Pan African Resources Share Discussion Threads

[stonedyou] 18/7/2024 19:45

Saudi Arabia could break the West’s financial architecture.

Seeing efforts to seize Russian assets in the US and the EU, rich Gulf investors are getting worried about the safety of their own wealth.

Private property has always been regarded as something sacred for humanity. Today, however, this sanctity and inviolability of private property are under threat. In the modern world, where economic and political instability are becoming increasingly common, the legal systems and international agreements designed to protect property rights are facing new challenges. Asset confiscation, economic sanctions, and political pressure threaten the traditional notions of property inviolability, forcing people to reassess their beliefs and seek new ways to safeguard their interests.

Last week, global media outlets reported that at the beginning of this year, Saudi Arabia hinted at the possibility of selling some of its European debt holdings if the G7 countries moved forward with plans to confiscate nearly $300 billion of Russia’s frozen assets. This information came from sources familiar with the situation, adding a layer of complexity to the already tense geopolitical landscape.

Saudi Arabia’s Ministry of Finance communicated to some G7 partners its strong disapproval of the proposed measure, which was intended to support Ukraine in its conflict with Russia. One insider described the communication as a veiled threat, highlighting the kingdom’s serious intent to protect its financial interests. The Saudis specifically mentioned French Treasury-issued debts, underscoring their strategic approach to leveraging their economic influence.

During the period from May to June, G7 countries deliberated over various options concerning the Russian Central Bank’s assets. The discussions were intense and multifaceted, considering both the legal and economic ramifications. Ultimately, the group reached a consensus to utilize only the earnings generated from these assets, leaving the principal intact. This cautious approach was adopted despite considerable pressure from the United States and the United Kingdom, which advocated for more assertive measures, including the direct confiscation of Russian assets.

The proposal to confiscate Russian assets outright faced significant resistance, particularly from some Eurozone member countries. These nations expressed concerns about the potential negative repercussions on their own currencies and broader economic stability. This internal opposition within the G7 highlighted a notable division among its members, revealing that not all were prepared to endorse radical measures. This divide persists even as the conflict in Ukraine continues and the necessity to support its beleaguered economy grows more urgent.

Additionally, the broader implications of Saudi Arabia’s stance cannot be ignored. The kingdom’s potential sale of European debt holdings could have a ripple effect across global financial markets, potentially destabilizing the delicate balance of international debt and equity markets. Such a move would also signify a significant geopolitical shift, demonstrating Saudi Arabia’s willingness to use its economic power as a tool of political influence.

The G7’s cautious decision to utilize only the earnings from Russian assets reflects a broader hesitation to escalate financial sanctions to the point of asset confiscation. This decision underscores the complexity of international financial diplomacy, where economic decisions are intricately tied to political and strategic considerations. As the situation evolves, the international community will be closely watching how these financial and geopolitical strategies unfold, particularly in the context of the conflict in Ukraine and the global economic landscape.

Riyadh has serious clout
Against the backdrop of escalating international tensions and economic sanctions, Saudi Arabia’s reaction to the potential measures by G7 countries to confiscate Russian assets has garnered significant attention. The kingdom not only voiced its discontent but also hinted at possible economic countermeasures, highlighting its growing influence on the global stage and its strategic intentions.

Saudi Arabia’s active investments in Western markets through its sovereign wealth fund, the Public Investment Fund (PIF), underscore its significant financial clout. The PIF is a cornerstone of the ambitious Vision 2030 program, which aims to diversify the economy and reduce dependence on oil revenues.

By the end of 2023, PIF managed assets totaling approximately $925 billion, with plans to increase this to $1.07 trillion by 2025. Additionally, the Saudi Arabian Monetary Authority (SAMA) holds substantial foreign reserves, estimated at $423.7 billion as of April this year.

The PIF’s investment strategy spans various sectors and regions. For example, the fund invested $45 billion in the UK-based SoftBank Vision Fund, focusing on technological innovations. In 2023, PIF announced plans to invest $40 billion in US infrastructure projects, with $20 billion already allocated to a joint project with Blackstone. According to Gulf Business, in 2021, the fund acquired significant stakes in American video game companies such as Electronic Arts and Activision Blizzard, and in 2022, it purchased a 5% stake in the Japanese company Nintendo.

Beyond the technology sector, PIF is actively investing in real estate, infrastructure, and financial services. In November 2023, the fund acquired a 10% stake in Heathrow Airport, and in December, it purchased a 49% stake in the Rocco Forte hotel chain, valued at $1.8 billion. This year, the fund also acquired a 38% stake in the German company HOLON GmbH.

Riyadh’s concerns are well-founded, as the authorities are anxious about the potential fate of their Western assets, which are estimated to be worth up to $600 billion. Currently, Saudi Arabia’s relations with the West are strained, both with Washington and Brussels, which continuously exert pressure on the kingdom due to its reluctance to join in isolating Russia and to pursue a pro-Western foreign policy.

Regardless of the motives, Saudi Arabia’s actions underscore its growing influence on the global stage and the challenges Western countries face in garnering support from the Global South for their anti-Russian policies. Under the leadership of Crown Prince Mohammed bin Salman, the de facto ruler of Saudi Arabia, Riyadh is increasingly positioning itself as a diplomatic force and diversifying its foreign policy and economic ties with Moscow, Beijing, and other non-Western power centers.

The end of the dollar era?
In recent months, the world has witnessed significant shifts in the global economic landscape. Saudi Arabia, long a key player in maintaining the US dollar as the dominant currency in global trade, is taking steps that could radically alter this dynamic. The kingdom’s decision to not renew the 50-year-old petrodollar agreement with the US and its active participation in de-dollarization raise critical questions: Will these actions herald the end of the dollar era, and what could be the consequences for the global economy?

The petrodollar agreement, signed by Saudi Arabia and the US on June 8, 1974, became a cornerstone of America’s global economic influence. This agreement established joint commissions for economic cooperation and meeting Saudi Arabia’s military needs. In return, the kingdom committed to selling oil exclusively in US dollars, bolstering the American currency’s position on the world stage and maintaining high demand for the dollar.

On June 9 of this year, Saudi Arabia decided not to renew this pivotal agreement. The kingdom now has the flexibility to sell oil and other commodities using various currencies, such as the yuan, euro, or yen, instead of the US dollar. Additionally, the possibility of using digital currencies like Bitcoin for transactions is being explored. This move opens new avenues for diversifying economic relations and reducing dependence on the US dollar, thereby accelerating the global trend toward using alternative currencies in international trade.

Particular attention should be given to the role of the BRICS group of countries, of which Saudi Arabia became a member on January 1, 2024. The BRICS nations actively promote the use of national currencies in international transactions and are developing their own financial institutions. De-dollarization is becoming increasingly relevant, especially for emerging economies seeking to reduce their reliance on the US currency and financial system.

Saudi Arabia’s decision and the BRICS countries’ push for de-dollarization could have significant repercussions for the global economy. If de-dollarization continues to gain momentum, it could lead to a decreased demand for the dollar, impacting its value. A weakening dollar might challenge the United States’ ability to maintain its financial stability and global influence.

Despite significant strides toward de-dollarization, declaring the end of the dollar as the world’s primary currency is premature. The dollar still holds a central place in international transactions and the reserve assets of central banks worldwide. However, Saudi Arabia’s actions and the BRICS’ ambitions indicate a growing movement toward a multipolar currency system, where the dollar is no longer the sole dominant player.

One-way road to destruction
Amid global economic and political uncertainty, the G7 countries find it increasingly challenging to identify ways to support Ukraine and counteract Russia. Their decisions have far-reaching implications, influencing global economic relations and financial stability. In June, after extended discussions at the summit in Italy, a decision was made to establish a financial structure that would provide Ukraine with approximately $50 billion in new aid.

The seven participating countries and the EU agreed to extend loans to be repaid from the profits generated by around $280 billion in frozen Russian assets, most of which are held in Europe. This decision was a compromise, as there is no consensus even among Western states, given the potentially catastrophic consequences of confiscating Russian assets.

Firstly, the seizure of Russian assets sets a dangerous precedent in the international financial system. Traditionally, state reserves held abroad were considered untouchable. Their confiscation could undermine the confidence of nations in the safety of their funds stored in foreign banks and financial institutions. This might lead countries to reconsider their reserve placement policies and result in a mass withdrawal of assets from foreign financial systems, causing turbulence in financial markets and weakening the stability of the international financial system.

Moreover, such actions could push nations to seek alternative financial institutions and instruments independent of the G7 countries. This could strengthen regional economic blocs, foster the development of new financial systems such as China’s CIPS, and support BRICS initiatives to use national currencies, thereby reducing the influence of Western financial institutions and the US dollar in the global economy.

The seizure of Russian assets also raises serious questions regarding international law. Fundamental principles of international law, such as the sovereign equality of states and the inviolability of property, could be violated by such actions. Sovereign equality implies that all states have equal rights and sovereignty, and their assets cannot be confiscated without legal grounds. The inviolability of property is a fundamental right protecting states’ assets from unlawful seizure.

The situation surrounding the potential confiscation of Russian assets remains tense and reflects the breakdown of the old world order. Saudi Arabia’s decision to sell European debt obligations could significantly impact financial markets, especially if it occurs amid existing economic problems in Europe. Additionally, other concerned regional investor states like the UAE, Qatar, Kuwait, and others might follow Riyadh’s lead in selling off European bonds.

The modern global economy faces new challenges that require a reevaluation of existing mechanisms and strategies. The decision of the G7 leaders at the summit in Italy is seen as an attempt to balance interests and find compromise solutions amid global instability. However, the seizure of Russian assets and possible retaliatory measures from Saudi Arabia and other countries could significantly alter the balance of power in the international financial system. In these conditions, it is crucial to seek new paths for cooperation and stability to avoid destructive consequences for the global economy. Therefore, as the old world order, dominated by the West for decades, fades, an increasing number of countries from the global majority are interested in new mechanisms of global governance based on non-Western institutions, particularly BRICS.

[stonedyou] 16/7/2024 20:06

LBMA & WGC Advocate for Reclassifying Gold as High-Quality Liquid Asset Under Basel III


Last week, delegates from the London Bullion Market Association (LBMA) including Paul Fisher, Ruth Crowell, David Gornall, and Edel Tully, joined Mike Oswin of the World Gold Council (WGC) in Basel for a meeting with the Bank of International Settlements (BIS). The delegation met with Neil Esho, Secretary General of the Basel Committee, and Noel Reynolds, Head of Basel III Implementation, to discuss the future of gold as a High-Quality Liquid Asset (HQLA).

The reclassification of gold, from its current status as a Tier 1 asset, as an HQLA would bring about enhanced market stability, improved liquidity, regulatory compliance benefits, greater confidence and trust in the financial system, and overall economic and financial stability. This would be advantageous for both financial institutions and the broader economy.

According to the LBMA, the meeting was productive, and the delegation received reassurances that they were on the right path towards advocating for the reclassification of gold as an HQLA. The discussions centred around the broad criteria for HQLA status and the progress made in the gold market concerning data transparency.

The LBMA shared a working paper with the BIS, demonstrating how the data supports gold’s potential classification as an HQLA. Additionally, the group presented key findings from an ongoing academic study, supported by the WGC, which further substantiates gold’s qualifications. The delegation received constructive feedback on the additional information the committee requires to proceed with the reclassification.

[stonedyou] 16/7/2024 19:54

Trading Day

Central Banks are buying gold: Ing

John Ing, president and chief executive officer at Maison Placements Canada, joins BNN

Bloomberg to share his picks in gold as it hits record high.

[stonedyou] 16/7/2024 19:50

Gold jumps to record as traders ramp up bets on Fed rate pivot

By Jack Wittels, Mark Burton, and Nick Bartlett

July 16, 2024 at 10:58AM EDT


(Bloomberg) -- Gold hit a record high as hopes for U.S. Federal Reserve rate cuts grow and some traders ramped up bets on a second Donald Trump presidency.

Spot bullion rose as high as US$2,462.54 an ounce, moving past a previous all-time peak set in late May. The rally comes as signs of slowing inflation in the U.S. fuel speculation the central bank will soon start lowering interest rates. High rates tend to be negative for gold, which bears no interest.

Even so, the metal has still soared nearly 20 per cent this year, supported by large purchases from central banks, strong consumer appetite in China and demand for haven assets amid geopolitical tensions. A recent uptick in holdings by exchange-traded funds is also aiding upward momentum.

“Optimism about U.S. interest rate cuts as more economic data supports the case for a Fed pivot is supporting gold,” Ewa Manthey, a commodities strategist at ING Bank NV, said earlier on Tuesday. “Gold is poised to keep its positive momentum going amid the current global geopolitical and macroeconomic landscape, while central bank demand is expected to grow.”

On Monday, Fed Chair Jerome Powell said recent data had given policymakers greater confidence that inflation is heading down to the central bank’s two per cent goal, and traders now see two quarter-point rate reductions this year.

Traders have been adding bets there will be three cuts this year after Goldman Sachs Group Inc. said conditions were ripe for easing, with “a solid rationale” for officials to lower rates as soon as July.

Gold’s latest rally isn’t necessarily unexpected. In June, consultancy Metals Focus predicted a fresh record this year, while earlier this month Citigroup Inc. said its base case for gold in 2025 was $2,700-$3,000 an ounce.

Trump momentum

Investors across markets are also weighing the growing likelihood that Trump will return to the White House, as his candidacy gains momentum following a failed assassination attempt over the weekend and the dismissal of a criminal case against him. A Trump presidency could have both potential positive and negative impacts on gold, said Giovanni Staunovo, a commodity analyst at UBS Group AG.

It may lead to “tax cuts, supporting a shift to equities, and eventually limiting faster rate cuts,” he said. Still, tax cuts would also impact U.S. fiscal balances, potentially weakening the dollar’s status and pushing buyers toward safe-haven assets such as gold, he said.

Spot gold was up 1.6 per cent at $2,461.22 an ounce by 4:32 p.m. in London. The Bloomberg Dollar Spot Index was little changed, while U.S. 10-year Treasury yields dropped. Silver and palladium advanced, while platinum edged slightly lower.

©2024 Bloomberg L.P.

[stonedyou] 30/6/2024 06:20

GATA's Steer sees gold and silver price suppression weakening

11:47p ET Wednesday, June 26, 2024

Dear Friend of GATA and Gold (and Silver):

Interviewed by Jesse Day for the Commodity Culture channel at YouTube, GATA board member Ed Steer, publisher of Ed Steer's Gold and Silver Digest, discusses the increasing difficulty bullion banks are having in suppressing monetary metals prices.

Steer stresses that suppression policy is nothing new but rather was implemented soon after President Nixon cut the last link between the U.S. dollar and gold. The objective, Steer notes, is to deter investors from switching from financial assets to hard assets. But, Steer adds, international resentment of U.S. domination of the world financial system is prompting challenges.

The discussion is a half-hour long and can be viewed at YouTube here:




CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
[e-mail]

[stonedyou] 26/6/2024 08:26

Tinubu celebrates as Nigeria sells gold, injects $5m into economy

23rd June 2024


Nigeria has recorded a commercial transaction of raw gold sales at the London Bullion Market Association, the Minister of Solid Minerals Development, Dele Alake disclosed on Sunday.

He said the sales have delivered a $5m increase in Nigeria’s foreign reserves, 70 plus kilograms of gold refined to the London Bullion Market Good Delivery Standard and successful aggregation of locally mined gold thereby injecting about N6bn into the rural economy.

Alake disclosed this while presenting the latest gold bar sourced from artisanal and small gold miners and refined by the Solid Minerals Development Fund to President Bola Tinubu during the weekend.

The minister in a statement signed by the Special Assistant on Media, Segun Tomori, said the refined gold would be sold to the Central Bank of Nigeria to bolster foreign reserves.

So This Happened (253) reviews Ojude Oba festival, Nigeria, Ghana facing brain drain, others0:04 / 1:01
Nigeria reportedly has about 600,000 tonnes of gold reserves, worth about $45bn located in several states including Zamfara, Edo.

However, the upsurge of illegal mining has led to a notable diversion of the nation’s commonwealth into the hands of private individuals, thereby diminishing resources intended for public benefit.

Three years ago, former president Muhammadu Buhari declared Zamfara State a ‘no-fly zone’ as part of efforts to curb the problem of illegal gold mining.

At the event, Alake commended Tinubu for supporting reforms in the solid minerals sector, assuring that the National Gold Purchase programme will increase the country’s reserve and boost the naira’s value.

Explaining to President Tinubu the significance of the event, Alake said it marked the first commercial transaction under the National Gold Purchase Program, the centralised offtake scheme supported by a decentralised aggregation and production network of artisanal and small-scale miners and cooperatives.

He said, “The successful completion of the first commercial transaction demonstrates the National Gold Purchase Program’s effectiveness. It has increased the nation’s foreign reserves assets and shown that using the Nigerian Naira to purchase a liquid asset traded in United States Dollars, such as gold, is a viable strategy. This transaction has also underscored the potential of the National Gold Purchase Program to enhance fiscal and monetary stability.”

Receiving and displaying a symbolic bar, Tinubu commended the Ministry for achieving a major milestone in the administration’s drive to diversify the economy.

“This is another concrete step towards the diversification process under the Renewed Hope Agenda,” the President said.

In her presentation, the Executive Secretary of the Solid Minerals Development Fund, Fatimah Shinkafi said the London Bullion Market Good Delivery Standard is the globally recognised stringent and trusted standard that enables the global trade in gold and silver bars.

“Only gold and silver bars that meet our Good Delivery standards are acceptable in the settlement of a Loco London contract – where the bullion traded is physically held in London” she said.

Shinkafi said, that through the efforts of the National Gold Purchase Program under the Ministry of Solid Minerals Development, Nigeria has joined a select group of countries bolstering their gold reserves by purchasing gold in local currency to foster economic confidence, enhance currency stability, and create a more attractive environment for foreign investment.

Damilola Aina
A business, investment, infrastructure and property correspondent currently with The PUNCH, Aina is a media professional with over three years experience.

[stonedyou] 26/6/2024 08:18

Thanks, Julian Assange, for some truth about gold price suppression
Submitted by admin on Mon, 2024-06-24 21:29 Section: Daily Dispatches
9:44p ET Monday, June 24, 2024

Dear Friend of GATA and Gold:

Call us traitors if you want, but advocates of free and transparent markets in the monetary metals may be pleased by tonight's reports that Wikileaks founder Julian Assange has a plea deal with the U.S. government that will convict him of a felony charge of conspiring to obtain and distribute classified information, sentence him to time served in the United Kingdom while resisting extradition, and allow him to return to his native Australia.

An excerpt from The Wall Street Journal's account of the deal is appended.

While it did not get much attention outside monetary metals circles, that "classified information" -- the famous Wikileaks cables, dispatches taken from U.S. government computers by a disgruntled and gender-troubled soldier, Bradley (now Chelsea) Manning, and made public in 2011 -- included crucial information about U.S. gold price suppression policy.

For some of the cables came from the U.S. embassy in Beijing, were sent to the State Department in Washington, and included English translations of commentaries from Chinese government-controlled news organizations about U.S. gold price suppression policy.

One of those commentaries was attributed to the Chinese newspaper Shijie Xinwenbao (World News Journal), published by the Chinese government's foreign radio service, China Radio International. The U.S. embassy cable's summary of the commentary reads:

"According to China's National Foreign Exchange Administration, China's gold reserves have recently increased. Currently, the majority of its gold reserves have been located in the United States and European countries.

"The U.S. and Europe have always suppressed the rising price of gold. They intend to weaken gold's function as an international reserve currency. They don't want to see other countries turning to gold reserves instead of the U.S. dollar or euro. Therefore, suppressing the price of gold is very beneficial for the U.S. in maintaining the U.S. dollar's role as the international reserve currency.

"China's increased gold reserves will thus act as a model and lead other countries toward reserving more gold. Large gold reserves are also beneficial in promoting the internationalization of the renminbi."

The Wikileaks cables have plenty more like that:





That is, as early as 2011 the government of China and Chinese people who read or listened to their government news organizations knew all about gold price suppression by the United States and understood its purposes -- and the U.S. government knew that China knew.

And still the U.S. government considered this widespread knowledge to be classified.

Meanwhile, of course, monetary metals market analysts in the United States and United Kingdom were still denying gold price suppression policy. Mainstream Western financial news organizations continue to ignore it.

Assange has paid heavily for providing the world with this knowledge, so if he doesn't have to pay anymore, those who benefit from the knowledge may wish him well as he returns to Australia -- not that Australia lately is defending its liberty so well.

The Assange episode evokes a political cartoon drawn by the great Jules Feiffer during the Vietnam war a little more than 50 years ago and published in The Village Voice in New York. The cartoon, consisting of eight or so panels, cited various incidents of the U.S. government's misconduct and deception of its own people, and its last panel concluded: "If you want lies, you go to a government press conference. If you want truth, you steal it."

High school French still suffices: Plus ca change, plus c'est la meme chose.

Maybe better still, plus c'est la meme merde.

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
[e-mail]

[stonedyou] 19/6/2024 16:19

Official Gold Data Is No Good, GATA Secretary Tells Soar Financially’s Kai Hoffman

June 19, 2024

Profile picture for user Chris Powell

Chris Powell
GATA

Dear Friend of GATA and Gold:

In a discussion last week with Kai Hoffman of Soar Financially, your secretary-treasurer dismissed reports that the People's Bank of China had "stopped" buying gold insofar as it reported not buying any in May for the first time in many months.

Official gold reserve information is unreliable, your secretary-treasurer said, providing several major examples of how it has been falsified over the years.

The true location, size, and disposition of official gold reserves, your secretary-treasurer said, are actually the most sensitive state secrets, and GATA consultant Robert Lambourne's monthly exposure of the gold swap position of the Bank for International Settlements shows that at least one central bank is still striving to keep the gold price down.

The discussion is 35 minutes long and can be viewed at YouTube here:






Chris Powell
GATA
GATA.ORG

CHRIS POWELL, Secretary/Treasurer

Gold Anti-Trust Action Committee Inc.

Chris Powell is a journalist in Connecticut, where he was managing editor of the Journal Inquirer, a daily newspaper in Manchester, for 44 years. He continues to write political columns for that paper and five others in the state and often appears on talk radio programs there. He is also secretary/treasurer of the Gold Anti-Trust Action Committee Inc. (GATA), which he co-founded in 1999 to expose and oppose the rigging of the gold market by Western central banks and their investment bank agents. He edits the GATA Dispatch, that organization’s daily electronic newsletter. He is a member of the Board of Directors of the Connecticut Council on Freedom of Information and was its state legislative chairman from 2004-2010.

* * *

Help keep GATA going:

GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:



To contribute to GATA, please visit:

[stonedyou] 17/6/2024 12:49

Tanzania issues directive to curtail rampant use of US dollar

Sunday, June 16, 2024


What you need to know:
The directive mandates that all transactions be conducted and advertised in Tanzanian shillings, aligning with the legal framework of the country and promoting financial stability.


Tanzania's finance minister, Mwigulu Nchemba, issued a decisivie directive on June 13 aimed at curbing the widespreadd use the the U.S. dollar within the country in a bid to address a critical challenge to the economy.

In his budget speech to the National Assembly, Nchemba highlighted the detrimental effects of dollarization, where both public and private institutions demand payments in foreign currency for goods and services provided domestically, exacerbating the shortage of dollars and hindering economic progress.

The directive mandates that all transactions be conducted and advertised in Tanzanian shillings, aligning with the legal framework of the country and promoting financial stability. ....

... For the remainder of the report:

[stonedyou] 31/5/2024 17:16

RBI shifts 100 tonnes of gold from UK to its vaults, first time since 1991

The RBI held 827.69 tonnes worth of gold as a part of its foreign exchange reserves as of April 26, 2024, up from 803.6 tonnes as of December end according to the latest data. More than half of RBI’s gold reserves are held overseas in safe custody with the Bank of England.

[stonedyou] 28/5/2024 11:10

Notice of general meeting

Notice is hereby given that a General Meeting of Shareholders (General Meeting) will be held at the offices of Fladgate LLP, 16 Great Queen Street, London WC2B 5DG on Monday, 10 June 2024 at 10:00 (all references to time in this notice is United Kingdom time, unless otherwise stated).

Shareholders are advised that the notice of General Meeting and circular will be distributed to shareholders on Friday, 24 May 2024.

The circular provides information, in respect of a capital reduction to enable the Company to pay future dividends, address the payment of certain past distributions by the Company by way of dividends, and in respect of certain share buy backs as well as the resultant related party transactions. The Company now understands that these past distributions have apparently been paid otherwise than in accordance with the Companies Act 2006. A copy of the notice of General Meeting and circular are also available at:



The chairman’s letter has been extracted from the circular and is set out at the end of this announcement. The defined terms used in the chairman’s letter shall have the same meaning as set out in the circular.

Salient dates relevant to the General Meeting

Record date for receipt of the Circular

Tuesday, 21 May 2024

Last day to trade on the JSE in order to vote at the General Meeting

Monday, 3 June 2024

Last day to trade on the LSE in order to vote at the General Meeting

Tuesday, 4 June 2024

Record date for purposes of voting at the General Meeting

Thursday, 6 June 2024

Latest time and date for receipt of Forms of Proxy for the General Meeting

10.00 (London time) a.m. on Thursday, 6 June 2024

General Meeting

10.00 (London time) a.m. on Monday, 10 June 2024

Expected date of initial directions hearing of the Court

Friday, 21 June 2024

Expected date of Court Hearing to confirm the Capital Reduction

Tuesday, 2 July 2024

Expected effective date for the Capital Reduction

Wednesday, 3 July 2024

Notes

1. The expected dates for the confirmation of the Capital Reduction by the Court and the Capital Reduction becoming effective are based on provisional dates that have been obtained for the required Court hearings of the Company’s application. These provisional hearing dates are subject to change and dependent on the Court’s timetable.

2. The timetable assumes that there is no adjournment of the General Meeting. If there is an adjournment, all subsequent dates are likely to be adjusted accordingly.


Johannesburg

24 May 2024

For further information on Pan African, please visit the Company's website at:

www.panafricanresources.com

[stonedyou] 27/5/2024 20:56

India's central bank buys 1.5 times more gold in January-April than in all of 2023

Submitted by admin on Wed, 2024-05-22 22:47 Section: Daily Dispatches

By Gayatri Nayak

The Times of India, Mumbai


The Reserve Bank of India added 24 tonnes of gold to its stock of reserves in four months from January to April this year as a hedge against volatility amid geopolitical tensions. This is reckoned to be a part of strategic diversification of reserves in challenging times.

This is almost 1 1/2 times the volume it did during the whole of 2023 when it added 16 tonnes to its reserves, an analysis of the Reserve Bank data indicates.

The Reserve Bank held 827.69 tonnes worth of gold as a part of its foreign exchange reserves as of April 26,2024, up from 803.6 tonnes as of end December according to the latest Reserve Bank of India data.

Though India has been one of the largest consumers of gold as far as the Indian household is concerned, the country's central bank was rarely active in piling up its gold reserves.

The bank came in for heavy criticism when it had pledged a part of its gold reserves in 1991 when it faced a foreign-exchange crisis. Though all the gold is back in the central bank's coffers, it started adding to its stocks from market purchases only from December 2017.

Though it was seen actively buying from the markets in 2022, it was laying low in 2023 only to come back aggressively since January this year. ...

... For the remainder of the report:

[stonedyou] 27/5/2024 20:37

BRICS Go Gold: Dollar Dives as Global Economy Braces for Inflation, Bank Failures, Bank Runs & QE Returns

May 24, 2024

Jon Forrest Little

The US dollar, a currency on the brink of a financial abyss, is in a critical state. With an alarming 34 Trillion debt, unfunded liabilities approaching 200 Trillion, and no signs of ceasing perpetual wars, the situation is grave.

The outcome? MORE MONEY PRINTING.

BRICS ++ can now purchase more oil (the lifeblood of our factories, cars, power grids, hospitals, schools, and militaries) with the gold proxy than they could previously using the US dollar, which has lost its petrodollar status.

The unprecedented offloading of US treasuries results in those dollars flooding back to US shores, triggering a 2nd wave of inflation.

This is the very inflation that temporarily halted QE, a significant development with potential implications for your financial assets.

So QE Infinity resumes with a vengeance the the killshots:

CBDC launch.
The parasitic class will dig in further to launch more money laundering schemes (wars, disease protocol, climate lockdowns, insider trades).

Moreover, expect heightened surveillance state and intensifying legislation.

As any empire winds down, the legislators get even busier passing worthless laws harkening back to the Diocletian Edict of Maximum Pricing or, in the Modern era, the establishment of wasteful laws and bureaucracies such as The Department of Homeland Security (when 9-11 had nothing to do with hijacking)

Increase IRS surveillance and unlawful seizure of the villager's bank deposits.
With more bailouts of the Political Class (the kleptocrats creed)

Profits are privatized, and losses are socialized.

How to Safeguard Your Wealth in the Face of Thievocracy?

Diversify your investments and HOLD Gold and Silver, (and Copper,) which historically have proven to be resilient during times of financial instability.

The threat of bank runs is looming ominously.

It's not a time for hesitation.
ACT NOW.

WITHDRAW YOUR MONEY IMMEDIATELY to protect your financial future.

Chart below shows what happens now that BRICS ++ can buy more oil using gold than US dollar, which accelerates point #3 above

image-20240524164743-3

These items bear repeating

Dollar Demise Looms as BRICS Embrace Gold, Inflation Soars

Highlights:

US dollar teeters on $34 trillion debt, unfunded liabilities nearing $200 trillion

BRICS nations can now purchase more oil with gold than greenbacks

Massive sell-off of US Treasuries fuels renewed dollar devaluation

Quantitative easing set to restart, stoking inflation fears

Central bank digital currencies poised for launch amid currency turmoil

Bank runs imminent as government tightens grip on private finances

The shifting global economic order, with the BRICS group pivoting to commodity-backed currencies, appears to be catalyzing the dollar's downfall after decades as the world's reserve currency. As inflation spirals, concerns mount over draconian government measures to maintain control.

Steve Forbes, Chairman and Editor-in-Chief of Forbes Media, expressed his perspective that there are escalating signals pointing towards the adoption of a global gold standard monetary system. Forbes articulated this viewpoint during an interview Forbes stated, "What you're seeing is more and more countries, led by Russia and China, accumulating gold reserves. They are doing this because they recognize that the U.S. dollar's reign as the world's reserve currency is becoming increasingly tenuous."

He elaborated that nations are diversifying away from the U.S. dollar due to concerns over its long-term stability and purchasing power amid rising inflation and debt levels. Forbes remarked, "They want an alternative to the U.S. dollar, and gold has always been that alternative throughout history."

Forbes highlighted that central banks globally have been net buyers of gold for over a decade, underscoring their diminishing confidence in fiat currencies. He noted, "Central banks understand that paper money, by definition, will lose value over time due to its unlimited supply."

In contrast, Forbes emphasized gold's inherent scarcity and lack of counterparty risk, making it an attractive store of value and medium of exchange. He advocated for a return to the classical gold standard, where currencies are backed by and redeemable for gold.

While acknowledging challenges in implementing a global gold standard, Forbes expressed optimism about its growing acceptance, stating, "The idea of restoring links between currency and gold is gaining traction worldwide as people become increasingly disillusioned with fiat money."

In Conclusion

BRICS nations can now buy more oil using gold instead of US dollars.
A large-scale sell-off of US Treasuries is fueling a renewed devaluation of the dollar.

The restarting of quantitative easing is raising fears of inflation combined with the US Treasuries increasing Dollar inventories will set off new wave of inflation that makes our existing inflation look measly.

Central banks are poised to launch digital currencies in the midst of currency market turmoil.

Bank runs seem likely as governments tighten their control over private finances.

Gold, Silver and Copper to skyrocket.

The 2024 election will do nothing to change any of these points.

Both sides of the aisle 100% incompetent and 100% kleptocrats (thieves)

[stonedyou] 26/5/2024 07:03

Chinese Gold Demand Will Stay Powerful

"I’m expecting the West to join the bull market soon"

"Russia is freezing €700 million of assets from Western commercial banks such as UniCredit and Deutsche Bank, further strengthening gold’s global position as a safe haven"


Bloomberg recently reported that Beijing offloaded a record of $53 billion in US Treasuries and agency bonds combined in Q1, which illustrates the PBoC is selling dollars for gold. No wonder, as enthusiasm to seize Russia’s foreign exchange reserves—deposited at Belgium-based clearinghouse Euroclear—is rising among G-7 nations. In turn, Russia is freezing €700 million of assets from Western commercial banks such as UniCredit and Deutsche Bank, further strengthening gold’s global position as a safe haven. China’s foreign exchange reserves stand at $3.2 trillion so there is plenty of firepower left for gold.

Private gold demand in China is likely to uphold as well as the end of the property slump is not in sight. Home prices have declined in 30 out of the last 33 months. The State Council is floating a plan to buy unsold houses through local governments, but these are already drowning in debt. The Chinese public, which doesn’t have many investment options due to capital controls, will continue to invest in gold and support the price.

I’m expecting the West to join the bull market soon. ETF outflows appear to have stopped, and it would only be logical for Western investors to rotate into gold at some point because of high asset valuations and an overconfidence in credit instruments.

[stonedyou] 26/5/2024 06:53

Exceptionally Strong PBoC and Chinese Private Sector Buying Continues to Boost Gold Price.

Jan Nieuwenhuijs


Chinese private sector gold imports accounted for 543 tonnes in the first quarter, while the People’s Bank of China (PBoC) added 189 tonnes to its reserves over this time horizon. Most of the PBoC’s purchases are “unreported.” China continues to be the marginal buyer in the gold market, driving up the price. I expect that China will remain a robust buyer of gold going forward in support of the price.

In my latest article on global gold flows from March 2024, “China Has Taken Over Gold Price Control from the West,” I showed that in 2022 China broke the peg between the US dollar gold price and “real yields.” Instead of being price sensitive China had become a driving force of the gold price. The data at my disposal ran until December 2023 which made me hesitant to conclude the sharp increase in the gold price since late February was also caused by the Chinese. However, as new data has been released, I can confidently say that China initiated the current bull market.

PBoC Gold Buying Increased by 38% in Q1
The media is aware that since 2022 central banks mostly buy gold covertly (often referred to as “unreported” purchases). By now it’s widely known that the World Gold Council (WGC) publishes a single statistic on aggregate central bank buying each quarter, which is markedly higher than what all monetary authorities combined report to have bought. Which central banks are causing the difference isn’t made clear though.

In February 2023 I broke the story on unreported buying being mostly acquisitions by the PBoC. Two people familiar with the matter shared with me the Chinese central bank is responsible for “the majority” of secretive additions by monetary authorities. Emerging markets such as Saudi Arabia take up the rest.

Based on field research, the WGC states central banks bought 290 tonnes of gold in the first quarter of 2024. Most of the difference—I use eighty percent—between the WGC’s estimate and total purchases as disclosed by the IMF is 162 tonnes. When we add what the PBoC has reported to have bought during this period, total purchases come in at 189 tonnes, 38% more than the previous quarter. Possibly, the PBoC had a stake in boosting the price since late February.


Taking into account unreported purchases, the Chinese central bank now holds gold reserves weighing 5,542 tonnes, according to my research (my methodology is explained here).

Exceptionally Strong Chinese Private Gold Demand in Q1
Chinese net gold imports by the private sector have been extremely strong. From January through March imports accounted for a mammoth 543 tonnes, up 74% from Q4 2023. This is definitely what pushed up the gold price. Import in April decreased somewhat to 125 tonnes.

India imported a healthful 95 tonnes in February, but less than 30 tonnes both in January and March. The Indians remain price sensitive and are not driving this rally.

Hong Kong saw notable net inflows in the past months, which mainly reflects strong demand in China in my view. Chinese housewives buy VAT free jewelry in Hong Kong and take it across the border to Shenzhen. In addition, bullion banks that export gold to China store gold in Hong Kong before re-exporting to the mainland.

In Q1 the UK and Switzerland both were net exporters, and Western ETF inventories declined. At the time of writing the West has not yet joined the bull market, which primarily has its roots in China.

Chinese Gold Demand Will Stay Powerful
Bloomberg recently reported that Beijing offloaded a record of $53 billion in US Treasuries and agency bonds combined in Q1, which illustrates the PBoC is selling dollars for gold. No wonder, as enthusiasm to seize Russia’s foreign exchange reserves—deposited at Belgium-based clearinghouse Euroclear—is rising among G-7 nations. In turn, Russia is freezing €700 million of assets from Western commercial banks such as UniCredit and Deutsche Bank, further strengthening gold’s global position as a safe haven. China’s foreign exchange reserves stand at $3.2 trillion so there is plenty of firepower left for gold.

Private gold demand in China is likely to uphold as well as the end of the property slump is not in sight. Home prices have declined in 30 out of the last 33 months. The State Council is floating a plan to buy unsold houses through local governments, but these are already drowning in debt. The Chinese public, which doesn’t have many investment options due to capital controls, will continue to invest in gold and support the price.

I’m expecting the West to join the bull market soon. ETF outflows appear to have stopped, and it would only be logical for Western investors to rotate into gold at some point because of high asset valuations and an overconfidence in credit instruments.

[stonedyou] 22/5/2024 11:39

Lastly we will take a quick look at the dollar because of the increasing likelihood of a dollar collapse which would be a big driver for strong gains not just by gold and silver but across the commodity complex generally.

The massive ruinous debts of the United States are common knowledge and they can only be maintained without a collapse into hyperinflation if the dollar retains its Reserve Currency status. That is imperilled partly because much of the world is tired of being under threat of military intervention or sanctions if they don’t play along with it. This is why the BRICS have formed and are rapidly gaining new members and some of them like China and Russia are so strong militarily that they cannot be attacked, although the US Neocons are trying – with a remarkable lack of success – to wear down Russia in Ukraine and have been “saber rattling” over Taiwan for a long time. The BRICS are already moving to circumvent the dollar and are set to launch a gold-backed currency soon that will push the dollar off its pedestal. In addition, with the US supporting Israel’s genocide of the Palestinians, it has become clear to pretty much the entire world that Israel controls the US to the extent that the US is in a political sense an extension of Israel. The way to “bring Israel and the US to heel” therefore is to destroy the dollar as a global reserve currency and thus remove the source of their power. This is a big reason for the BRICS new currency and also explains the heavy dumping of US Treasuries that is now underway. US Treasuries are toxic garbage that only an idiot would buy and it is understood that the Fed is having to intervene and monetize almost all new Treasuries issued which is massively inflationary and the vast amounts of new money created will destroy the value of the dollar which is expected to “crash and burn” leading to devastating hyperinflation. This alone will lead to gold and silver “doing a moonshot”.

[stonedyou] 21/5/2024 07:26

China has its people put a floor under gold price, Maguire tells LFTV

Dear Friend of GATA and Gold:

London metals trader Andrew Maguire tells this week's "Live from the Vault" program from Kinesis Money that repeated attempts by the U.S. Federal Reserve to knock down the price of gold via sale of futures contracts in New York just continue to feed Chinese demand for real metal as the contracts are converted to deliverable instruments in London.

Maguire asserts that the Fed is now the only central bank that is short gold and that the Chinese government has put a rising floor under the gold price by encouraging its people to acquire the metal as well.

He says the plan for a Russian-advocated "BRICS" gold-based trading currency is being actively tested and has discovered more interest than originally expected.

He adds that there just are not enough commodity trading houses still willing to undertake and stick with short positions on gold to help suppress the price..

The program is 45 minutes long and can be seen at YouTube here:

[stonedyou] 21/5/2024 07:14

Venezuela Bans Crypto-Mining To Protect Power-Grid

BY TYLER DURDENMONDAY, MAY 20, 2024 - 08:00 PM

Authored by Amaka Nwaokocha via CoinTelegraph.com,

The Venezuelan government has joined the list of countries that have frowned on crypto mining due to its hefty electricity demands.


According to a local news outlet, Venezuela’s Ministry of Electric Power has unveiled plans to disconnect cryptocurrency mining farms from the national grid. The move aims to regulate excessive energy consumption and guarantee a stable power supply for the population.

An X post from Venezuela’s National Association of Cryptocurrencies stated that crypto mining is prohibited in Venezuela.

This move follows a recent crackdown involving the confiscation of 2,000 cryptocurrency mining devices in the city of Maracay as part of an anti-corruption initiative.

The ministry emphasized the need to offer efficient and reliable electrical service across Venezuela by eliminating the strain caused by these high-energy-consuming farms. According to officials, these measures are essential to stabilize the national power supply, which has been unreliable for the past decade.

The country has been experiencing recurring blackouts, particularly since 2019, which have significantly impacted residents’ daily lives and overall economic activity.

Cryptocurrency mining has hefty electricity demands. In response, some countries such as China and Kazakhstan have implemented stringent regulations or outright bans on the practice.

The Venezuelan government’s move against cryptocurrency mining is reportedly part of a larger anti-corruption push, which has led to the arrest of several top officials. Joselit Ramírez, the ex-head of the National Superintendency of Cryptoassets, is a key figure in the corruption allegations.

Rafael Lacava, governor of Carabobo state, has reportedly highlighted the importance of public collaboration in detecting illegal mining operations, encouraging citizens to report any unlawful activities.

However, this is not Venezuela’s first act against crypto mining activities. In March 2023, Venezuela’s energy supplier shut down crypto mining facilities nationwide as part of corruption investigations involving the country’s state oil company.

Venezuela’s attorney general, Tarek William Saab, said at the time that government officials were allegedly running parallel oil operations with the assistance of the national crypto department.

Elsewhere, in 2023, eight major cryptocurrency mining operators in Kazakhstan signed an open letter to President Kassym-Jomart Tokayev, complaining about high energy prices for crypto miners.

[stonedyou] 19/5/2024 07:46

'Big Short' Investor Michael Burry Goes Hard on Gold, Invests $10 Million in Q1


Sprott Physical Gold Trust units, a closed-end fund that
invests and holds its assets in physical gold bullion.
Big Short’s Investor Michael Burry Made a
$10 Million Gold Bet

Michael Burry, an investor known for anticipating the 2007
subprime mortgage meltdown, has made a huge bet on the rise of
gold. Burry, who amassed over $100 million for its accurate
prediction, purchased 440,000 Sprott Physical Gold Trust units
through Scion Asset Management, valued at 10 million at the end
of Q1.

The Sprott Physical Gold Trust is a closed-end fund that holds its
assets as physical gold bullion, targeting investors who want to
acquire gold exposure without having the inconvenience of
handling and providing custody of physical gold bullion. Sprott
alleges that it only invests in London Good Delivery (“LGD”)
physical gold bullion, produced by London Bullion Market
Association (LBMA) refiners.

Burry’s bet highlights the investors’ renewed interest in the
precious metal, in the context of world markets’ geopolitical and
economic conditions. While Burry has not disclosed the
motivations behind this investment, other analysts have assessed
gold still has upside potential. Peter Schiff, a financial analyst and
gold bug, recently predicted an “explosive growth” in gold prices,
inviting investors to take advantage of what might be the ” biggest
precious metals bull market in history.”

Jan Nieuwenhuijs, a gold market analyst, stressed that several
factors, including the rise in central bank gold purchases and the
high stock market valuation, are signaling the start of a multiyear
gold bull market. Nieuwenhuijs’ analysis concludes gold prices
might reach $8,000 per ounce in the next 10 years.