You are right. But definitely no implosion!!
Hot off the wire this morning....
“China plans to double gold consumption in three years, how high will gold prices go now?
China’s Ministry of Industry and Information Technology announced that it expected Gold consumption in the country would be running at more than double national gold production by the end of 2015, more than double Chinese gold consumption forecast for 2012.
According to the MIIT statement, domestic demand is set to surpass 1000 tons by the end of 2015. It said this would ‘widen the fundamental market shortage’ and noted that the shortage of supply will persist in the coming few years as domestic gold supply ‘might only reach 450 tons by that time.’
Official gold policy:
The ministry promised: ‘In order to strengthen the gold industry the government will increase gold mine investment, speed up industry consolidation and international cooperation. It also said it would ‘develop gold trading platforms and investment variety (presumably meaning ETFs).
‘With regard to acceleration of industry consolidation, the government aims to lower the number of gold producers in the country to 600 companies by the end of 2015 from the current 700. And, the top 10 gold producers could be responsible for 260 tons of total output, up from 100 tons, by the end of 2015.’…”
CHINESE ARE IN PANAMA AND HAVE BEEN FOR A LONG TIME SEEKING TO STRENGTHEN THEIR METAL RESERVES. PETAQUILLA IS PLANNING TO TRUCK OUR COPPER ORE TO PANAMA CITY AND SEND IT CHINA FOR SMELTING. CHINESE HAVE VERY DEEP POCKETS, AND EXCELLENT RELATIONS WITH PANAMA.
