Chris Ritchie – Gold:Silver Ratio At Extremes, Economics Of Silver Assets, Where Will New Silver Supply Come From and A Production Update From Las Chispas
Chris Ritchie, President of SilverCrest Metals (TSX:SIL – NYSE:SILV) joins me to discuss the macro environment for silver companies and provide an operations update from the Las Chispas Mine.
Starting with macro silver comments we look at the gold to silver ratio which is at a historic extreme of 95:1. This ties into a discussion on margins that have now been compressed with inflation impacting costs and the silver price below $20. When looking at the supply side of the silver market I ask Chris where new supply will come from. This focuses on the balance between M&A and development companies both of which have been slow moving.
On the SilverCrest front, Chris provides an operational update. We discuss the wrap up to commercial production as well as the possibility the Company will hold silver rather than immediately sell the silver and hold cash. This would be a unique move by a silver producer.
If you have any follow up questions for Chris please email me at Fleck@kereport.com.