To: Hawkmoon who wrote (43743 ) 10/25/1999 11:18:00 AM From: long-gone Read Replies (1) | Respond to of 116818
OK Ron, Please take this in the way it is intended, constructive commentary. Your perceptions that "gold has little worth", "there is excess gold in the world", and your base of these perceptions "gold is not a currency", have colored your view of all things gold. Due to this, let me take you back a step or two & enhance your golden knowledge. For the sake if this educational process, we will forego the whole discussion of "gold is (or is not) currency", I will instead use the terms bullion gold findings or simply bullion gold. 1st, gold findings (occurrences if you prefer) differ greatly in value at times. These can be broadly broken into the categories of "bullion gold findings" and "rock hound gold". The value of the Bullion gold is widely known to all, and quoted at spot & futures prices, and the profitability(or lack there-of) from mining these is related to a great many factors not the least of which are Central Bank manipulations, hedging activities of major mining firms, and mining efficiency of those firms. The value of the "rock hound gold", though is not quoted, as this is often correctly referred to as "specimen gold" the value of which can only be determined by rates the market will pay. The price of this specimen gold is increased not decreased by the impurities in the base metal as one sees in "bullion gold". I gave examples of some of these gold prices in a review of the Denver Gem & Mineral Show two years ago, on this thread. A single example of "fine wire", "flake", or "sheet" specimen gold in a clear quartz crystal matrix may bring greater than $3500 per oz because of the inherent beauty of the piece. These pieces, at times, may make their way into jewelry or are often display objects. A single rare specimen with a very clear .4k ruby "impurity" in a crystalline(small crystals) quartz matrix of near equal clarity last year went at auction for $29000, with less than « oz gold in the specimen. This unique piece of natural wonder had the « oz of flat gold leafed out to surpass a 5" spread. At least once in the posts from Ol49r(or on one of the links, I forget which), she mentioned specimen gold finds on that property. I don't spend my spare time rock hounding, but enjoy looking at the fruits of the rock hounding of others. If this is how people wish to spend their money & time, there is often profit in the activity. As I have not looked at this property I will not judge the adequacy of this property for this activity, but understand the relationship(at times in the cycle inverse) between rock hound gold & bullion gold. As these specimen pieces are often found near the end of veins is mines which are not currently economical to produce in a production mining mode, the relative increase & decrease of the presence of these items in this specialized secondary gem & mineral market have been considered a valid indicator of the overall health of the precious metals mining industry. There is a deep mine in Colorado which was converted from production to this "pick & shovel" operation, but if the price of gold again moves back up enough, the production mining will resume & the desperately laborious recovery of these objects of beauty from nature will again cease. It should be noted, there is little way to predict the future success of yields of specimen gold anywhere at any time. Where some specimen pieces have been found before, it is likely there will be some specimens found in the future, BUT, there is no guarantee what price each unique specimen piece might bring. It is purely a gamble, and a gamble open to "high-grading" by the customer which can remain unknown to the operator of such "hobby mining situations".