SWFloridaGuy Thoughts On Currency Appreciations - 06/01/2013

[skeptic1138]

 

FIrst the post I made about "factual errors" was specially in reference to my posts about SWFG's thread and not a general comment about all posts I might make.

 

But, if you think an RV of the magnitude envisioned at this site, is possible (despite never having anything close to this happening in the history of civilization), then please spell out how it could work.

Edited June 6, 2013 by skeptic1138

[Carrello]

I agree that developing any industry other than oil and gas is a positive thing for Iraq. I disagree that they are now a significant producer of gold. Eveything I read says that they have potential but lack the knowledge or the infrastructure to produce much at this time.

Doc, there were several articles last week that stated the Turkish were going into Iraq to educate the Iraqis on gold extraction and associated processes.

[doctor robbins]

Doc, there were several articles last week that stated the Turkish were going into Iraq to educate the Iraqis on gold extraction and associated processes.

You're right. They're going to learn how to produce gold and other metals and minerals. Maybe in 20 years they'll be producing a significant amount but they're not at this time.

[Darin]

You're right. They're going to learn how to produce gold and other metals and minerals. Maybe in 20 years they'll be producing a significant amount but they're not at this time.

20 years?!?

This isn't like a infrastructure where pipelines have to be put in place. They simply have to dig and extract. Can't imagine that would take 20 years.

If they had to build refineries, pipelines, etc like we see in crude.. I could be more in agreement with you.

[skeptic1138]

20 years?!?

This isn't like a infrastructure where pipelines have to be put in place. They simply have to dig and extract. Can't imagine that would take 20 years.

If they had to build refineries, pipelines, etc like we see in crude.. I could be more in agreement with you.

Sure a tiny gold mine can be put in place in a year.  A huge open pit mine, let alone many of them takes a long time and takes a lot of processing facilitates to extract the gold.  And even with all that, there is no chance of producing as much gold as the entire rest of the world, which would be needed to match oil revenue.

[JJ7]

stick around you might learn something it seems your starting to catch on

you almost got it ..but not quite

what a joke

You remind me a lot of sonny1. He managed to sound arrogant despite knowing absolutely nothing about economics and investing.

[Darin]

Sure a tiny gold mine can be put in place in a year.  A huge open pit mine, let alone many of them takes a long time and takes a lot of processing facilitates to extract the gold.  And even with all that, there is no chance of producing as much gold as the entire rest of the world, which would be needed to match oil revenue.

Well, its luck of the draw. If they find a good mine to begin with, they could likely extract with ease. A lot can happen in 20 years. I think that is a high estimation. Regardless, their oil output in 20 years will likely be in teens for millions per day produced. Therefore, if your matching oil sales, than the argument holds a little bit of weight - but if you were to match present day sales, that may be a different story (especially if the value of gold goes up).

[JJ7]

20 years?!?

This isn't like a infrastructure where pipelines have to be put in place. They simply have to dig and extract. Can't imagine that would take 20 years.

If they had to build refineries, pipelines, etc like we see in crude.. I could be more in agreement with you.

The average time to build a new large mine is over 10 years, and that's AFTER it's been discovered and adequately quantified, which can literally take many decades.

For Iraq to produce enough precious metals to equal even 1/100th their oil profit would take many decades.

Plus Iraq doesn't have the money or the technical knowledge to do it themselves, and most of the world class mining companies don't seem very interested in Iraq when there are other countries that are easy to do business in that have plenty if unexploited deposits.

Well, its luck of the draw. If they find a good mine to begin with, they could likely extract with ease. A lot can happen in 20 years. I think that is a high estimation. Regardless, their oil output in 20 years will likely be in teens for millions per day produced. Therefore, if your matching oil sales, than the argument holds a little bit of weight - but if you were to match present day sales, that may be a different story (especially if the value of gold goes up).

It isn't a different story. Iraq will never produce 20 billion a year in metal sales, let alone the 100+ billion you're hypothesizing about. I guarantee it, and I'm sorry, but I also guarantee I know a lot more about the industry than you.

[dontlop]

Iraq's Five Year National Development Plan for 2010-2014 targets economic growth at 9.4 per cent, including nearly 3,000 projects worth up to US$190 billion. Around US$11 billion was reconstruction and a further US$72 billion was earmarked for capital projects like roads and housing.

 

 

 

 

Investors also identified lack of credit facilities to fund major projects as a stumbling block. They were told the Iraqi government was working on this and Baghdad had noted several major US hedge funds now had Iraq in their sights for investment.

 

Iraqi cabinet members revealed Iraq was fully open to foreign investment and wants to encourage it, especially with an Iraqi partner.

 

The Conference was told the Iraqi government has a 30 year economic plan for mines and minerals:

 

 

Other potential lucrative ventures include the millions of tonnes of cement and other building materials, like steel, which are urgently required for Iraq's massive construction projects including 3.5 million new homes in the next 5 years, a new railway system, new road expressways, airports, ports and iconic new buildings such as the Basrah Sports Complex.

 

 

In business the right timing of a new venture is vital, and once again investors, especially Westerners, are being urged to make a move now.

• The Conference heard the world's major mining and minerals companies are being offered deals worth billions of dollars, not only to extract but also convert Iraq's underground resources into key products for domestic and export markets.

After decades of sanctions, war and sectarian violence Iraq is emerging as one of the most dynamic economies in the world, with vast oil and gas fields powering the country's revival

• But now a new resource is attracting global investors: the glittering mineral wealth beneath Iraq's deserts and mountainous regions
• Referring to The Klondike gold-rush bonanza 200 years ago, one key-note speaker at Iraq Mining 2011 said: "I call this Iraq's Minerals Rush!"

• The sheer size of Iraq's mining and mineral resources are breathtaking.
• The conference was told natural deposits are some of the biggest in the world, including an estimated 600 million tonnes of native sulphur in the Mosul region, 10 billion tonnes of phosphates and 75 million tonnes of quartz sand under the Western Desert, 8 billion tonnes of limestone in Al Anbar and Suleimani, 50 million tonnes of salt in Al Anbar and Al Basrah. All these figures are thought to be conservative.

• There's gold under the Western Desert and in Kurdistan where there are also is millions of tonnes of zinc, copper and marble. Iraqi geology is also favourable to the discovery of platinum

 

 

oh but all iraq has is the reserves in the cbi .. because in iraq when they spend their money it disapears .. its not like in  the usa .. it just keeps circulating ..

 

iraq has expierenced 155 billion in surplus trade  from 2005 thru 2012 .. but all that money circulating in iraq just disapears when they spend it once ..all they have is 72 billion in  foriegn reserves ..if your dumb enough to believe it . 70 billion surplus in 2011 and 2012 .... but it just disapears ,,it doesnt circulate  like every other countrys currency ,, all they have is 72 billion reserves and they are barly getting by ..bla  bla bla ..

Edited June 6, 2013 by dontlop

[JJ7]

Iraq, the only country on the planet where 9.4% economic growth somehow makes people think 10,000% of currency appreciation is likely. Good lord.

[mcjocky1]

Dv member Id's:: jg167 -> engineer1138 -> xyzzy -> -> joefriday -> makecents now your under Skeptic lol nice try John.  why do you insist coming back under other names after being banned? to prove what?

 

Come back and tell us your source for this accusation... like you made an accusation about me having a prior identity on DV and you have so far failed to even reply to my requests for you to put up some facts or shut up.  

 

If you don't have the guts to do it on here my email address is on my profile, contact me through that...you could make up a temp. email address and use that to contact me and explain your source.

 

Land of the free, speech ok, home of the brave.. you are letting that part down Mr.

 

Didn't break any rules Bump,..did I?.

[skeptic1138]

 

• Referring to The Klondike gold-rush bonanza 200 years ago, one key-note speaker at Iraq Mining 2011 said: "I call this Iraq's Minerals Rush!"

• The sheer size of Iraq's mining and mineral resources are breathtaking.
• The conference was told natural deposits are some of the biggest in the world, including an estimated 600 million tonnes of native sulphur in the Mosul region, 10 billion tonnes of phosphates and 75 million tonnes of quartz sand under the Western Desert, 8 billion tonnes of limestone in Al Anbar and Suleimani, 50 million tonnes of salt in Al Anbar and Al Basrah. All these figures are thought to be conservative.

• There's gold under the Western Desert and in Kurdistan where there are also is millions of tonnes of zinc, copper and marble. Iraqi geology is also favourable to the discovery of platinum

 

 

None of which says anything about Iraq having gold deposits equal to the entire rest of the world. That just isn't possible. Do they have minerals and perhaps gold as well, sure. Will it eclipse oil? Not unless oil prices undergo a vast decline, which would be devastating for Iraq.

 

oh but all iraq has is the reserves in the cbi .. because in iraq when they spend their money it disapears .. its not like in  the usa .. it just keeps circulating ..

 

iraq has expierenced 155 billion in surplus trade  from 2005 thru 2012 .. but all that money circulating in iraq just disapears when they spend it once ..all they have is 72 billion in  foriegn reserves ..if your dumb enough to believe it . 70 billion surplus in 2011 and 2012 .... but it just disapears ,,it doesnt circulate  like every other countrys currency ,, all they have is 72 billion reserves and they are barly getting by ..bla  bla bla ..

What are you talking about? Of course there is PRIVATE wealth in Iraq. But their currency is valued based on the foreign reserves of the CBI, which are ~$70B USD worth as you say.  That's how a pegged currency works.

[dontlop]

None of which says anything about Iraq having gold deposits equal to the entire rest of the world. That just isn't possible. Do they have minerals and perhaps gold as well, sure. Will it eclipse oil? Not unless oil prices undergo a vast decline, which would be devastating for Iraq.

 

What are you talking about? Of course there is PRIVATE wealth in Iraq. But their currency is valued based on the foreign reserves of the CBI, which are ~$70B USD worth as you say.  That's how a pegged currency works.

  you need to be banned  or locked up in the lopster bin  .. go ask one of your other screen names

[skeptic1138]

  you need to be banned  or locked up in the lopster bin  .. go ask one of your other screen names

Bashing me just shows you have no reply, you can not support the crazy things you post.  Hardly a surprise of course.

[dontlop]

at this point .. during this transition stage  for iraq .. the cbi is as transparent with the global public as obama and his crew is  with congress

you think because no one responds to you  its because they have no answers .. i say its because no one  wants to talk to you .. you should go to church and push athieism  and see how many want to chat with you . youll get the same result and you can use your same line that they dont have any answers .. the answer is i couldnt care less if you understand or not ..

[fib1618]

You remind me a lot of sonny1. He managed to sound arrogant despite knowing absolutely nothing about economics and investing.

Lol

Iraq, the only country on the planet where 9.4% economic growth somehow makes people think 10,000% of currency appreciation is likely. Good lord.

Most of the "go rv'ers" I know are looking for a 300,000% move. Lol

[Bumper64]

This thread has gone way off track for a few of you!  Locking it down!!  NEXT!!!