of Ag Eq.

The projected fair market valuation of Orko Silver Corp., in production, is expected to lie somewhere between a point on the Junior Silver Producer Valuation Line and a point on the Major Gold Producer Valuation Line based on the fact that:

?the deposit size and the deposit silver grades are well beyond those typically associated with junior silver producers,

?the deposit joint venture operator is a major silver producer with an excellent track record of mine development.

?the deposit's in ground metal value includes 6.5% from in ground gold.

Projected fair market stock price for Orko Silver Corp. is derived using the estimated valuation at start of production of US$6.89 per ounce of Ag Eq (as derived above) and the following assumptions:

•Capital Expenditure to reach production: US$0M -- the Pan American joint venture agreement carries Orko Silver into production,

•Risk Premium: 0% -- 0% applied to the estimated capital expenditure,

•Discount Factor: 10% -- discount between present and start of production. This value may be somewhat optimisitic since 53% of the in ground metal value is in the Inferred category.

The discounting of the future gold and silver metal prices after the start of production are already fully accounted for in the Junior Silver Producer Valuation Line and the Major Gold Producer Valuation Line which are both derived from current day market prices and company fundamentals.

[Pro-Life]

+4% for the week... @$2.20

[Pro-Life]

For the week: +7%

[Pro-Life]

Big Autumn Silver Rally 2

By Adam Hamilton
Aug 20 2010 1:00PM

http://www.ZealLLC.com

http://www.kitco.com/ind/hamilton/aug202010.html

Silver has been drifting in a rather lackluster summer. Ever since surging to $19.50 in mid-May, this often-popular white metal has been grinding sideways to lower. By late July it had fallen over 10% to about $17.50. But despite silver’s recent excitement-bereft sojourn, it actually has excellent potential for a big autumn rally in the coming months.

The primary reason is gold. Since the early 1970s, silver has closely followed and sometimes amplified the price moves of the granddaddy of precious metals. Over the vast majority of this decades-long span, silver has been nearly perfectly statistically correlated with gold. When gold is strong, traders flock to silver. And when gold is weak, they abandon its smaller cousin. In hard technical price-chart terms, there is no doubt at all that silver is a derivative play on gold.

Of course autumn is typically an excellent time of the year for gold, and therefore for the whole precious-metals complex. Big seasonal factors converge which tend to seriously ramp up global gold demand and hence gold prices. These include income-cycle drivers like Asian harvest, after which farmers invest some of their year’s surplus income in gold. They also include cultural drivers, like Indian wedding season where brides are adorned with intricate and expensive gold-jewelry dowries.

While the usual autumn gold rally is very bullish for silver, it certainly isn’t the only thing silver has going for it right now. This essay will explore those other factors, including silver technicals coiled like a spring and ready to launch as well as silver’s continuing undervaluation relative to gold. Even if gold somehow managed to languish flatlined this autumn, silver’s own intrinsic merits are exceptionally bullish today.

This first chart looks at silver’s impressive technicals. Silver and its key moving averages are tied to the right axis, while Relative Silver is rendered in red on the left. Relativity is a measure of oversoldness and overboughtness, helping traders understand when prices are exceptionally low (the time to buy) or exceptionally high (the time to sell). rSilver is computed by dividing the close in silver by its 200-day moving average. The result charted over time creates a horizontal constant-percentage trading range.

.............................................

In order to understand why silver looks exceptionally bullish emerging out of this year’s typical summer doldrums, we need some technical perspective. Back in the summer of 2008, silver was consolidating high after a massive rally in late 2007 (which started in autumn) and early 2008. Then the brutal stock panic hit like an F5 tornado, destroying the global appetite for all risky assets including silver. In just 4 months, this metal plummeted a sickening 53%!

Ever since that epic panic anomaly, silver has been relentlessly recovering. This recovery provides the critical strategic lens through which all recent price action must be considered. Silver had already stubbornly returned to its pre-panic price levels last autumn. It averaged $18.07 in July 2008 before the panic, and $17.90 in November 2009 after last year’s autumn rally. Since then, it has generally consolidated sideways.

Provocatively, this high consolidation over most of the past year occurred within the old pre-panic high-consolidation range. Silver did fall out of this range once, when it plunged 20% in 3 weeks in late January and early February 2010 in response to sharp gold and stock-market retreats. But that correction was quickly erased, silver rapidly climbed back up into this high-consolidation trend less than a month later.

High consolidations are basing events, very important technically. After any fast rally to new price levels not yet seen in a bull, traders are nervous about whether those seemingly-stellar prices are sustainable. Some traders, looking for a correction, sell. Meanwhile other traders, excited because the price has rallied so far, buy to ride the momentum. The net result is a high consolidation, prices grind sideways not far off their new highs while traders digest their implications.

The longer a high consolidation lasts, the more comfortable traders get with those new price levels. Back in early 2008, $18 silver seemed pretty high and overbought. While the silver-to-the-moon zealots loved it, more prudent traders were concerned since silver often plunges even faster than it rallies. Yet today, since we’ve seen $18 silver on and off for a few years now, it seems perfectly normal. Silver doesn’t feel overbought at all at $18, we’ve been conditioned to accept this level.

This base has been established over a long time, either since late 2009 or early 2008 depending on your perspective. The longer that a particular price level bases in a fundamentally-driven secular bull, the more powerful the inevitable rally out of that base. Since the stock panic was an ultra-rare once-in-a-century anomaly, silver’s base extends back to 2008 in my book. But if you want to be more conservative and consider it only relevant since late 2009, that is still a long basing period.

Remember, silver follows gold. Back in February 2008 when silver pierced $18 initially in this bull, gold averaged $926. Last month (July 2010) when silver averaged $18, gold averaged $1192 (29% higher). So as I’ll discuss after the next chart, silver’s high basing in the face of strong gold prices makes it look even cheaper today. This high base is the perfect springboard for a major silver rally.

There are some other bullish technical developments beyond this long high consolidation to note. First, silver’s key support zones are converging today. Its recent recovery-support line since the panic has just hit its old pre-panic high-consolidation support line. For technically-oriented traders who pay attention to these things, and most silver-futures traders do, a convergence of major support lines is a powerful incentive to buy. Right in time for the autumn rally!

More importantly, check out rSilver’s position in its horizontal range. Considered as a multiple of its 200dma, over the past 6 years or so silver has tended to run between 0.96x its 200dma when it is oversold and 1.40x when it is overbought. The last time rSilver traveled in the upper half of its long trading range was way back last autumn. Languishing at an average under 1.04x so far this month, silver is low in its range and near-oversold today. It’s been a long time since silver has seen any excitement.

The best time to buy anything is when traders aren’t excited about it, when it is low relative to its 200dma. And thanks to this year’s summer doldrums, rSilver has been grinding ever lower on balance since spring. To see silver mired in bearish sentiment, and hence low technically, right before the usual strong autumn seasonal factors kick in is exceptionally bullish. If silver was overbought instead, stretched well above its 200dma, too much greed could lead to a correction fighting against autumn seasonals.

But this isn’t the case today. As we exit the summer doldrums and head into gold’s strong autumn, rSilver is near the oversold end of its secular trading range and traders aren’t excited at all about this metal. Meanwhile silver has been consolidating high for at least a year and building a strong base from which to launch its next big rally to new bull highs. On top of all this, the recovery support line has converged with silver’s high-consolidation support. Together these facts create a great environment to be long silver.

Way back in the heart of the stock panic, we bought silver stocks aggressively and encouraged our subscribers to do the same. Why? Silver was radically undervalued relative to gold. Since then, I’ve advanced this argument several times using the Silver/Gold Ratio. Prior to the panic silver traded in a definite range relative to gold. The panic anomaly blew that apart as risky silver plummeted much faster than much-safer gold. But ever since that panic, silver has been gradually recovering relative to gold.

This next chart highlights the state of the Silver/Gold Ratio today, another powerfully-bullish driver for silver this autumn. Since the silver price divided by the gold price yields a difficult-to-parse small decimal, I prefer dividing gold by silver and then inverting the axis to get an easier-to-understand proxy for the SGR. This SGR is rendered in blue on the right axis, while the raw silver price is slaved to the left in red.

..............................................

For years prior to that stock-panic anomaly, the SGR was actually climbing higher in a secular uptrend. And this makes sense. Strong gold prices get traders interested in leveraging the precious-metals bull in silver. So the longer a gold bull persists, and the higher it runs, the more traders want silver exposure. And the more traders bidding silver higher, the faster its price rises. Since silver is such a tiny market compared to gold, as a gold bull matures silver gradually gains ground relative to the gold price.

Between January 2005 and August 2008, the time of normalcy before all the wild dislocations the panic spawned, the SGR averaged 54.9x. An ounce of silver traded for about 1/55th the price of an ounce of gold. In addition, silver had a correlation r-square with gold of 95% over this span! In other words, 95% of the daily price action in silver was directly explainable statistically by gold’s own price action. This was the normal precious-metals secular-bull environment.

But when highly-speculative silver plunged far faster than gold during the panic, this relationship was blown apart. Between September and December 2008 when the extreme the-sky-is-falling panic psychology reigned, the SGR averaged a dismal 75.8x. At worst at the panic’s nadir, it easily hit its lowest point of the entire secular bull (1/84th the price of gold!). And in correlation terms silver started following the US stock markets rather than gold, its r-square with the yellow metal fell to an unbelievable 53%.

Now if you’ve studied silver’s historical relationship with gold, even in the bowels of the panic it was crystal-clear this anomaly couldn’t be sustained. It was the best opportunity of this entire secular bull to buy silver stocks, so we and our subscribers did aggressively. And time has vindicated our hardcore contrarian stance then, as silver has indeed been recovering relative to gold since.

From January 2009 to today, the SGR has regained a 66.4x average. And silver’s correlation r-square with gold is back up to 89%, nicely returning towards historic norms. But I don’t believe this post-panic recovery is over yet. Remember that silver is highly-speculative, and thus exceptionally sensitive to prevailing sentiment in the financial markets. And ever since the panic, widespread fear and anxiety have continued to dominate. This ugly environment has slowed silver’s recovery relative to gold, but not stopped it.

Depending on where you want to measure it from, silver’s undervaluation relative to gold today runs somewhere from substantial to enormous. Ever since this post-panic recovery got underway in earnest in early 2009, the SGR has been recovering in the uptrend rendered above. Today the SGR is down low near its support, silver is unloved thanks to the summer doldrums. But if the SGR merely climbs back up to resistance, we are looking at an SGR of 58x or so.

At $1200 gold, this yields a silver price of $20.70. But gold tends to rally in the autumn, and is set up beautifully this year (low in its relative trading range, near its 200dma). At $1300 gold, a 58x SGR yields a silver price approaching $22.50. But for a variety of reasons, I think merely using this SGR recovery uptrend’s resistance line is far too conservative. Ever since the panic, I’ve argued that silver ought to at least regain its old secular pre-panic average SGR near 55x.

At $1200 and $1300 gold, this yields “fairly-valued” silver prices around $21.75 and $23.50. Of course these are well into new-bull-high territory, as silver achieved its best level of this secular bull ($20.77) back in March 2008. And you better believe that as soon as silver surges to new bull highs, interest in buying silver stocks is going to soar. Probabilities are high that we’ll see new bull highs in silver this autumn.

For me, a return to the old pre-panic average SGR is plenty bullish enough. But for some investors, silver is a religion. They hold nothing but physical silver and silver stocks, and their whole financial future revolves around a silver moonshot. While not being diversified is extremely risky, this all-or-nothing bet on silver is common enough to throw out some optimistic projections for these silver zealots.

Check out the SGR’s old pre-panic secular uptrend rendered above. Today its support extends to 46x and its resistance to 35x. Remember the longer a precious-metals bull persists, the more traders get interested in silver and the higher it is bid relative to the gold price. So it is probable at some point, though almost certainly not this autumn, that the SGR will re-enter this pre-panic trend. If you plug a 46x or 35x SGR into a reasonable gold price in the coming years, you get some silver-price projections that will make even the raging bulls smile.

Back to a more reasonable 55x in the near term, $1200 and $1300 gold projections are conservative. On average seasonally, gold rallies about 5% between mid-August and late September and then another 12% between late October and late February. Together these rallies average around 14% in the autumn and winter buying season. If gold rallies 14% this year from its recent late-July low, we’d be looking at $1325 before next spring.

Heck in last year’s autumn rally, which was admittedly quite exceptional, gold soared 31% between late July and early December. A similar rally this year, which I’m not betting on since its odds aren’t great, would push gold up above $1500! Even at the pre-panic average 55x SGR, this would yield a silver price around $27.25. And even if we don’t see this until autumn 2011, the appreciation potential of silver stocks is vast thanks to silver’s continuing post-panic recovery relative to gold.

So while gold and hence silver seasonals are always bullish in autumn, this year looks like it has greater potential than normal. Silver has been basing for a long time getting traders comfortable with $18ish levels. It looks cheap technically trading near its 200dma and sentiment, while not exactly rotten, is certainly still totally bereft of any greed or excitement. On top of all this, silver remains very undervalued relative to gold, and is even trading near support in its post-panic-recovery SGR uptrend. What an explosive setup heading into autumn!

The bottom line is silver looks very bullish heading into autumn 2010. Big seasonal gold-demand spikes are approaching, and rising gold prices get traders excited about silver. After consolidating high and forming a strong base for at least a year, silver has the perfect springboard from which to launch to new bull highs. Couple this with converging major support lines, near-oversold technicals, and little enthusiasm today, and silver is perfectly positioned for a fast ride higher in the coming months.

Overarching all these bullish silver technicals is this metal’s continuing panic-driven undervaluation relative to gold. Until this valuation gap is fully closed, silver has a lot of ground to regain and thus should rally faster on balance to catch up. Thanks to all these bullish influences, this year’s big autumn silver rally certainly has the potential to surprise on the upside. And silver stocks will naturally soar if all this comes to pass, creating a great opportunity for traders today.

Adam Hamilton, CPA
August 20, 2010

[Pro-Life]

MA40 weekly seems like clear support...

[Pro-Life]

Markets love this: La Preciosa Drilling Yields 46 Metres of 219 g/t Silver-Equivalent-Development Update

http://www.marketwire.com/press-release/Orko-Silver-Corp-La-Preciosa-Drilling-Yields-46-Metres-219-g-t-Silver-Equivalent-Development-TSX-VENTURE-OK-1285442.htm

Gary Cope, President of Orko, states; "We are extremely pleased to see that Pan American's ongoing exploration program has produced encouraging grades in drilling, but has also outlined a number of high priority exploration targets. La Preciosa is a project that continues to develop as a key asset to both Orko Silver and Pan American Silver"

[Pro-Life]

Silver up for the week and Orko is down??? Hmmmmm...

[Pro-Life]

YESSSSSSSSSSSSSSSSSSSSSSSS!!! Awesome!

[sumisu]

Orko Silver Corp.: Multiple High Grade Silver Intersections at La Preciosa

Including: 51.15 metres grading 270.8 g/t Silver Equivalent and 6 metres grading 1,219.7 g/t Silver-Equivalent

http://finance.yahoo.com/news/Orko-Silver-Corp-Multiple-ccn-539029341.html?x=0&.v=1

[Pro-Life]

And now revised upward to $3.38... climbing without much news...

[Pro-Life]

Yep... outstanding!!!

[kiwisteve]

The P&F chart in the I-Box says - bullish price objective of $2.63


kiwi

[sumisu]

Futr,

Still catching up on my reading. This was an excellent article, not only on silver, but all precious metals.

If you get a chance, please post this on the CEF board:

http://investorshub.advfn.com/boards/board.aspx?board_id=7459

Thanks,

sumi

[Pro-Life]

"Reports in to me are that coin shops and dealers were being slammed late in the week and could hardly process the order flow. People are starting to catch on to silver’s potential, and are taking advantage of the weakness."

Nothing like buying on fear, uncertainty and doubt... in the end, I always know I have the physical - something I can have and hold.

[futrcash]

Silver's Time to Shine?

http://www.preciousmetalstockreview.com/downloads/February%206,%202010%20pdf.pdf

futr

[sumisu]

Orko Silver Provides an Update of Activities for 2010 and a 2009 Year End Summary

Companies:ORKO SILVER CORP (Tier1) Related Quotes
Symbol Price Change
OK.V 1.44 +0.15

Press Release Source: Orko Silver Corp. On Wednesday January 13, 2010, 9:00 am EST

http://finance.yahoo.com/news/Orko-Silver-Provides-an-ccn-1575858657.html?x=0&.v=1

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 13, 2010) - Orko Silver Corp. (TSX VENTURE:OK - News) - The Company is pleased to provide an update of activities planned for 2010 and a year-end summary on our La Preciosa silver deposit located in Durango Mexico currently in a joint venture with Pan American Silver Corp.

In 2010, Pan American plans a continued aggressive exploration program. Work will include approximately 51,000m of diamond drilling, with the majority of the drilling slated for further resource definition; 100km of magnetometer surveys; more detailed metallurgical testing; additional engineering studies, a preliminary economic assessment and continued community relations. Drill testing of two additional exploration targets and the completion of a preliminary environmental impact study (EIS) are also integral parts of this year's planned program.

Integral to the planned exploration and perhaps the most important investigation ongoing by Pan American will be determining the optimal mining method should all the results of the accelerated work program remain positive. Currently, Pan American is investigating the possibilities of mining the deposit by underground methods or by a large open pit or possibly a combination of the two methods. Pan American will need the results from the 2010 work program to determine the best approach to mining at La Preciosa.

Pan American has budgeted $10 million for the planned 2010 exploration and development and is working towards completing a full feasibility study towards the end of the year; more than a year ahead of the timing contemplated in the April 2009 joint venture agreement.

Gary Cope, president of Orko Silver Corp. stated: "Orko is very pleased with the progress of the exploration to date and the acceleration of the work towards the completion of the full feasibility study towards the end of 2010."

Calendar Year 2009 represented a significant and positive change for the Company and our La Preciosa silver deposit located in Durango, Mexico.


-- On Feb 18, 2009, the Company released the sixth and latest resource estimate. The La Preciosa deposit now comprises 47% Indicated Resources and 53% Inferred Resources. Current Indicated Resources are 10.64 million tonnes grading 0.27 g/t Au and 185 g/t Ag for a silver- equivalent grade of 201 g/t at a cut off grade of 100 g/t. The contained metal equals 63.2 million ounces of silver and 94,000 ounces of gold for a silver equivalent of 68.9 million ounces. Current Inferred Resources are 12.0 million tonnes grading 0.25 g/t Au and 185 g/t Ag for a silver-equivalent grade of 200 g/t at a cut off grade of 100 g/t. The contained metal equals 71.8 million ounces of silver and 97,000 ounces of gold for a silver equivalent of 77.6 million ounces.(i) (i) Estimated at a 60 to 1 Silver/Gold ratio with metallurgical recoveries and net smelter returns assumed to be 100%.-- On March 31, 2009 the Company announced that it had signed an agreement with Silver Standard Resources Inc. to acquire a 100% interest in the San Juan Property located immediately west of the Company's La Preciosa. Orko had previously concluded a similar agreement with Goldcorp on the Santa Monica property (Oct 27, 2008). The Company now has a 100% interest in the large 32,400 hectares (approx. 80,000 acres) project.-- On April 14, 2009 the Company and Pan American Silver Corp. announced that they had agreed to form a joint venture to develop the La Preciosa project. Pan American contributes its demonstrated mine development expertise, as well as 100% of the funds necessary to develop and construct an operating mine, in consideration for a 55% interest in the joint venture. Orko Silver retains a 45% interest fully carried to production. Orko Silver's shareholders will benefit from the financial contribution and extensive mine development expertise that Pan American brings to the joint venture as well as retain the upside potential for the discovery of additional resources on the project.-- From September to November, the joint venture partners began releasing results from the 2009 exploration program which included trenching, detailed metallurgical tests as well as more than 27,000m of diamond drilling both in the known deposit and also in the exploration targets previously identified by Orko Silver. The values are comparable with earlier drilling by Orko Silver at La Preciosa. A full QC/QA program continues under the direction of Pan American. A complete table of 2005- 2009 drill results and drill hole location maps are available on our website.-- June-December, 2009 to present, Pan American has drilled 91 holes, including 23 holes on exploration targets for a total of 27,097m. Delineation drilling is in the Central Area of the La Preciosa Resource and consists of 66 holes (21,734m). Exploration drilling around the periphery of the Resource includes 15 holes (5,363m) from the South Area on the Martha Vein. The results of the exploration drilling to date from Baritina and El Vaquero, which are targets outside of the Martha vein resource, have been inconclusive. Further drilling has been done in both areas; results of which are pending.-- Pan American has completed a first phase detailed metallurgical testing program on representative samples of the different veins at La Preciosa and these have yielded excellent results. Work included: work index tests, abrasion tests, mineralogical studies, gravity tests, flotation tests and cyanide leach tests. Simple cyanide leaching yielded average silver recoveries of 91%, although the use of selective oxidants could further enhance these results.-- In addition to continuing delineation and exploration drilling, as well as commencing additional metallurgical testing, the project is being actively advanced on a number of other critical path items. Hydrogeological services have been contracted to begin determining appropriate water sources and Pan American has been in active dialogue with the local communities and land owners in the project's immediate vicinity who would be affected by La Preciosa's development.
A printer friendly PDF format of this news release is available at the link below:

http://www.orkosilver.com/i/pdf/orkonews01132010.pdf

George Cavey, P.Geo. is the Qualified Person and takes responsibility for the technical disclosure in this news release.

About Orko Silver Corp.

Orko Silver Corp. is developing one of the world's largest primary silver deposits, La Preciosa, located near the city of Durango, in the State of Durango, Mexico.

ON BEHALF OF THE BOARD OF DIRECTORS

George Cavey, Vice-President Exploration

This News Release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Orko relies upon litigation protection for forward-looking statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for this News Release.

Contact:
[phone]Orko Silver Corp.[phone] (FAX)[e-mail]://www.orkosilver.com/

[sumisu]

Same to you Orko bro.

The snow has already arrived; I had covered all of my garlic beds with straw before the first frost. I have a plow man to come by to remove most of the snow, but he leaves me enough to work up my own sweat per my instructions.

Great silver investment here. Puplava interviewed a company rep a few weeks ago.

You have a Happy and Prosperous New Year.

Eddie

[futrcash]

Happy Holidays Ed-

Hope you're staying warm,and that you prepared yourself properly for the inevitable snow shovelling routine.
------------------------------------------------
hey I'm starting to consider buying an undervalued Uranium miner-producer with proven reserves and either a strong partner,or serious cash reserves.

Do you know of any?

Andrew


http://www.nytimes.com/2009/12/24/business/energy-environment/24nuke.html?em

[Pro-Life]

Yeah, baby!!! "This is excellent news. Confirming the straightforward leaching characteristics of the ore while reducing both cyanide consumption and leach times are clear enhancements to the La Preciosa project."

[sumisu]

Pan American Silver and Orko Silver Announce Positive Test Results at the La Preciosa Project

Metallurgical Testing Yields 91% Average Silver Recovery

Press Release Source: Pan American Silver Corp. and Orko Silver Corp. On Wednesday December 16, 2009, 5:30 am EST

http://finance.yahoo.com/news/Pan-American-Silver-and-Orko-iw-2350093054.html?x=0&.v=1

VANCOUVER, BRITISH COLUMBIA--(Marketwire - 12/16/09) - Orko Silver Corp. ("Orko") (TSX-V:OK - News) and Pan American Silver Corp. ("Pan American") (TSX:PAA - News)(NASDAQ:PAAS - News) are pleased to announce that phase one metallurgical testing conducted on representative samples of the different veins at the La Preciosa joint venture project in Durango, Mexico have yielded excellent results.

Pan American has completed a first phase detailed metallurgical program, which included: work index tests, abrasion tests, mineralogical studies, gravity tests, floatation tests and cyanide leach tests. The program was a follow-up to the preliminary testing conducted in 2008 by Orko (Orko's news release April 17, 2008). Additional flotation studies are still underway.

Simple cyanide leaching yielded average silver recoveries of 91%, although the use of selective oxidants could further enhance these results. In addition, Pan American has been successful in reducing cyanide consumption to 1.6 kg/t, which is materially lower than the results from the metallurgical work previously completed by Orko. Lastly, the current test work has shown that with the use of oxidants, the leach cycle times can be reduced to 48 hours with minimal impact on ultimate silver recovery.

Gary Cope, president of Orko Silver Corp., stated: "This is excellent news. Confirming the straightforward leaching characteristics of the ore while reducing both cyanide consumption and leach times are clear enhancements to the La Preciosa project."

Also commenting on the metallurgical results, Geoff Burns, President and CEO of Pan American Silver, said: "These are very good results and better than we expected. We are fully engaged in all aspects of the project and still expect to produce a full feasibility study for La Preciosa by the end of next year."

In addition to continuing delineation and exploration drilling, as well as doing additional metallurgical testing, the project is being actively advanced on a number of other critical path items. Hydrogeological services have been contracted to begin determining appropriate water sources and Pan American has been in active dialogues with the local communities and land owners in the project's immediate vicinity who would be affected by La Preciosa's development.

Technical information contained in this news release has been reviewed by Michael Steinmann, P.Geo., Executive Vice President Geology & Exploration, and Martin Wafforn, P.Eng., VP Technical Services, who are Pan American's Qualified Persons for the purposes of NI 43-101. George Cavey, P. Geo. is Orko's Qualified Person for the purposes of NI-43-101.

About Orko Silver Corp.

Orko Silver Corp. is developing one of the world's largest primary silver deposits, La Preciosa, located near the city of Durango, in the State of Durango, Mexico.

About Pan American Silver Corp.

Pan American Silver's mission is to be the world's largest and lowest cost primary silver mining company, and to achieve this by increasing its low cost silver production and its silver reserves. The Company has eight silver mining operations in Mexico, Peru, Argentina and Bolivia.

THIS NEWS RELEASE CONTAINS "FORWARD-LOOKING STATEMENTS" WITHIN THE MEANING OF THE UNITED STATES PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND "FORWARD-LOOKING INFORMATION" WITHIN THE MEANING OF APPLICABLE CANADIAN SECURITIES LEGISLATION. ALL STATEMENTS, OTHER THAN STATEMENTS OF HISTORICAL FACT, ARE FORWARD-LOOKING STATEMENTS. WHEN USED IN THIS NEWS RELEASE, THE WORDS "ANTICIPATE", "BELIEVE", "ESTIMATE", "EXPECT", "INTEND", "TARGET", "PLAN", "FORECAST", "STRATEGIES", "GOALS", "OBJECTIVES", "BUDGET", "MAY", "SCHEDULE" AND OTHER SIMILAR WORDS AND EXPRESSIONS, IDENTIFY FORWARD-LOOKING STATEMENTS OR INFORMATION. SUCH FORWARD-LOOKING STATEMENTS AND INFORMATION INCLUDE, BUT ARE NOT LIMITED TO, STATEMENTS AS TO: PAN AMERICAN'S FUTURE EXPENDITURES AND ACTIVITIES FOR THE BENEFIT OF THE JOINT VENTURE, WHICH ARE CONDITIONAL TO PAN AMERICAN MAINTAINING ITS INTEREST IN THE JOINT VENTURE; LA PRECIOSA ACHIEVING FUTURE PRODUCTION; VALUE CREATION AND GROWTH FOR PAN AMERICAN'S AND ORKO'S SHAREHOLDERS; CONTINUITY OR EXPECTED IMPROVEMENTS IN METAL RECOVERIES, CYCLE TIMES, CYANIDE CONSUMPTION RATES OR OTHER METALLURGICAL RESULTS, OR THE APPLICABILITY OF ANY SUCH RESULTS TO THE LA PRECIOSA PROJECT MORE BROADLY.

SUCH FORWARD-LOOKING STATEMENTS REFLECT THE CURRENT VIEWS WITH RESPECT TO FUTURE EVENTS AND ARE NECESSARILY BASED UPON A NUMBER OF ASSUMPTIONS AND ESTIMATES THAT, WHILE CONSIDERED REASONABLE, ARE INHERENTLY SUBJECT TO SIGNIFICANT BUSINESS, ECONOMIC, COMPETITIVE, POLITICAL AND SOCIAL UNCERTAINTIES AND CONTINGENCIES. MANY FACTORS, BOTH KNOWN AND UNKNOWN, COULD CAUSE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS TO BE MATERIALLY DIFFERENT FROM THE RESULTS, PERFORMANCE OR ACHIEVEMENTS OF PAN AMERICAN, ORKO OR THEIR RESPECTIVE OPERATIONS THAT ARE OR MAY BE EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS CONTAINED IN THIS NEWS RELEASE AND THE COMPANIES HAVE MADE ASSUMPTIONS AND ESTIMATES BASED ON OR RELATED TO MANY OF THESE FACTORS. SUCH FACTORS IN RELATION TO PAN AMERICAN INCLUDE, WITHOUT LIMITATION: FLUCTUATIONS IN SPOT AND FORWARD MARKETS FOR SILVER, GOLD, BASE METALS AND CERTAIN OTHER COMMODITIES (SUCH AS NATURAL GAS, FUEL OIL AND ELECTRICITY); FLUCTUATIONS IN CURRENCY MARKETS (SUCH AS THE PERUVIAN SOLES, MEXICAN PESO, ARGENTINE PESO AND BOLIVIAN BOLIVIANO VERSUS THE U.S. DOLLAR); RISKS RELATED TO THE TECHNOLOGICAL AND OPERATIONAL NATURE OF PAN AMERICAN'S BUSINESS; CHANGES IN NATIONAL AND LOCAL GOVERNMENT, LEGISLATION, TAXATION, CONTROLS OR REGULATIONS AND POLITICAL OR ECONOMIC DEVELOPMENTS IN CANADA, THE UNITED STATES, MEXICO, PERU, ARGENTINA, BOLIVIA OR OTHER COUNTRIES WHERE PAN AMERICAN MAY CARRY ON BUSINESS IN THE FUTURE; RISKS AND HAZARDS ASSOCIATED WITH THE BUSINESS OF MINERAL EXPLORATION, DEVELOPMENT AND MINING (INCLUDING ENVIRONMENTAL HAZARDS, INDUSTRIAL ACCIDENTS, UNUSUAL OR UNEXPECTED GEOLOGICAL OR STRUCTURAL FORMATIONS, PRESSURES, CAVE-INS AND FLOODING); RISKS RELATING TO THE CREDIT WORTHINESS OR FINANCIAL CONDITION OF SUPPLIERS, REFINERS AND OTHER PARTIES WITH WHOM PAN AMERICAN DOES BUSINESS;

INADEQUATE INSURANCE, OR INABILITY TO OBTAIN INSURANCE, TO COVER THESE RISKS AND HAZARDS; EMPLOYEE RELATIONS; RELATIONSHIPS WITH AND CLAIMS BY LOCAL COMMUNITIES AND INDIGENOUS POPULATIONS; AVAILABILITY AND INCREASING COSTS ASSOCIATED WITH MINING INPUTS AND LABOUR; THE SPECULATIVE NATURE OF MINERAL EXPLORATION AND DEVELOPMENT, INCLUDING THE RISKS OF OBTAINING NECESSARY LICENSES AND PERMITS AND THE PRESENCE OF LAWS AND REGULATIONS THAT MAY IMPOSE RESTRICTIONS ON MINING, INCLUDING THOSE CURRENTLY IN THE PROVINCE OF CHUBUT, ARGENTINA; DIMINISHING QUANTITIES OR GRADES OF MINERAL RESERVES AS PROPERTIES ARE MINED; GLOBAL FINANCIAL CONDITIONS; BUSINESS OPPORTUNITIES THAT MAY BE PRESENTED TO, OR PURSUED BY, PAN AMERICAN; PAN AMERICAN'S ABILITY TO COMPLETE AND SUCCESSFULLY INTEGRATE ACQUISITIONS AND TO MITIGATE OTHER BUSINESS COMBINATION RISKS; CHALLENGES TO, OR DIFFICULTY IN MAINTAINING, PAN AMERICAN'S TITLE TO PROPERTIES AND CONTINUED OWNERSHIP THEREOF; THE ACTUAL RESULTS OF CURRENT EXPLORATION ACTIVITIES, CONCLUSIONS OF ECONOMIC EVALUATIONS, AND CHANGES IN PROJECT PARAMETERS TO DEAL WITH UNANTICIPATED ECONOMIC OR OTHER FACTORS; INCREASED COMPETITION IN THE MINING INDUSTRY FOR PROPERTIES, EQUIPMENT, QUALIFIED PERSONNEL, AND THEIR COSTS; AND THOSE FACTORS IDENTIFIED UNDER THE CAPTION "RISKS RELATED TO PAN AMERICAN'S BUSINESS" IN PAN AMERICAN'S MOST RECENT FORM 40F AND ANNUAL INFORMATION FORM FILED WITH THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION AND CANADIAN PROVINCIAL SECURITIES REGULATORY AUTHORITIES. INVESTORS ARE CAUTIONED AGAINST ATTRIBUTING UNDUE CERTAINTY OR RELIANCE ON FORWARD-LOOKING STATEMENTS. ALTHOUGH PAN AMERICAN AND ORKO HAVE ATTEMPTED TO IDENTIFY IMPORTANT FACTORS THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY, THERE MAY BE OTHER FACTORS THAT CAUSE RESULTS NOT TO BE AS ANTICIPATED, ESTIMATED, DESCRIBED OR INTENDED. THE COMPANIES DO NOT INTEND, AND DO NOT ASSUME ANY OBLIGATION, TO UPDATE THESE FORWARD-LOOKING STATEMENTS OR INFORMATION TO REFLECT CHANGES IN ASSUMPTIONS OR CHANGES IN CIRCUMSTANCES OR ANY OTHER EVENTS AFFECTING SUCH STATEMENTS OR INFORMATION, OTHER THAN AS REQUIRED BY APPLICABLE LAW.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact:

Contacts:Pan American Silver Corp.Kettina CorderoCoordinator, Investor Relations(604) 684-1175
[e-mail] Silver Corp.Gary CopePresident(604) [e-mail]

[sumisu]

Bought 4,000 shares today on the dip. Should have taken your recommendation sooner.

thanks,

sumi

[Pro-Life]

Unstoppabull...

[Pro-Life]

Orko Silver Continues to Receive Encouraging Drilling Results
November 12, 2009

http://www.orkosilver.com/s/NewsReleases.asp?ReportID=371521&_Type=News-Releases&_Title=Orko-Silver-Continues-to-Receive-Encouraging-Drilling-Results

There was good stuff released today!!!

[sumisu]

>You are probably right:

http://www.kitco.com/market/

Precious metals are flying today.

sumi

[Pro-Life]

After today's metals action, I am not sure that will happen.

[sumisu]

>Yes, this is a gem. I already made good money on it in autumn of 2008. I will probably re-enter, should the price decline.

sumi

[Dobie Lama]

Doubloon was right on with his prediction on this one!

[Dobie Lama]

Great thanks.

[Pro-Life]

Really, this is a hidden gem...

[Pro-Life]

Here is the tech report... just what you wanted...

http://www.orkosilver.com/i/pdf/TechnicalReport-ResourceEstimate6.pdf

[Pro-Life]

ORKO Corporate Profile available here -

http://www.orkosilver.com/i/pdf/OrkoProfile.pdf