Perth Mint 10oz and 1kg bars not available?

Not as simple as it sounds
How long do you think it will take to find more people for the job.It could take months to find the right people for the job.
I don't think anybody here has worked in production of anything

 

It's very doable, they'd just have to train people up. Many people are looking for work.

 

...Months is ok, I wouldn't expect it to happen right away!

 

And than what do you do with the new staff as demand drops of slowly

Give them to boot & back on the dole for the new staff

 

Yeah, employ them and tell them what the circumstances are.

 

Basic Maths here..... Between the hours of 9 to 5 (8 hour shift), you could pour 1000 bars a day.

Demand goes to 5 times current supply (Not 40)

How many extra 8 hour shifts can you put in a 24 hour day.... The answer is strangely enough 2.

So if you have an increase in demand to more that 3 times shift capacity, putting on extra shifts is not going to solve the problem.

In the example above, with 5000 bars demand and 3000 bars capacity (in 3 shifts) , you are going backwards 2000 bars a day. Would you stop taking orders, or would you blindly ignore the problem?

Try and get hold of Vegemite flavored chips here.... You can't easilly! ... It's a conspiracy people

 

I wouldn't mind training and a patchy work cycle.

But I'd be working for a government department, and I wouldn't be able to live with the shame

 

Yep thats business.

 

Yes, we should not need to second guessing how the facility should be run properly, because if run properly the question never arises, but now after 112 year they can not even supply the market with 1 oz gold bars.

 

I can see now that it may not solve it completely but we'd the 'temporarily unavailable' message less often.

 

It wont solve the problem but it will alleviate some of the backlog.. It seems they are doing nothing .Doing something is better than nothing . Your numbers are just an example & not the true numbers so how do you kinow if tripling the production will not bring it up to speed ....you dont its just numbers you plucked out of thin air.
Vegemite chips now thats a great idea !!!

 

Senior Perth Mint employee:
"Guys, we need to call Germany...tell them we need another"
http://www.perthmintbullion.com/blog/blog/11-03-31/New_Coin_Press_Delivered_Through_The_Roof.aspx

 

I try and put myself in the shoes of a Perth mint director who makes these decisions.

It would be a huge investment in hardware to purchase additional/expand minting facilities?
The payback timeline of this equipment would be substantial, 3 years to pay of at least given the small premium on products.

Despite recent surges in physical the is NO guarantee this will last, particularly given the volitility, plenty of weak hands have been shaken out of the silver game forever, many more are waiting to sell out at break even $40+

Do I make a huge capital investment on the chance I may not pay it off for 10 years rather than the 3years I originally predicted?
No is my answer.

 

You are joking arent you ? the premiums they charge per coin times the amount of coins minted & sold not to mention the processing fees for refining the profit from bar sales etc they could pay for it in a lot less than 3 years. They made enough from the dragons in 2 weeks to pay for it.

 

We are discussing bars and the facilities to make them.

 

Perth Mint must have made fortunes when the price rose back in April/May.
As must have most mints.

Price drops like crazy and they are still in the profit.
Makes you wonder about the true production costs.

Either way they must be doing fine, profit-wise.
This is without going into numismatics.

 

I am not doubting Perth mints profits are reasonable, what I am doubting is their managements conviction in the sustained increase in demand for physical bars over the next 5 years. Their perspective of the market must not warrant expansion IMO.

This is reflected by the fact they are not ramping up production to the tune of huge outlays in hardware and personnel.

I think it's a reasonable position to take.

 

We could have a whip-round for 'em and get our camping stoves out, no?

I'm sure wifey's got some of those muffin trays somewhere...

Sausage sizzle for Perth Mint anyone? (!)

VRS x

 

& a chook raffle :

 

How about storing silver in 10 oz and 1kg bars from now on, instead of having "1,000oz bars coming out the ears" as they have stated before...

Don't worry about demand being 40 fold in a day because you have been pouring bars for the past 10 years, and storing the metal in convenient form which can be sold if extra demand comes!