The silver price has been hovering just below the $21 per troy ounce level for the last 24 hours after jumping above the $24 level in mid-January. Long-term and conservative forecasts predict that silver will reach $30 by 2025 and $40 by 2027, but Keith Neumeier, CEO of First Majestic Silver, believes that in the medium to long term, thanks to the auto industry, silver could reach $125 per ounce. He believes that.
Keith Neumeyer emphasizes silver’s role in the growing demand for renewable energy and electric vehicles
The precious metal silver has fallen more than 12% against the US dollar since mid-January when it reached $24 per troy ounce. Still, six-month statistics show that an ounce of silver is up 14% since September 6, 2022, and according to aforecastby coinpriceforecast.com recorded on March 6, 2023, the price of silver “will reach $30 by mid-2025 and by the end of 2026 reach $40.”
The forecast also predicts that silver will rise to “$50 by the end of the year 2028, $60 by 2030, and $75 by 2032.” Although growth over the next decade will be modest, silver advocate and CEO of First Majestic SilverKeith Neumeierhas a more bullish outlook.
Neumeierspokewith Michelle Makori, lead anchor and editor-in-chief of Kitco News,at the BMO Global Metals, Mining, &Critical Minerals Conference. Silver proponents’ outlook for 2023 is roughly $30 per ounce, but the medium- to long-term outlook is $125 per ounce.
Neumeier said that for the first time this year, he noticed automakers in attendance. Neumeier expressed the view that automakers are “not very aware of the fundamentals of supply and demand for metals.” He also stressed that Tesla CEO Elon Musk should be watching this space closely.
“If I were Elon Musk, I would be very active in this area,” Neumeier said.
Neumeier emphasized that silver is needed to make solar panels and car batteries, and that he believes this consumption will continue to grow. In a conversation with Makori, Neumeier said that he has been predicting for several years that silver prices would reach triple digits in the medium to long term, and that he believes that reaching $125 to $150 per ounce is a reasonable expectation.
He also believes that the “stars are lining up” for this prediction to become a reality, and that we are closer to that than we were a few years ago. Neumeier told the newscaster that silver consumption in the solar panel industry is estimated to be 160 million ounces by 2023. He added that the electric vehicle sector is expected to consume just under 100 million ounces of silver.
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