Why Invest in Silver.....

Silver is a precious metal that is most widely used in industrial productions. Experts' reports have identified a global shortage of silver and this shortage will only get more significant with time. Annually, supply of silver is about 10% short of demand in the past 10 years. This has driven the price of silver to increase from USD4.50 /oz. in 2003 to the current price of USD30/oz.

The all-time high price for silver peaked on the 18th of January 1980 at USD49.45 per troy ounce. Three days later, on 21st January 1980, gold price reached USD850 per troy ounce. Gold / Silver price ratio was approximately 16 times.

The historic gold to silver ratio was set to approximately 1 to 16. That is, one ounce of gold is worth 16 ounces of silver. The average price for gold in the past two years was about USD1, 650 while silver sat at around USD30 making the Gold / Silver ratio approximately 50 times. Market analysts and experts said that the 1 to 16 ratio will return again as it always has throughout history. When this happens, silver will be worth a great deal more than it is today.

Therefore, many market analysts have concluded that the correct price/value for silver should be around USD100 per troy ounce.

Of course, nobody can forecast the future market with a 100% certainty but the trend is pointing towards a higher price in silver. Within the past 10 years, silver price has increased 6 folds. There is no reason not to believe that the price of silver will double or triple within the next 10 years.

While Virgin Gold is a conservative corporation when it comes to investing in profit generating operations, the management is strongly optimistic that our future investments in Silver Mining and Exploration ventures will proof to be very beneficial to our shareholders.