Talisman Excited About Increased Chinese Demand for Gold
TOPEKA, Kan., Sept. 28, 2011 /PRNewswire/ — The management of Talisman Holdings, Inc. is growing increasingly more comfortable about its entry into the gold market. Not that it needed a boost of confidence, but Chinese gold activity in recent years serves to confirm the decision. For the first time, the demand for gold in China was so strong it outpaced the combined total of the developed West during 2010. This buying demand is putting a strain on availability, and makes this Company’s gold concessions even more valuable.
From 2007 to 2010, gold investment demand in China grew at a compounded annual growth rate of 68%. The origins of this growth can be traced back to the late 1980s when the government began lifting restrictions on gold ownership. Then, in 2001, the government lifted its final controls on the gold market, igniting one of the greatest booms in gold history. Recently, the government and state banks encouraged citizens to purchase gold and initiated gold purchasing programs.
The statistics are astounding:
- China’s demand for gold jewelry has increased from just over 500,000 ounces in the late 1980s to over 12 million ounces at close of 2010 (despite skyrocketing gold prices).
- On a per capita basis, per capita consumption of gold in China has more than doubled since 2005.
- The total amount of household savings invested in gold has grown from about $200 billion in the late 1990s to $1.2 trillion in 2010.
- The total savings invested in just the first quarter of 2011 is equal to the total amount invested in 2004, and more than the previous six years.
A Chinese management fund said, “Gold has taken on a new role in China amid concern about inflation . . . Just imagine the total wealth in China and even a small percentage of that choosing to buy gold. This demand is going to be enormous.”
David Lang, Talisman President, said: “This strong Eastern demand for gold is good news for everyone in the business. In terms of gold consumption per capita, China and India have tremendous catch-up potential and we believe this impact on gold prices will be dramatic. We are well positioned to take advantage of this demand.”
About Talisman Holdings:
Talisman Holdings, Inc. (TMHO:PK) is a highly innovative holding company built on the belief that the world’s greatest potential for financial growth lies in emerging companies. Talisman Holdings finds undervalued small and microcap businesses with breakthrough products, services and technologies and delivers the equity, financial guidance, strategic counsel, consulting and business functions they need in order to succeed in the public marketplace. Taking an ownership or equity stake in standout emerging growth companies creates assets and drives shareholder value for Talisman Holdings, and the diversified holding company organizational structure and range of industries provides diversity of risk. For more information please visit Talisman’s website at www.talismanholdings.com.
This summary contained forward-looking statements within the meaning of the “safe harbor” provision of the Private Securities Litigation Reform Act of 1995. These statements address future events and conditions concerning the company’s business plans. Such statements are based on management’s current expectation and are subject to a number of factors and uncertainties, such as future economic conditions and changes in anticipated revenues and costs, which may cause actual results to differ materially. The company expressively disclaims any future obligation or undertaking to update or revise any forward-looking statements contained herein. Investors and potential investors should independently investigate and fully understand all risks before making investment decisions.
For more information contact us at:
Talisman Holdings, Inc.
3101 Southwest Shadow Lane
Topeka, KS 66604
Phone (785) 357-1055
Fax (785) 357-1105
SOURCE Talisman Holdings, Inc.