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**New** Moving FAST...SILVER SHORTAGE Developments ⚡ · SILVER / GOLD / $UFD: Surviving Global Economic Shifts | RONS BASEMENT

• 0:00
  A looming silver shortage. Do we already have a shortage of
• 0:05
  silver? We know on a big macro level,
• 0:08
  much more silver is demanded every single year than the
• 0:13
  mining and recycling industries can provide.
• 0:16
  There's a big deficit in silver. But on top of that, do we have
• 0:21
  other factors that could exacerbate that situation?
• 0:25
  Do we have countries? Do we have companies that are
• 0:28
  making moves that could make the silver shortage even more severe
• 0:33
  and result in skyrocketing silver prices?
• 0:43
  Today we're joined by Mr. John Little.
• 0:46
  He's got a couple very interesting points to bring up
• 0:49
  regarding what's going on regarding this moving silver
• 0:53
  shortage. John, welcome to Ron's basement.
• 0:55
  OK, it's my honor to be here. Let's get right into this.
• 0:58
  This is a good topic. Yeah.
• 1:00
  We got a lot going on in the world of silver.
• 1:02
  And what are you seeing in terms of companies in particular that
• 1:07
  you're finding interesting with the silver mining companies and
• 1:11
  the supply of silver coming onto the market?
• 1:14
  Yeah, glad you asked that. One thing I made a point to do
• 1:18
  right when probably 2 1/2 years ago is I got on almost and all
• 1:25
  of us that are watching today can do this.
• 1:27
  You just start getting on all the mailing lists of silver and
• 1:32
  gold producers you just fill out.
• 1:35
  It's always like one of the first things you see on their
• 1:36
  website. So I get press releases every
• 1:39
  day because I'm a reporter and I like to report on these things
• 1:43
  and one crossed my desk just like maybe a week ago.
• 1:47
  And I'm not going to drop names because I don't want this to
• 1:50
  seem like pay to play. So I'm going to make up a name
• 1:52
  like Silver Star Mining Company. And what they're doing
• 1:56
  differently is they're actually like us apes that say we're
• 2:00
  going to stack it and we're going to hold it, you know, with
• 2:03
  diamond hands. We're going to hold on to our
• 2:04
  silver. And why are we doing that?
• 2:06
  Because if we convert our silver too early back to Fiat, then
• 2:12
  that Fiat is subject to the triple threat.
• 2:15
  And the triple threat are rising interest rates, inflation,
• 2:21
  destroying your Fiat as well as the third, which is that Fiat
• 2:25
  has lost 97% of its purchasing power and really a QuickTime,
• 2:29
  you know, maybe the last four decades.
• 2:32
  So they're thinking on their balance sheet that they're,
• 2:35
  since they're mining silver, they're now holding it.
• 2:39
  And I've we've heard whispers of this before and you had some
• 2:43
  good examples with Mr. Newmeyer and 1st Majestic and we should
• 2:48
  talk about that, but it's similar to OPEC, right, Ron?
• 2:53
  Yep, Yep, Yep it is. I came up with the name that
• 2:56
  maybe the silver mining companies could could start an
• 3:00
  organization called OSAK, which would be the organization of
• 3:04
  silver extraction companies where they could work together
• 3:09
  and and and at times if need be kind of manage the supply of
• 3:14
  silver going on to the market. But really John and I think
• 3:18
  that's actually I I I believe that would be of benefit and
• 3:21
  I've, I've heard other CE OS mentioned that in the past from
• 3:24
  time to time. But really does the does the
• 3:27
  supply of silver coming onto the market need to be managed right.
• 3:31
  I mean, we we're in this situation when we look into the
• 3:35
  future where there's just this massive imbalance between the
• 3:41
  demand side and what these mines can actually produce.
• 3:44
  I mean, I think right now, right now the price of silver is doing
• 3:49
  this low, low artificial low price of silver is doing a
• 3:53
  pretty good job of managing the supply coming onto the market.
• 3:57
  Right. But I think what it is, is sort
• 3:59
  of doubling down, let's say like every day I turn on the news to
• 4:03
  the fake news channels like Bloomberg.
• 4:05
  And I see that no matter what tech, tech stops are always
• 4:11
  going higher. And it seems like oil and silver
• 4:14
  and other vital natural resources are going so
• 4:19
  dangerously low that we're at a point where this massive under
• 4:23
  investment in natural resources is going to interfere with all
• 4:27
  the things that our human innovation has come up with.
• 4:31
  The solar technology, the hydrogen fuel cell, all the
• 4:35
  things we've been talking about in aerospace.
• 4:38
  You know, Musk wants to launch 40,000 satellites.
• 4:41
  So we have better Internet that may be outside government
• 4:44
  control. That's a pretty sexy concept.
• 4:47
  But there's a massive amount of silver needed for all these
• 4:50
  things that make us. We can either live in the Stone
• 4:53
  Age or we can step up with our iPhones and solar cars or I mean
• 4:58
  electric E VS hydrogen fuel cell cars.
• 5:01
  And I I'm writing a story today about a fully electric self
• 5:06
  unloading ship. Yes, because there are places
• 5:11
  where there's ports or harbors where there's a lack of
• 5:14
  infrastructure. You're not going to be able to
• 5:16
  have the luxury of a bunch of forklifts to offload some of
• 5:19
  these ships. So it's fully on and they're in
• 5:22
  partnership with some of the larger limestone and cement
• 5:25
  companies that these are heavy loads.
• 5:28
  So that's just basically a boom that offloads these ships and
• 5:32
  it's all electric. So if we want to have this human
• 5:35
  in a we don't want to thwart innovation by humans.
• 5:39
  We'd need to come up with better solutions.
• 5:41
  So let's talk about why it would make sense for the silver mine
• 5:47
  perhaps to be a just bypass the COMEX and LBMA.
• 5:52
  Is that where you're? Sort of, Yeah.
• 5:54
  Yeah. Yep, Yep.
• 5:55
  And I just want to point out that that we're in this big
• 5:58
  macro environment when we're talking about silver
• 6:00
  specifically, where we have this shortage, right, there's a
• 6:05
  deficit, there's more silver that's being demanded every
• 6:08
  year. We know that.
• 6:08
  We've talked about that ad nauseam.
• 6:11
  And at the same time, companies starting to say, OK, fine, you
• 6:16
  know, we, we know you need our silver, but the price that
• 6:20
  you're paying us for it is, is not fair.
• 6:23
  And I know Keith Neumeier, I don't want to put words in his
• 6:25
  mouth. He said that many times and OK,
• 6:28
  fine, if you need it so bad, but you're only willing to pay US 20
• 6:32
  or $25.00 an ounce for this, then we're just going to hold it
• 6:35
  back. And if more and more companies
• 6:38
  were to do that or are starting possibly to do that, that could
• 6:45
  create a very attractive environment for the silver price
• 6:49
  to go much, much higher to get, you know, price discovery, like
• 6:53
  true price discovery. Now what you're talking about is
• 6:56
  even countries from what I understand, getting to the point
• 7:01
  where they're like we're concerned just about our supply
• 7:05
  of silver. So and we don't really want to
• 7:09
  play ball with the COMEX and the LBMA anymore.
• 7:12
  And we're hearing these reports now of like, for instance,
• 7:15
  Chinese silver refiners who've been screaming about this for
• 7:19
  years like we need more silver, we need more silver.
• 7:22
  Bypassing another factor here is them bypassing the COMEX and the
• 7:27
  LBMA who held the stranglehold on the silver price for decades,
• 7:31
  saying, you know what, we're not even gonna deal with you.
• 7:34
  We're gonna go straight from our Chinese refiner to the Mexican
• 7:38
  miner and we'll buy our silver concentrates directly from them.
• 7:41
  Is it your understanding that that's occurring right?
• 7:44
  Now yeah, this just broke, you know recently.
• 7:48
  It also shows that China, the largest user of silver, if you,
• 7:53
  when you think of industry especially, we just think of who
• 7:56
  makes all the cars and solar panels.
• 8:00
  They must be running out of cheap silver if they're starting
• 8:02
  these talks with Mexico. And it also indicates how just
• 8:06
  important Mexico is in the geopolitical tug of war.
• 8:11
  We've had earlier videos talking about the power of bricks.
• 8:15
  So Bricks is sort of devouring up a lot of silver monetarily
• 8:19
  and industrial industrially, and the West is in devouring the
• 8:23
  silver mostly industrially. Mexico is the top producer of
• 8:28
  silver, always has been in the world.
• 8:30
  Yet as Tavi Costa tweeted out just two days ago, production
• 8:36
  has fallen off a Cliff, 25% decrease in in production in the
• 8:43
  last two years. So this does give miners sort of
• 8:46
  some leverage and they're not happy with that price of today.
• 8:50
  It's like 2370 I think silver is and now there's new reports that
• 8:55
  the all in sustaining cost of silver is approaching $24.00 and
• 9:02
  that doesn't count all the exploration that went in that
• 9:06
  the junior miner does prior to that which includes their
• 9:10
  assaying, permitting, paying their GO's.
• 9:15
  I mean exploration is an enormous cost.
• 9:17
  So and then we got to look at the fact that Mexico region is
• 9:23
  also subject to a lot of risk with environmental activism as
• 9:27
  well as labor activism. The Penasquito mine owned by
• 9:31
  Newmont just came back online this year.
• 9:35
  So really this is a huge, massive problem.
• 9:40
  So what we can talk about like Keith has a solution to to what
• 9:46
  to? You brought, you brought.
• 9:49
  I want to interrupt you 'cause you brought up a great point as
• 9:51
  we're talking about this country's bypassing the the
• 9:56
  COMEX and the LBMA or the prospect of that occurring, the
• 10:01
  Mexico, the silver production decreasing, right, the world's
• 10:05
  biggest silver producer. And in the last two years, the
• 10:08
  amount of silver they produced has dropped by 25% and all of
• 10:12
  that and you mentioned this, but I want to draw more attention to
• 10:15
  it. All of that is happening within
• 10:17
  this bigger picture geopolitically in the world,
• 10:20
  which is the bricks, right. But you know the China, India
• 10:27
  right with their with their unbelievable needs for silver
• 10:31
  finding ways to kind of transform basically the silver
• 10:36
  market or price discovery within the within the silver market and
• 10:42
  that the the authority and the ability of the Comex in the LBMA
• 10:48
  are beginning to be diminished. Is that is that possibly going
• 10:52
  on right now? I mean could that is that is
• 10:54
  that a good way to sum up I could see?
• 10:56
  A lot of those sort of middle men just being rendered
• 10:59
  obsolete, even with technology like blockchain.
• 11:02
  Mm hmm. You can.
• 11:05
  You can come up with use cases where someone doing hard analog
• 11:12
  title research may be unnecessary.
• 11:16
  If the blockchain can trace the ownership of a home or who has a
• 11:19
  lien, a property. They're called smart contracts.
• 11:23
  You know, there's so many ways to think that some of these
• 11:26
  places that have had really horrible reputations like the
• 11:30
  Comex sort of merged with, I believe, the Chicago Mercantile
• 11:34
  Exchange. Those were separate entities and
• 11:37
  then somehow they merged, whereas the Chicago Mercantile
• 11:41
  Exchange used to sort of govern everything from soybeans and
• 11:45
  other commodities, including silver.
• 11:47
  So let's talk about that sort of vertical integration though from
• 11:55
  all the way from Discovery to the coin itself.
• 11:58
  Is that where you were talking? Yep, Yep, Yep.
• 11:59
  We have, you know, another person who has held back silver
• 12:03
  from the market in the past is Keith Neumayer, the CEO of First
• 12:07
  Majestic Silver. This video is not sponsored by
• 12:10
  them, but it's just a, you know, he's been a real, I would say,
• 12:13
  warrior for silver. He's talked about triple digit
• 12:16
  silver. He kind of coined that phrase a
• 12:18
  while back and he's done something interesting with his
• 12:22
  company just over the last year and I understand that it's
• 12:25
  pretty much been completed. Now he's building his own
• 12:29
  minting facility in Las Vegas. First Majestic has long had a
• 12:35
  store where they would sell silver products to their, to
• 12:39
  anyone, you know, their shareholders and and anyone who
• 12:41
  was interested in buying from their bullion store and it was
• 12:45
  wildly successful. The problem they had was they
• 12:48
  weren't minting the coins and bars themselves or the rounds
• 12:52
  and bars themselves, and they were always facing a shortage of
• 12:56
  inventory to sell. So he said, you know what, I'll
• 12:59
  just build my own mint. So you know, here's a guy who
• 13:03
  like you said it's almost complete vertical integration
• 13:06
  from digging it out of the ground and and now you know will
• 13:09
  be minting their own silver rounds and bars at this facility
• 13:14
  in Las Vegas. And and if by no means from what
• 13:17
  I understand will they be producing product from 100% of
• 13:22
  the silver that First Majestic produces.
• 13:26
  But that Keith said like the idea here is to to to to on an
• 13:31
  ever increasing at an ever increasing rate to to to for us
• 13:36
  to process more and more and more of our own silver and get
• 13:40
  it directly in the hands of the investment community.
• 13:45
  If you're looking to buy gold, silver or platinum, do yourself
• 13:48
  a favor and check out Pinbex, the online precious metals
• 13:52
  bullion dealer and sponsor of Ron's Basement.
• 13:56
  I was a happy customer before they offered to support the
• 13:59
  channel. You'll find they have the best
• 14:02
  prices, quality and service. I think Pinbex is best and you
• 14:07
  will too. And be sure to tell him that
• 14:09
  you're from Ron's basement. Yeah, I think it's a good model.
• 14:13
  I think to me it reminds me of like if you can buy, we've all
• 14:18
  been to farmers markets, right? I mean, it's kind of you don't
• 14:21
  have to necessarily buy your groceries at Giant Eagle or
• 14:25
  Smith's or Albertson's, if you can buy it from the farmer.
• 14:28
  So that seems to be a seamless and simple solution.
• 14:33
  So I'm so. My hat's off first.
• 14:35
  Majestic. And and and so we find ourselves
• 14:39
  in this situation where let's see if we can sum this all up,
• 14:43
  where we have a silver shortage in the world.
• 14:46
  We have companies, mining companies that are talking about
• 14:50
  holding back silver from the market.
• 14:52
  We have countries that are kind of bypassing the traditional
• 14:57
  route. And then we have other
• 14:58
  companies, other silver mining companies that are also
• 15:01
  bypassing the traditional silver market route through the COMEX
• 15:05
  and the LBMA and going directly to the end consumer and making
• 15:10
  silver products available. It feels like we could be
• 15:12
  heading into an environment on many different levels.
• 15:16
  The 2024 possibly could prove to be a very lucrative year for the
• 15:20
  silver price. That's true.
• 15:23
  And we're and I think if you look at that too, what's going
• 15:26
  on is maybe the silver miners can play a role as providing
• 15:32
  money that competes with the Federal Reserve paper note in a
• 15:35
  way, right? I mean, why wouldn't you want to
• 15:37
  just do that? And if you can bypass the
• 15:41
  Federal Reserve, it seems like another option, just like some
• 15:44
  people think crypto is an option.
• 15:46
  Anything that's more private or decentralized seems to make
• 15:50
  sense. If you want more freedom.
• 15:51
  To me, that's how I look. Well, John, we did it again.
• 15:55
  I'm after speaking with you. I'm feeling better about the
• 15:59
  fact that I hold physical silver.
• 16:01
  I know that our viewer who's joined us is probably learned
• 16:06
  much from listening to you today.
• 16:08
  If they want to learn more about you, about your writing, they
• 16:12
  can go to the the Silver industry.substack.com because
• 16:17
  you put out interesting articles every day.
• 16:21
  Is that correct? Yeah, it's every day.
• 16:23
  We're trying to show you usually sort of a historical lens, A use
• 16:28
  case for silver. And we usually don't get into
• 16:31
  technical analysis because my theory is that silver can be
• 16:35
  smashed down in in pricing. So EA doesn't seem to be the
• 16:40
  best way to look at things versus it's base basic common
• 16:44
  sense supply and demand with sort of an irreverent tone.
• 16:48
  Yeah, Yeah. In the end, the market forces
• 16:51
  will prevail and there'll be, there'll be some temporary noise
• 16:55
  as we both know in both the gold and the silver and and the
• 16:59
  silver markets and if people want to check out a community,
• 17:04
  you're you're also involved with the Silver D Gen.
• 17:07
  Club, is that correct? Is that a good place for and
• 17:09
  it's sort of a joint venture with them.
• 17:11
  I would say that given my age at 60, I'm not a big Reddit user
• 17:17
  nor Twitter. I I like to do sort of hard
• 17:21
  hitting journalism. But my partners over there are
• 17:23
  the youngsters that are working very hard to open up the silver
• 17:28
  marketing to people that we say things like they may be
• 17:32
  interested in riding Harleys or bikers, skaters, Rock You know
• 17:36
  rockers, crypto Bros, gym rats, whatever you're you know pump
• 17:43
  rockers. Anybody that's interested in
• 17:46
  having freedom liberty off graders you know people like
• 17:50
  that that are just haven't been really we only have 1/2 of the
• 17:54
  of 1% stacking. So we need to open that funnel
• 17:58
  to make it a bigger funnel. Make it available.
• 18:01
  Yep. And you've got Wall Street,
• 18:03
  Silver, the Silver D Gen. Club.
• 18:05
  Those are both at Reddit and great communities.
• 18:08
  I mean, I love going there. I'm a little bit older myself,
• 18:12
  so I'm not a huge Reddit user, but unbelievable.
• 18:16
  Interesting. Every time I go to either of
• 18:19
  those Reddit pages and scroll scroll through I I either find
• 18:23
  something regarding silver that's very entertaining or
• 18:27
  educational because people post a lot of great, you know, and
• 18:31
  and things get voted upwards. As I understand it so the the
• 18:34
  cream kind of rises to the top and and and I've I've, I've
• 18:38
  learned some great things there and they're wonderful
• 18:41
  communities. John, on behalf of myself, On
• 18:44
  behalf of everyone, right. This other person who's joined
• 18:47
  us today. Thank you.
• 18:49
  OK. And hopefully we'll see you
• 18:51
  again soon here in Ron's basement.
• 18:54
  Thank you, Ron, and thank you everyone.
• 18:56
  It's good to be with you.