Posts Tagged ‘gold’

Miners injured when gold mine

Sunday, January 8th, 2012

Three men injured while working at an underground gold mine site in the state’s Goldfields have been taken to Royal Perth Hospital for further treatment.

The men were flown to Perth by Royal Flying Doctor Service and then taken by St John Ambulance to hospital as trauma patients suffering from chest injuries, bone fractures and a suspected spinal injury.

The two miners and a contractor were injured when a sheet of construction material fell on them at the Agnew gold mine, located about 23 kilometres west of the Leinster townsite.

Two RFDS planes were sent, one from Kalgoorlie and one from Perth, to bring the men to Perth for further X-rays and treatment.

The men, aged in their late 20s and 30s, were assessed by an RFDS doctor and found to be in a serious but stable condition, with non-life threatening injuries, according to RFDS spokeswoman Joanne Hill.

One of the men has possible spinal injuries as well as broken limbs, she said.

The 31-year-old man suffering chest injuries was the first to land at Jandakot, followed shortly by a 26-year-old man with the possible spinal injury and a fractured arm, Channel Ten reported.

A 38-year-old man suffering from a fractured leg accompanied the 26-year-old man and all three men were conscious throughout the flight, according to RFDS doctor Sally Edwards.

It is understood the men were constructing an explosive storage area when a piece of concrete reinforcing mesh fell on them. The mesh was not part of the underground mine, which is owned by South African gold producer Gold Fields.

Gold Fields said it alerted authorities to the incident this morning.

The Department of Mines and Petroleum has confirmed it is investigating the incident.

“Mine safety inspectors from the department are now making inquiries into the incident, which will be subject to a formal and thorough investigation,” a spokeswoman said.

“The department will take any necessary appropriate action upon collection of all evidence.”

Gold forecasts after sell-off

Friday, January 6th, 2012

Two bullion banks lowered their gold price forecasts for 2012 even though they maintained their bullish view, after the metal’s decline last week briefly sent it into a bear market.

HSBC and Barclays both cut their 2012 gold price targets by over $100 an ounce after the metal posted a gain of 10 percent last year to extend its run to an 11th consecutive year. It was, however, its smallest annual gain in three years.

HSBC’s chief commodity analyst James Steel slashed his 2012 forecast to USD 1,850 an ounce from his previous target of USD $2,025, citing a weak euro, liquidation related to equities’ losses and lackluster physical demand from emerging markets.

Steel also kept its 2012 silver view unchanged at USD 34 an ounce but he cut his price forecasts for platinum and palladium.

Gold on downfall

Saturday, December 3rd, 2011

Gold declined today as the dollar, an alternative asset to the yellow metal, was on the rise thanks to renewed concerns about Europe’s ability to resolve its fiscal problems, which the euro and boosted the grenback’s safe haven appeal.

Standard & Poor’s yesterday warned that 15 members of the 17-national euro zone could see their credit ratings cut if the EU fails to make changes to the EU treaty to tighten budget discipline within the monetary union.

Among these 15 countries were Germany and France, the euro zone’s two largest economies and the main contributors to aid packages for struggling countries. Both currently have top notch AAA ratings.

S&P went further and today placed the rating of Europe’s bailout fund, the European Financial Stability Facility (EFSF), under review for a possible downgrade, which would also depend on the outcome of Friday’s summit.

Germany and France have agreed to make joint proposals to change the EU treaty, which would make it possible to penalise countries that fail to keep their budget deficits within certain limits.

In addition, gold was pressured by reports that demand for the yellow metal from the world’s largest gold consumer India was weak despite the ongoing wedding season.

Investing in Gold, Silver and Copper

Sunday, November 27th, 2011

It may have been a volatile year for precious metals, but the global financial crisis has made investing in the most conventional markets even more difficult. As the price of gold continues to rocket, and other metal prices seem strong, CNBC asked three industry professionals: should you put your pedal to the metal?

“Copper is the most important industrial metal. If we invest in copper, its requirement is going to be increased,” Anil Kumar of commodities group Vincom Worldwide told CNBC. “We do understand that copper has a limited supply, but the way the world is growing means a lot of copper for the growth.”

Gold back on track

Sunday, November 13th, 2011

Gold has moved a little way helped by a weaker dollar and buying after the prior session’s fall..


but was still on track for its largest weekly loss since September as euro zone debt contagion worries spooked investors.

A weaker dollar makes dollar-priced commodities such as precious metals more affordable for holders of other currencies.

“I think it’s a bit of a bounce back after a shock yesterday but I wouldn’t get too excited,” Matthew Turner, an analyst at Mitsubishi said.

“There is a bit of bargain-hunting going on; the euro prices are flat and that implies that the dollar gains are to do with the (weaker) dollar.”

Gold has confounded market watchers by refusing to behave like a safe-haven and instead has tracked equities over the past few weeks, but the escalating European debt crisis could see bullion ditch its risk-asset mantle and return to record highs.

“There is a strong argument that this euro crisis should support gold, especially if the solution to it will involve printing money and easing monetary policies, which are inflationary measures. On the other hand these big shocks are making investors nervous,” Turner said.

Bullion is often used as an inflation hedge by investors.

“The longer uncertainty dwells, the more chance there is for bullion to bounce back up, given ultra-low currency yields globally,” VTB Capital said in a research note.

Gold eases on Italy, Greece debt worries

Monday, November 7th, 2011

Gold fell almost 2 percent on Thursday as worries about a disordered bankruptcy in Greece and a deepening debt crisis in Italy weighed on market sentiment and pushed investors to liquidate commodity assets, including precious metals.

“Broader trading is jittery but gold is more supported,” said analyst Andrey Kryuchenkov of VTB Capital.

“If the dollar weakens and the broader market is more risk-friendly gold will track it. If uncertainty remains, gold will be supported by safe haven buying.”

Looking at what is going on in Europe a further round of liquidation across commodities, including gold, is possible,” said Credit Suisse analyst Tom Kendall.

“It’s not the fact that people are staying away from gold as a safe haven asset but short-term players sell across market classes when they see the market shifting.”

“Physical gold demand is strong in some parts of Europe,” Kendall said.

“Other precious metals such as platinum and palladium however are suffering with what is going on in the auto sector; floods in Thailand have caused serious disruptions in Asia. There is no real sense that we’ll have a turning point for PGMs (platinum group metals) for the moment.”

Gold mine approved

Sunday, October 23rd, 2011

National Park convener Linda McKay said: “Without question, this has been the largest and most complicated planning application we have ever had to consider.

“As guardians of some of the most stunning scenery in Scotland, it would have been easy to refuse the second application if we were considering the short-term impact on the landscape, but this National Park plans for long-term conservation management, and that includes having the vision to see beyond the temporary life of the gold mine.”

Scotgold Resources originally applied for planning permission to explore the mine last year but it was rejected due to concerns over the size and shape of the tailings management facility (TMF) and poor restoration proposals for the long-term future on Glen Cononish.

Scotgold and the National Park Authority worked together to find solutions to the objections.

Ms McKay said: “We also have a 30-year commitment to improve the wider Glen Cononish. The Greater Cononish Glen Management Plan will include extending existing native Caledonian pine forest and improving habitats and access tracks.

“This legally-binding agreement means the glen will regain its quiet, remote character following closure of the mine and the landscape will be improved from its current state.”

Silver in free fall

Sunday, September 25th, 2011

Silver, which usually tracks gold because of the safe-haven appeal of both, has massively fallen 27 percent over the last 7 days.”I’m just a little surprised by just how far gold has gone, but it’s something that we have warned about,” Paul Walker global head of precious metals said yesterday.

For the past five years, the gold price has been propped up by investor interest, and over the last few days that interest has moved back to the world’s reserve currency, the dollar, he said.

“In times of real fundamental uncertainty, the currency of choice is still the dollar,” Mr Walker said.

Silver: The Perfect Alternative?

Saturday, September 3rd, 2011

The price of silver has slowly been creeping up to the price of gold during the yellow metal’s recent bull run.

Silver’s role as a precious metal has changed price negative news impacting much of the industrial commodities, a sector responsible for the majority silver demand.

Silver has been showing its two faces which have been working against each other in the most recent environment,” writes Williams. “It is considered both a precious metal with monetary overtones and also an industrial metal – two faces controlling its investment parameters.”

Silver worth more than gold?

Friday, July 29th, 2011

‘The white metal is also 40 times cheaper than gold. It doubles as both a precious and industrial metal and most of the silver used in industrial applications is consumed rather than recycled’. 

Year to date, silver prices have increased roughly 26%. Gold’s 12% rise pales in comparison.

Silver is known as a “poor man’s gold,” so as gold prices rise and begin to price out many investors, “silver becomes a good and cheaper alternative,” said Mark Leibovit, chief market strategist at VRTrader.com

“The rising Chinese demand of gold and silver is one of the reasons why we continue investing in these metals, even at today’s prices, coupled with the fact that underground reserves that can be mined at reasonable costs have become fewer and harder to find,” said Martin Hennecke, associate director at Tyche Group in Hong Kong.