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THE SIZE of those Earth Movers are HUGE!!!! WOW!!! TOTALLY AWESOME!!! GOOOOOOOOOOOOOOO BANROOOOOOOOOOOO!
Chart looks ready for a bounce!
I hope John Clarke is attending, he lives there....
Thank You keyotee, I appreciate your valid and wise words of wisdom. I agree, there is much more pain to come in hard commodities such as copper, coal, fuels, and very possibly Gold, although "Peter Schiff" says you are wrong about Gold. I believe everyone here understands that, we probably need a capitulation event in all commodities and who knows how long that will take... But I like Banro and the mission in DRC, I love the long term assets being the Gold Zone they have been blessed to develop. I'm not here for quick expectation of appreciation but pure investment. Thanks for all you do!
Thats very good news, I have been waiting over 5 years now...
When will the knock-out punch come? When will the destruction be over? How long of a Time Horizon should we expect? Thank you for your answers.
Trouble Is Brewing in the Paper Markets for Gold and Silver by Clint Siegner, Money Metals Exchange
Link to article
Precious metals bulls question why metals prices keep falling in the face of what appears to be strong demand and great fundamental reasons for prices to move higher instead.
The bears have some answers of course. You can’t eat gold, it’s basically a pet rock, and modern financial systems are doing just fine without anything as antiquated as bullion gumming up the works.
The bears are declaring victory and saying the market has spoken. They ought to look a bit deeper into recent developments.
Outside of the price action, there is very little to support claims that gold and silver are relics of the past.
Trouble Is Brewing in the Paper Markets for Gold and SilverLately, the real answer to the bulls’ question about why prices are headed lower isn’t the stuff of a lengthy philosophical debate. These days, the answer seems to be a lot simpler; huge demand for physical metal hidden behind an enormous glut in paper supply. And the actual physical metals are shifting into new hands.
Without looking, you would never know that exchange inventories are falling – a combination of demand for physical bars and a dearth of sellers willing to furnish actual metals at the current price.
The natural dynamic is for prices to move higher, but the market has been completely overwhelmed by a huge increase in leverage. Unfortunately, there is no end to the supply of paper gold and silver contracts the trading exchanges will stack atop a shrinking layer of physical bars in their vaults.
The amount of paper gold has tripled relative to “registered” stocks available for actual delivery. This has happened in just the past few months. Just one ounce of registered gold now backs nearly 300 ounces in COMEX contracts (as depicted in a chart we re-published last week from Zerohedge.com).
Stated another way, that’s razor thin coverage of just 0.0033. Trouble is brewing. About 1% of contract holders have been standing for delivery in recent years. So we could see requests to deliver 3 times more gold than is currently in the registered category in Exchange vaults.
Trouble Is Brewing in the Paper Markets for Gold and Silver
To avoid default, the exchanges are going to need more registered gold. Luckily, there is another category of physical inventory available to draw against.
The vaults also hold “eligible” gold which can easily be converted to registered, provided the owners are willing. Bullion banks often move bars from the “eligible” category to “registered.” In fact, that is what they have been doing recently.
The problem is stocks of eligible gold are collapsing as well. TFMetalsReport.com reports that combined eligible and registered gold in the COMEX have fallen nearly 50% during the past 5 years.
It’s a lot worse for JPMorgan Chase and Scotia Mocatta, two of the largest bullion banks. Since March the amount of eligible and registered gold in their vaults has fallen from 3,732,915 ounces to 1,515,825 ounces. That’s a 59% drop in just the past few months. And December is historically the biggest month of the year when it comes to requests for physical delivery.
The drop in physical inventory isn’t limited to COMEX vaults. Trouble is brewing in London’s LBMA market – the world’s largest exchange – as well. Ronan Manly authored a report estimating that LBMA stocks outside the Bank of England vaults have fallen by 67% since 2011.
However, the report estimates that ETFs hold 1,116 of the 1,122 tonnes remaining, leaving only 6 tonnes – roughly 200,000 ounces – really in play for delivery.
Consider that LBMA banks often trade 1,000 times that amount – 200,000,000 ounces – in paper gold per day, and you find the same completely untenable scenario.
The price is falling because exchanges around the world are happy to let traders and banks sell more and more metal they don’t have and almost certainly can’t get. On the other side are folks busily buying the paper gold and ignoring the metastasizing counterparty risk. And behind-the-scenes inventories are vanishing as players with greater concern take delivery of bars and head for the exit.
There is no telling how this scenario will end. It could end if spot prices rise to the point that sellers with actual bars show up to sell. Or we may see exchanges engulfed and destroyed by a massive wave of delivery defaults. Who knows?
Trouble Is Brewing in the Paper Markets for Gold and Silver
However, given the explosion in leverage over the past few months, the question of when it will end may be easier to answer. The reckoning for metals markets may not be far ahead.
Clint Siegner is a Director at Money Metals Exchange, the national precious metals company named 2015 “Dealer of the Year” in the United States by an independent global ratings group. A graduate of Linfield College in Oregon, Siegner puts his experience in business management along with his passion for personal liberty, limited government, and honest money into the development of Money Metals’ brand and reach. This includes writing extensively on the bullion markets and their intersection with policy and world affairs.
I agree another huge impairment charge of at least 100 million will come from the drop in Gold from 3rd Quarter to 4th Quarter.... Its going to make Banro a Big loser on the books hundreds of millions per quarter. But then again, this factor also goes both ways if and when Gold appreciates the charge will be to the upside and will drive prices higher. What is the good news takeaway in all this? Currently even this looming negative, sticker price shocker, of an impairment charge is bad news, but should not send the stock price much lower than where it is now... At least Banro is keeping tabs on the value of the company as a whole including the value of the Gold in the ground in relation to viable extraction.
Banro is getting stronger by tightening it's belt...
Democratic propaganda? The reason why Banro is down? That is pretty funny, thanks for the laugh.
Banro Investors SPEECHLESS over falling Gold prices...
I respectfully disagree, I have many occasions over the years where I spoke with her on the phone, she had not a clue what was going on, and never had the right spin on things. One time I called he to tell her the email link was not working, kept bouncing back emails, the problem continued for 6 months.... She was more interested in her next vacation than Banro and the investors. Also times she gave me a negative tone, as if the company was helpless at times. I am overjoyed that that dark cloud is no longer hanging over our company and mindlessly running investor relations.
Even if it means mining the high grade reserves! Get it done Mr. Clarke, we are behind you!
Thank GOD Naomei is HISTORY!
Gold only down in Dollar Terms......
BAA Base In Place! Headed Higher!
I agree with you Banro in any event or case is still undervalued, that is why I am fully invested.
To date Banro hit it's investors with massive dilution and would have over 400 million shares once all warrants and options are accounted for. It is unlikely all will be executed, conservatively we could end up with some 300 million shares or less if Gold prices stay depressed. So the market cap you see of under 50 million is highly dependent upon any exercise of the warrants and options. When I first invested in Banro there were only 10 million shares! You wonder why the price is low, it's because we have been hit with TIDAL WAVE after TIDAL WAVE of dilution and another 10x larger TIDAL WAVE of warrants and options are just sitting out there, keeping our head under water, and stock price in a state of perpetual decline. So you see Banro is in a real tricky situation here if Gold price falls, this is actually a positive, dilution will be kept to a minimum because options and warrants are not profitable. However if Gold prices rise the warrants and options could cause a flood of dilution if exercised. This is a real "catch 22" Banro is dammed if Gold prices rise, and dammed if Gold prices fall.... The best outcome is for the warrants and options to expire and then for Gold prices to rise, this would be the best scenario for investors. That means another year or two sitting at a quarter or less, not much traction to run on either direction.
Democratic Republic of Congo: The Kabila legacy
Link to Article:
With little more than a year left before President Kabila is due to step down, The Africa Report looks into where he has kept his promises and where they have fallen down. One issue remains unclear: whether he will strengthen Congolese democracy or join the ranks of presidents seeking to stay in power at all costs
Joseph Kabila has been president of the Democratic Republic of Congo (DRC) for nearly 15 years. This makes the lavishly moustached Kabila the country's second-longest serving head of state after Mobutu Sese Seko, who was president for 32 years, or third if one counts King Leopold II of Belgium, who was head of the Congo Free State for 23 years.
The Belgian government stepped in to take over from Leopold back then, in large part because of the scandals that engulfed his rule. Mobutu's reign also ended in disgrace, with the president famed internationally for such extreme corruption that a new term was coined for it – kleptocracy. Mobutu was forced to flee the country in May 1997 in the face of a regional military assault ostensibly led by Kabila's father, Laurent-Désiré Kabila.
How will history judge Joseph Kabila? The president is constitutionally obliged to leave office in December 2016, but the signs are that he may intend hanging on a while longer, courtesy of a murky political strategy of delays, confusion and stalling, known as 'glissage' (slippage).
Kabila has thus far refused to be drawn publicly on whether he will leave on time or stick around. Instead, he has often said that people should allow him to complete his mandate and to judge him on what he has done instead of speculating about what he might do in the future.
In a speech on 30 June commemorating the 55th anniversary of the country's independence, Kabila proclaimed: "We have preserved national unity, national independence and safeguarded the national integrity of our large and beautiful country."
When Kabila came to power, after the assassination of his father in January 2001, the DRC was engulfed in a war that had split the country in three and dragged in almost all its neighbouring states. Kabila, unlike his father, understood the risks and sued for peace.
Relative peace
Within a year, the war was over and the majority of foreign troops went home. In what must surely count as an achievement for Kabila, most of the country has been at peace most of the time ever since, though in the eastern provinces and Katanga several militia remain active. Some receive foreign backing and there has been continued, though increasingly sporadic, conflict.
How much this relative peace can be attributed to Kabila is debatable, not least because the world's largest United Nations peacekeeping mission, which the body mandated to take on the rebel militia, has been in the DRC throughout his presidency.
Additionally, what peace there is in the east is fragile, and the national army remains a very long way from being a unified, professional and effective fighting force.
Back in 2001, the economy was in a disastrous state, with no growth, infrastructure broken, rapid inflation and a tanking currency. Soon after assuming office, Kabila called in the World Bank, the International Monetary Fund (IMF) and Western donors. The initial results of his reforms, at least, were impressive.
Inflation and the value of the Congolese franc stabilised, and new investment flowed into the mining, telecommunications, construction and infrastructure sectors.
According to John Kanyoni, the vice-president of the country's chamber of mines: "These were courageous reforms, and they yielded good results. Our money has stabilised, and our economy has grown. The key challenge is to diversify our economy, since our growth is still too based on mining."
The IMF suspended lending to Kabila's government in 2012 over governance concerns, and the World Bank has a much-reduced presence.
Instead, there has been a strong tilt towards China, whose state-owned companies have built nearly all the new infrastructure that has sprung up in the country over the past decade.
The country's real gross domestic product growth was an impressive 9% in 2014 and is indeed forecast to top 10% this year, making it one of the highest not only in Africa but the world. In 2014, the DRC was the biggest copper producer in Africa, beating its neighbour Zambia for the first time in decades.
Industrial gold production is rising too, but agricultural production remains critically weak. Kabila wants to remedy this with state-owned mega-farms, a handful of which have started operating near Kinshasa and in the east.
It remains to be seen, however, whether this can again become a viable, truly profitable and effective way to farm or whether the money would be better spent assisting existing smaller-scale agriculture.
There are no reliable statistics, but it is evident that unemployment and poverty have remained sky high. In Kinshasa townships like Limete, Matonge and Bandalungwa, the streets bustle till all hours with people looking for opportunities: hawkers, stall holders, porters, taxi touts, mechanics, hairdressers, musicians, gangsters and thieves.
The big economic questions for Kabila are whether the country's impressive macroeconomic numbers are translating into broad-based improved well-being. Certainly, currency stability has helped.
Congolese no longer worry as they used to whether their hard-earned cash would be worthless the next morning. But the lived experience for millions remains one of poverty, weak-to-non-existent state social service provision and harassment from government agents.
Fundamental needs
According to opposition leader Vital Kamerhe: "The priority is to still to meet the fundamental needs of the population – access to food, work and healthcare." The government is set to miss most of the Millennium Development Goals, which come to an end in 2015, but it reports that it has made the most progress in fields like infant vaccination and the primary school enrolment rate.
The DRC receives a level of scrutiny from investigative journalists and non-governmental organisations not often afforded to its neighbours. As a result, at least some of the financial dealings that apparently sustain its political system have been laid bare.
Bloomberg news agency and the London-based lobby group Global Witness have exposed numerous deals in which rich mining assets belonging to state-owned companies have been sold cheaply, more often than not to Israeli tycoon Dan Gertler, and then sold on for a vast profit.
Following a comparatively liberal phase during the previous decade, Kabila's stance towards the popular expression of political opposition has hardened.
New York-based lobby group Human Rights Watch reported in July: "In recent months, Congolese security and intelligence officials have clamped down on peaceful activists, political leaders, and others who oppose attempts to allow [...] Kabila to stay in power."
Viewed globally, these elements make for a distinctly spotted Kabila legacy. Yet, in a region where many presidents are pulling out the creative stops to evade term limits and stay in office, were Kabila to leave quietly and on time the multiple concerns and criticisms that currently surround his rule could be eclipsed and he might still secure a glowing reputation as an African democrat.
Read the original article on Theafricareport.com : Democratic Republic of Congo: The Kabila legacy | Central Africa
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When does Banro's tax holiday expire? The expiration will increase royalties paid out in ounces to the government. I believe they can overcome these obstacles, however it's a major factor to be aware of and reckon with, since it will hurt the bottom line by an additional 5-10%
When Gold is under $1100 Banro has covenants with major investors and forward gold streaming sales that increase cost significantly! If Gold can't hold the $1100 line then Banro has little margin or opportunity for a profit. That is why stock price has declined rcently. The vitality and potential for profit has been sold off at yesterdays prices to complete and fix Namoya. Unless Namoya is ready to start producing at full capacity, more cash constrains will develop, because of Gold breaking that key $1100 line.
It's called social stewardship and being a positive beacon of light for change and development!
Ouch!
This is it, load up or weep!
Things are set to get very exciting here! We are headed higher, Go BANRO!
I know about him and his scams because I experienced one first hand. I wish I didn't but Klaus Eckhof is a criminal. He is a liar and a cheat....
Anything is possible!
I never heard of Burey, but I learned about Kalus Eckhof by being a major investor in Kilo Goldmines. He gave the same story then, taking the credit for Moto, something he indeed did not accomplish selling to Randgold. He was long long gone before Moto was sold to Randgold, but as director for Kilo Goldmines, he took the credit as if he was singly responsible. What he will try to do is pump Burey up to $.50 or a $1 from here and short it and step down, giving the job to a new person or team that will fail. The guy is a robber Barron. Be careful of any company that is not producing. If you want a lottery ticket buy Loncor. At least it's managed by the same team at Banro. I would think Loncor has a shot of being bought out by Randgold if anything.
Good point, no buyouts please until we get moving! Lets talk that down, it's not a good move for the company or long term investors, only good for day-traders and pumpers.
It's gotta fly past the Moon to get to the Sun right? :)
Any Gold company touting Klaus Eckhof is a scamm. Last one was Kilo Gold it flopped and he left the company right before it went down. Klaus Eckhof is a liar and scamm artist, if you invest in his company or follow him you will lose your investment. The guy has been known to short his own companies. Investing in Burey Gold will bury you, just don't go near it.
Positive stock price slope forming with support... Nice place to add IMO!
Gold looks good here, lot of built in support at the higher $1150+ range...
I see a quarter coming!
Flop or Fly ?? Weekend help or hurt Gold?
well ain't this something!
As Gold continues higher all Banro's problems will melt away, and the stock price will soar!
BAA = The little engine that could?
I never found you to have something nice to say, relevant or constructive. But I tolerate you simply.
USD has made a death cross since the 50 day moving average has now fallen below the 200 day moving average. This could mean Gold will continue higher as the USD continues to fall.