This is a "derivative" of the dore bars story. WB got it in his head that the ballast bars were something other than iron.
I don't know of a historical reference to gold bars that are only 80% pure. Maybe someone well-versed in the history of precious metals can help out here.
Another thing I'm not well-versed on is SEC rules for Pinksheet stocks, but someone holding a meeting with a few select investor wanna-be's and telling them a story about gold bars would be in contravention of Insider Trading rules, that'd be my guess.