First Majestic CEO Not a Fan of New Silver Fix

Speaking to Kitco News at the recent Denver Gold Forum, Keith Neumeyer, president and CEO of First Majestic Silver Corp. (TSX:FR,NYSE:AG), said he’s not a big fan of the new silver fix.

As quoted in the market news:

‘Any time you have a small group of people fixing a price, it’s prone to manipulation,’ he said. ‘There’s no change from how it was done before to the way it’s done now – it’s just a different group of players and now they do it on a computer.

Asked if senior silver producers getting together and creating their own silver fix would be an option, Neumeyer thought it was feasible, but tricky.

‘You need big players to do it,’ he said. ‘Silver’s a weird metal because you’ve got 70% production coming from base metal mines, and it’s just a by-product to them – they don’t really care about it.

‘For us, as a primary silver producer, I’d say it’s a good idea – get all the primary silver producers in one room, and there’s not many of them, and get them to fix the price.’

Click here to read the full Kitco News report.