GOLD 2004 Bull Reflextion of 1980
GOLD 2002 - 2003 is a mirror reflection of
GOLD 1978 - 1979, is
GOLD 2004 to be a mirror reflextion of
GOLD 1980 - Bulltrend,
GOLD TA on strong Bulltrend TI Longterm comeback...
"There is not a dimes worth of difference
between the Republicans and Democrats." Franklin
Small minority throughout history have always been
initiated by highly dedicated contrarians.
When any given society has become tyrannical and in
need of reform, the overwhelming majority of that
society's citizens will be apathetic (and sometimes
downright antagonistic) to any cause that upsets
their routine in life.
This phenomenon is called inertia, and it is one of
the more debilitating forces of human existence that
weighs upon us all.
Contrarians refuse to let this force govern them.
Establishment oriented humans always succumb to
In the process of forming Americans for a Free Republic
during this past year, by enthusiastic supporters about
its theme of "Gold Money and Equal Tax Rates" as a
challenge to the Demopublicans.
Interspersed amidst in this support and negativity were
a lot of thoughtful questions on how such a challenge of
the Demopublicans could be brought about, along with
suggestions for improving the plan outlined.
What follows is an attempt to clarify the third party plan
further, and answer the more important objections that have
been put forth.
Crash Must Come First
The number one objection is that it will be impossible
for a third party movement to induce any important
changes until the economy crashes.
People are not ready to hear about policies because they
are mesmerized by their SUVs and all the goodies that
Consumerland has brought them.
The public is comprised of shortsighted establishmentarians
that have a limited sense of history, and they will just
not give a damn until the system self-destructs.
This is true.
Most people will not listen until the system has actually
But the time will come in the long recessionary period
we are now going through when the Dow is languishing
around 3000 on the charts, when the dollar is dropping
like a rock in a dry well, when government is stultifying
everything in its path, when there is great suffering
among the people -- then they will be willing to listen.
And that day is not too far off.
Sometime before this decade is out, our economy will
be in severe crisis.
So we need to start building an organization NOW.
The time to build an ark is before the raging flood is
upon us, not after we're waist-deep in the tides of
chaos and despair.
Amidst all the coming tumult, there will be a breakdown
of many of the established ways of doing things.
When the world economic crisis now confronting us has
reached its final destination, the people will be
crying for change.
Our danger lies in the fact that Demopublican demagogues
will try to stampede the confused masses into accepting
all-pervasive government control of key industries.
There will be calls for nationalizing the gold and silver
bullions and coins, the banks, etc.
There will be demands for protective tariffs that will
trigger trade wars around the world.
There will be a call for currency exchange controls.
The Patriot Act will be used to suppress rights.
Such demagogues will find white horses to ride.
They will attack the free-market and smear what few
traditions of limited government we have left.
They will offer McGovern-like subsidies to everyone who
votes for them.
They will advocate massive Huey Long work projects for
men and women to rake leaves from one side of the street
to the other and then back again.
Modern day Upton Sinclairs will be shouting for ruinous
"redistribute the wealth" plans like the EPIC
(End Poverty In California) movement during the 1930's.
Equivalents of Roosevelt's fascist? National Recovery
Administration and the Agricultural Adjustment
Administration will be championed by desperate
Demopublicans in search of straws to grasp.
There will be a sequel to what Roosevelt biographer
John T. Flynn called the "dance of the crackpots"
during the 1930's.
Droves of ivory tower eggheads, with not a lick of
experience in ever running a business, will try to form
brain trusts with Washington honchos to dictate to the
most minute degree how American businessmen are to
run their affairs.
This dance of Demopublican crackpots will have
to be fought.
And there is only one way to do that.
We must oppose their fallacies with the RIGHT IDEAS.
This is our most fundamental asset.
We who advocate Gold money and equal tax rates have
the only rational answers to the problem of government
aggrandizement and the economic ruin it is bringing
down upon us.
This is something that the entire rotted structure of
Demopublicanism lacks -- rational solutions.
This gives us a very powerful advantage.
But the time to start advancing our solutions is NOW.
This means commitment instead of cynicism.
In the 1930's, collectivism was on the rise.
It was morally aggressive and idealistic, the wave
of the future.
Professors flocked to it.
The brightest students in the universities came to
Washington like weevils to the gristmill with
Keynesian-Marxist dogmas as their weapons to remake
Today collectivism is still on the rise, but its
vanguards no longer possess their original vigor.
Collectivism no longer commands the MORAL HIGH GROUND!
It rules by deceit and demagoguery.
It has power, yes, but it is a power built on false
principle and special privilege.
It is a hollow power that can be dethroned.
But if we are to be in a position to try and bring about
such a dethronement, we need to start building our ark NOW.
The "Impregnability" of the Ruling Class
Another objection I received to the idea of a third
party challenge is that it's a colossal waste of time
It will attract only naive Pollyannas who have no idea
of the immensity of the forces that are
entrenched against them.
The country is in the hands of powerful cartels of
corporate-banking-bureaucratic interests that will
ruthlessly suppress our efforts.
Voting will not change things because the voters
are already bought and paid for with the bread and
circuses that government perpetually sends their way.
The ruling class in America will wipe us out of
existence before we make even small inroads into
their game of fiat money and confiscatory taxes.
It's senseless to go up against such an almighty
It's better to just resign ourselves to our fate.
Be realistic. Individuals can't make a difference in
face of such a monster machine of corporate-statism.
We have to fully realize the strength of the ruling
establishment and the odds that a challenge like this
is up against.
See the overwhelming challenge as rampant throughout history.
See that all progress in forming better, freer societies
only comes about because there are certain people
in this world (the Thomas Jeffersons and Aleksandr
Solzhenitsyns)who just don't allow immense power
structures to bother them or dissuade them.
Why? Because of a very dynamic force that all
tyrannical systems lack, and all rational
revolutionaries possess -- moral truth!
This is what brings the most powerful of tyrannies
No matter how much monetary or regulatory control
they possess, no matter how ruthless they are --
they are always vulnerable in face of men and women
who are in possession of truth, and willing to take
a moral stand against overwhelming odds.
Moral truth connected to unbending human will is
what destroys the most entrenched of evil eventually.
That's what we have on our side.
We just have to design the right strategy to implement it.
There are countless Americans out there
with the "can do" spirit that originally built this country.
They're just waiting for the right mix of political savvy
and passion to come along and sweep them up into a crusade.
In 1776, the Tories sat timidly on their hands,
hiding behind closed doors where it was safe and popular.
They wallowed in pessimism and lamented that nothing
could be done.
The British were too strong.
Why make a big fuss?
But the contrarians -- men like Samuel Adams and
John Hancock, Patrick Henry and Paul Revere --
would have none of it.
They possessed only a rag-tag army, but they knew they
had moral truth on their side, and that the British
Gargantua would fall precisely because of that.
Demopublicans Rotted from Within
Entrenched authority has to justify itself morally
And that is something that today's Demopublican elites
They are vulnerable as hell.
They are rotted from within.
They are ripe for a challenge just as the Soviet Politboro
And they can be brought down.
It might take a decade or two to do it.
But someone has to start the ball rolling somewhere.
Throughout history whenever tyranny threatens,
there are those who hang back in gloom and resignation,
and there are those who say --
Let's take the fight to these cabals,
and even if we lose, we'll know at least that we fought
on the side of truth, rather than settling for the comforts
of craven apathy.
The nature of our choice can be explained
with a recent example from history.
The Vichy government of France and its collaborators
quietly tolerated the Nazis in 1940.
Yet DeGaulle and a small group of partisans went underground
and refused to accept the superior power of the German army.
Did they know they were going to eventually win?
Hell no, they had no idea whether they could win or not.
They only knew that they could not live as collaborators.
They had to take the fight to the tyrants,
and even if they lost, they knew at least they would be
aligning themselves with the forces of truth and freedom.
That is the only attitude that will save America.
And it will take more than lip service;
it will require activist commitment in some way.
We need gallant contrarians, not compliant Tories.
Great deeds are accomplished only by those who
are impervious to "power structures" and "ruling
History is determined by vibrant men of the mind with
the will to bend the social forces they find
around them rather than be bent by them.
History does not make us, as the collectivists
so falsely claim.
We make history.
Men of great moral conviction formed our nation,
and it is only such men again who can save her.
Our society is heading, in the next ten years,
into a maelstrom of chaos and misery.
The people will be clamoring for some radical voices
to lead them.
So when the knock comes on your door to ask for your
commitment, I hope that you the reader will be getting
your musket down from the wall and joining the fight
(speaking metaphorically of course) instead of dwelling
on how entrenched the Darth Vaders of the Potomac are.
It is far better to fight, even if we lose,
than to give up and allow the forces of evil
to win by default.
What course other men will choose to take I cannot determine,
but as for myself, I will never give in to the hideous
slavery that the New World Order has planned for us.
Our trumpet call must be the words of Thomas Hughes:
"Man was sent into this earth for the express purpose
of fighting -- of uncompromising and unending fighting
with body, intellect, spirit, against whomsoever and
whatsoever causeth or maketh a lie.
The first requisite of life is courage or manfulness,
gained through conflict with evil --
for without such conflict there can be no perfection of
character....[W]e are born into a state of war;
with falsehood and disease, and wrong and misery in
a thousand forms lying all around us, and the voice
within calling on us to take our stand as men
in the eternal battle against them."
Don't Become Marginalized
Another objection to the AFR strategy was that the
two pillars of "Gold money and equal tax rates" needed
to be accompanied by several more planks in order
to be effective.
Property taxes should be repealed.
Social security should be privatized.
Term limits should be passed.
Emergency Executive Orders should be rescinded, etc., etc.
Sadly these readers missed the whole point of
"Gold Money and Equal Tax Rates!"
All their points we agree with.
But the idea is not to become MARGINALIZED.
These are all great future reforms.
But today, we must concentrate on stopping Gargantua.
Tomorrow we can concentrate on cutting him down to size.
This means we must get 15% of the vote, which means
becoming contrarians on only the two pillars of Gold money
and equal tax rates.
This is absolutely critical.
Just think what would happen to the Federal Government
if we could end unlimited paper money creation and
The government would be stopped dead in its tracks.
It could no longer expand.
This alone would be a monumental achievement for
a political cause.
But to do this, we must not get bogged down in trying
to enact reforms today that are best left for tomorrow.
That can only put us out on the fringe of obscurity
and ineptitude where all the other third parties
The Fed is a Fascist Cartel?
Numerous readers have written that Gold was not the
answer to the problem.
Money creation had to be taken out of the hands of
the bankers totally and given to Congress.
This type of thinking stems from the mistaken belief
that the Federal Reserve System is a private banking
concern, and that only government should be creating money.
First of all, the Federal Reserve is not a private bank.
Is it the government-run fascist cartel?
All nationally chartered banks are forced by the government
to join the cartel.
Greenspan and his board of governors are appointed by
the President and approved by the Senate.
The Federal Reserve Act of 1913 was passed by Congress,
and it can be rescinded or altered at anytime by Congress.
Harry Browne wrote in his classic How You Can
Profit From The Coming Devaluation, "Some people claim
that the Federal Reserve System is a private enterprise.
Nothing could be further from the truth.
It's as much a part of the government as the Internal
Revenue Service, the Commodity Credit Corporation, or
the Federal Trade Commission.
The error probably stems from the fact that commercial
banks own 'stock' in the Reserve Banks.
This isn't by choice, however;
each is forced to put up 6% of its own capital in
the nearest Reserve Bank." [Avon, 1971, pp. 48-49]
Browne goes on to explain that the commercial banks
only earn a 6% dividend on the capital they are forced
to put up, rather than a legitimate percentage of
the Reserve Bank's profits.
The great bulk of the profits of the Reserve Banks,
he explains, are turned over to the federal Treasury.
[Ibid., p. 49]
Recently in a reply to one of his readers,
G. Edward Griffin, the highly acclaimed author of
The Creature from Jekyll Island:
A Second Look at the Federal Reserve, states
unequivocably that the Fed is not a privately-owned
corporation in the conventional sense.
" I am surprised to hear that you believe I have
claimed that the Fed is a privately-owned corporation.
Please tell me where you find that in the book.
In truth, it is a corporation, all right, and the shares
are privately held by the banks, but they do not
carry the usual privileges of ownership.
Its said very clearly in the book that the Fed
is a cartel and that it is a partnership between
private banks and the government....
"The Federal Reserve is owned by the member banks
that comprise the system.
This, however, is misleading because...the stockholders
cannot sell their shares, which they could do if they
truly owned them.
For another, they have no voice in the selection of
the members of the board at the federal level.
The Fed, although it is a corporation chartered by Congress,
is not like most other corporations.
It is, in fact, a hybrid organization specifically designed
to facilitate operation of a cartel....with participation
by government to enforce cartel agreements, and the unique
structure was designed for that purpose."
Government is thus a full partner in the Federal Reserve System.
It chooses the men who are to run the Fed, and it can change
the rules at anytime, which it does periodically.
While the individual mega-bankers of New York certainly
wield extensive power in the system's interlocking
alliances -- a power that molds much of our politics --
they are still answerable to the regulatory controls
of the Federal Government.
[On this issue, see the article in the editorial section,
"Is the Fed a Private Corporation?"]
So taking money creation away from a government-run
cartel and simply giving it to another branch of
the government (e.g., Congress) is hardly
What needs to be done is to eventually, through
future reforms, abolish the Fed and take money creation
totally away from the government period.
Let the marketplace (i.e., the people) choose what form
of money is to be used.
When the people are left free to choose in the marketplace,
they always choose GOLD.
Let the people own the Gold, and let them deposit it
into private banks throughout the land.
Get all forms of government out of the business of money
creation period, and define the people's Gold deposits
in the banks as warehoused property rather
than loaned property.
This would eliminate the evil of fractional reserve banking.
(For an excellent, easy to read explanation of how
to do this, see Murray Rothbard's
"The Case for a 100 Percent Gold Backed Dollar" --
available through www.mises.org
It is crucial to understand that the corruption
of our banking system has nothing to do with capitalism
or free enterprise at all.
Our banking system is pure Mussolini style
corporate-statism, i.e., fascism.
It is the ultimate example of what is wrong with America!
And it is why the leftists and many populist elements
in America are totally lost when they blame capitalism
for the evils of the Federal Reserve banking system.
True free enterprise would never tolerate a national bank.
Thomas Jefferson and Andrew Jackson fought vehemently
against the big government Hamilton-Clay forces
during the early 19th century to try and keep banking
on a free enterprise footing in America.
Their later disciples finally lost the battle in 1913
with the inception of the Federal Reserve.
As a result, fascism now rules the American economy,
So to all the leftists and populists out there,
get your economic history straight.
The solution to our problems is not to fight fascism
by just changing the form of government control.
That's fighting pus with poison.
The solution is to eliminate all government controls
of businesses in the marketplace, period.
The solution is to restore the vision of Jefferson and
Jackson -- laissez-faire capitalism, i.e.,
genuine free enterprise.
Ultimate Goal is Abolition of the Income Tax
Another objection to the AFR strategy was that
just eliminating the "progressivity" of the income tax
would never do.
The income tax itself is unconstitutional, and to launch
a party upon something so illegal would doom our efforts
before we began.
There is great disagreement in legal circles, however,
on this issue.
Perhaps the income tax is unconstitutional; but the courts
are not at all sympathetic to such an argument.
Challenging the income tax on the basis of "progressivity,"
though, is another game entirely.
The 16th Amendment may or may not have made the
income tax constitutional, but it certainly did not make a progressive
income tax constitutional.
Any tax that is based upon unequal rates clearly violates
our right to "equality under the law" in America.
This is where the statists are highly vulnerable.
This is where the battle lies.
End progressivity first;
then take on the idea of income taxation itself.
Many have written and endorsed the idea of a
sales tax as far superior to an income tax.
In an agreement as to the superiority of a sales tax.
In work for three years with Citizens for an Alternative
Tax System (CATS) out of Washington, D.C. promoting
the Schaefer-Tauzin NRST bill presently before Congress.
Wrote a book on the subject,
Why We Must Abolish the Income Tax and the IRS.
But came to the conclusion that the people are not quite
ready for the radical change that switching to a
consumption tax would entail.
It's too soon to try and politically sell such an idea --
mainly because it is a very complicated sale.
People's eyes glaze over once they are immersed
in its convoluted arguments.
Equalizing income tax rates is much easier to understand.
Moreover, any national sales tax at this time
would require a minimum of 15%, which when added to
the state sales taxes presently in place would
bring our total tax added to goods and services to
the 20%-23% range.
This appears to be quite difficult for the American
people to accept psychologically, and therefore a
tough reform to sell politically.
Realize that all goods and services will be 15% cheaper
due to elimination of corporation taxes and the compliance
costs of the income tax, which are passed on in prices
of goods and services.
Realize that the national sales tax eliminates "double
Despite this, Americans still are reluctant to accept
a sales tax replacing the income tax.
It's a belief that this reluctance is due to
the 20%-23% level at which a consumption tax
would be implemented.
Once government services are reduced, however, to
a lower level that could be financed by a sales tax
under 10%, then a switch from income to consumption taxation
would be acceptable to the American people.
Until then we need to work within the income tax structure.
Thus the most important goal at this time is
to end "progressivity of rates."
Once this is done, there will take place a natural
reduction of government because, as pointed out
in the AFR Mission Statement, people's infinite
demand for government services would be ended with
an "equal rate tax."
This will allow us to eventually work our way down
to a 6%-7% income tax rate, which could then be
switched to a consumption tax rather easily.
The people would then accept it psychologically.
And even the consumption tax could eventually be
replaced with excises and tariffs.
An amendment to the Constitution could be passed
that banned any and all taxation of income for
all individuals, businesses, groups, etc. Voila!
The income tax would no longer be a part of America.
Incrementalism in politics at work.
We need to begin this process by enacting a
flat 10% income tax with absolutely no exemptions,
deductions, or privileges for anyone.
Accompanying the 10% flat tax would be the elimination
of whatever government programs and spending are
necessary to make the budget balance within
a 3-year period.
There is presently at least $400 billion being spent
on totally nonsensical federal programs that could
easily be eliminated within 3 years.
And no one would be deprived of "crucial" support programs.
Several studies have been done on this over the
past 10 years.
One such study is The People's Budget, Regnery, 1995.
Here is an example of how such a tax would
In fiscal year 2000, net taxable income for the nation
was $7,980 billion.
Ten percent of this rounded off would be $800 billion.
Our present progressive tax system took in $1,200 billion
Thus there is a $400 billion shortfall.
So the flat tax would begin at 15% the first year so as
to be revenue neutral
($7,980 billion x 15% = $1,200 billion rounded).
It would then be phased down to 10% within 3 years
as the $400 billion in excess spending is cut.
[Budget figures from The World Almanac 2002, pp. 106 &114.]
Liberals will naturally spin all such proposals
as inhumane, and try to make us out to be horrible ogres
wishing to take milk money away from children.
This is their nature and their only hope to shore up
the rotted system of welfare servitude they have
foisted upon us.
One of the important features of the plan is that
the 10% flat tax must apply to ALL citizens
of the Republic.
Explained in "Gold Money and Equal Tax Rates,"
this is the only way we can stop government growth.
All citizens must contribute, or they won't be
responsible voters, and the politicians coming before
us every Election Day will not be responsible legislators.
But just as sure as the sun will come up tomorrow,
liberals will pounce upon a 10% flat tax as unfair
to the poor people.
So if a floor is to be established under which no one
will have to pay the tax, i.e., an exemption for
those under the poverty level, then a provision
will be included in the tax bill stating that those
who are exempted from paying may also be excluded
Remember we are trying to restore a RESPONSIBLE
electorate and legislature.
This cannot be done if voters get their services free.
All who vote must pay the tax, period!
That is the only way they will act responsibly.
This is human nature.
After all, we deny children the right to vote.
Why do we do this?
Because they are not mature enough to vote responsibly.
The same principle applies to men and women who are exempt
they will never vote responsibly.
They will possess "infinite demand" for government services.
Liberals who evade such an easily recognized truth of
human nature are living in a delusional world, and
it is because of their delusions that we are now in
the mess we are in.
To continue to listen to their socialist nostrums
can only exacerbate the coming collapse and destroy
any hope of restoring freedom and sanity to
this country in the future.
Ours will not be a party that appeals to liberals.
Our constituency will come from independents, libertarians,
and free-market conservatives.
An Educational Organization Formed
What now needs to be done is to educate the American people
about our cause.
This is the primary goal of Americans for a Free Republic --
to act as an educational forum to spread the ideas
of sound money and fair taxation to all Americans.
The launching of a third political party is a natural
concomitant to such an organization because it has
the potential to speak to 100 million voters rather
than just a few hundred thousand libertarian and
conservative Gold bugs.
It has the potential to get the ideas of Gold money
and equal tax rates into the living room discussions
of the entire nation.
If this can be accomplished, it would be a monumental
We urge all readers who agree with our goals
to join AFR and become "advocates of the cause"
so to speak.
Sign our Petition of support for Congressman Ron Paul
and Professor Walter Williams.
This makes you a member of AFR.
Then please inform as many of your friends and associates
about AFR and its unique strategy to change
the face of American politics.
Post our URL and any of the articles you find
on our website in whatever chat rooms
you are a member of.
Just simple things like sending our URL to others
in your sphere of influence still gets marvelous results.
This is how they did it in Thomas Paine's day,
and we can do the same.
In fact we have it much easier than Paine and
his contemporaries, for we have the Internet.
What is most important is not to let inertia and
cynicism take over your life.
The world is full of apathetic and cynical people
who eke out their lives passively accepting whatever
government subjects them to.
This is the nature of those with weak and compliant
They are the fodder that the power elites make use
of to build their authoritarian state.
The fact that you are reading this article proves
that you are a breed apart.
The trick is not to let yourself fall for the sophistry
that will come from the millions of cynics and
statist dupes that populate the world.
Realize that their sophistic excuses are ploys that
they construct in order to justify their subservience.
Avoid these negates.
They are vexations to your spirit.
They are barnacles on the ship's hull of America's future.
For those who are interested in gaining a better
intellectual grasp of the primary issues involved,
recommend that you delve into the following books,
articles, and monographs:
Charles Adams. Those Dirty Rotten Taxes, Simon & Schuster, 1998.
Thomas J. DiLorenzo. "Economic Fascism," Ideas on Liberty,
June 1994. [ www.fee.org]
Alan Greenspan. "Gold and Economic Freedom," in Ayn Rand,
The Unknown Ideal, New American Library, 1966, pp. 89-95.
G. Edward Griffin. The Creature From Jekyll Island, American Media, 1998.
Ron Paul and Lewis Lehrman, The Case for Gold, Cato Institute, 1982.
Ayn Rand. "Man's Rights," Capitalism: The Unknown Ideal, pp.
Murray N. Rothbard. The Case Against the Fed, Mises Institute, 1995. [ www.mises.org]
Also instructive are the following articles of mine that have appeared
numerous websites throughout the Internet, and are posted here at AFR
the editorial section:
Economic Fascism and Tax Slavery, FinancialSense.com, Gold-Eagle.com, May
Invasion of the Mind Snatchers, FinancialSense.com, Gold-Eagle.com, June 23,
Freedom and Pax Americana, FinancialSense.com, Gold-Eagle.com, July 7, 2003
Contrarians and the Keynesian Myth, FinancialSense.com, Gold-Eagle.com,
August 11, 2003
Apocalypse This Way Comes, FinancialSense.com, Gold-Eagle.com, September 3,
The New Sons of Liberty, FinancialSense.com, Gold-Eagle.com, October 22,
Taking America Back
We at AFR hope to become the Ark of Freedom for America.
Our spirit exists eternally in the hearts and minds
of all those who will not kowtow to tyranny.
Our kind of defiance is what formed America in 1776.
Our goal is to take back our country from the fascist
black limousine crowd and all its collaborators --
the professorial cheerleaders for "social welfarism,"
the vast legions of bureaucratic leeches,
the mobs of unthinking voters --
who are selling the greatest country in history
down the river for an illusion of security and
wealth via government pork and privilege.
America was meant for the free,
for the self-reliant,
for those individuals who are willing to live
on their own wits, energy and courage.
She was never supposed to have paper money
and a progressive income tax.
She was never supposed to have a
powerful centralized maze of bureaucracies
regimenting and subsidizing every
aspect of our lives.
America stood for limited government and personal
independence at the outset,
and unless she restores that stand,
there will be no true liberty or justice
for men on this earth in the future.
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The two EGX Gold Mines projects in Gold production
have an estimated resource of 850,000 ounces
The Gold Ore ($420 x Au 850,000 ounces = $357,000,000.00)
The Central Mukur and Myaly mining licences
host 59 known Gold deposits
zones of oxide mineralization.
Six of these zones were mined during the years.
The remaining Gold zones are at various stages
of exploration or mine development to ensure
continuity of Gold mining operations.
It is Eurasia’s objective to increase its
annual Gold production incrementally
to Au 60,000 ounces.
Increase in Gold production will come through
increasing the production capability of the
two EGX existing Gold producing projects,
and through development of the other EGX oxide
deposits in Kazakhstan.
~ EGX with 67 zones of oxide mineralisation
remain to be further developed/explored,
according to Minesite.
Shares ownership structure
shares oustanding: 118,332,250
shares held in escrow: 3,900,000
shares held by Thistle Mining and CIDEM: 68,269,253?
shares held by directors and officers: 4,283,437
shares held by retail/instituition, investors,
( float ): 41,879,560
EGX Eurasia Gold Mines in Kazakhstan,
A record production of GOLD Au 8,596 ounces of
GOLD was precipitated during
the 3rd quarter of 2003,
compared to 7,328 ounces
in the 2nd quarter
Highlights from Q3, 2003 earning report ( in US dollars )
- amount of Gold produced was 8,596 ounces
- amount of Gold sold was 7,443 ounces
- average production cost for the 9 months
- was $246.00/oz incl. cost for expansion of
- heap leach pads etc.
- Gold was sold at an average price of $362.89/oz
- revenue was $2,701,000
- net profit was $169,000 (only from 3rd Q3, 2003 earning report)
Potential profits ex. based on Q3, 2003
operating costs and expenses
Ex.1. 7,443/oz of Gold sell at appr. current spot price of
$415/oz will generate a profit of about...
415 - 362.89 = 52.11 x 7443 + 169000 = $556,854.73
Ex.2. 7,433/oz of Gold sell at $450/oz will generate
roughly $817,000 in profit (note. only from Q3 earning report)
Outlook for 2004
We can expect large increase in revenue and profit
in the upcoming quarters as Eurasia will greatly
benefit from much higher Gold prices.
Management has also proposed that an additional
exploration of ore zones at Central Mukur will
be initiated to further increase the mineable
reserves during 2004.
The EGX Board is continuing with its chosen
strategy of running the company on an
The combination of higher Gold prices,
increase revenues, and the 2004 exploration program
can help lift EGX to new height.
Eurasia is a small and low cost Gold producer
that will offer investors the best leverage
in a rising Gold bull market, imo.
The current value today of the two EGX Gold Mines
development and infrastructure would be
about $40 millions.
Add the value of 59 more Gold deposits with
feasibility studies, and nearly
30 years of exploration activities made by
the Soviet will indicate Eurasia's market
cap of CDN $15 millions as of
Jan. 7, 2004 to be extremely undervalued.
Highlights from Q3, 2003 earning report ( in US dollars )
"Positive earnings immediately put EGX a penny stock
company above 85% of the others.
If those earnings are showing signs of increasing
from one quarter to the next, you may be able
to profit greatly from the underlying shares,
especially if you get in early and the trend of
increasing earnings continues... In the end,
a company can only survive by making more money
than it spends.
This is a fact, and a very painful one for many
investors and corporations who have lost sight
of the rules of the game."
Penny Stocks: The Book by Peter Leeds
The President of the Republic of Kazakhstan,
Mr. Nursultan A. Nazarbayev
Excerpt from the National Anthem of the Republic of Kazakhstan:
We are a valiant people,
sons of honour,
And all we’ve sacrificed
to gain our freedom.
Emerging from malicious grip of fate,
from hell of fire,
We scored a victory
of glory and success
Soar high up in the sky,
oh, eagle of freedom,
Call up to harmony,
agreement and accord!
For hero’s might and strength
is in the nation,
Just as the unity is
nation’s razing sword.
The sovereignty and independence of Kazakhstan
Nine years have passed since Kazakhstan
made a historic step when it
declared its sovereignty on
October 25, 1990.
Those years were noted
as great challenges to the people of
Kazakhstan as well as triumphs.
The people of Kazakhstan may be
proud of achievements of your country.
We are ready to work with
Kazakhstan to promote prosperity,
democracy and stability while we
are entering together
the new millenium.
- From the message of
DD: Eurasia Gold Corp. (EGX:TSX-V)
imo, Written by WennerGren @ St.H.