View Single Post
  #116  
Old 02-07-2010, 06:55 AM
kato13's Avatar
kato13 kato13 is offline
Administrator
 
Join Date: May 2007
Location: Chicago, Il USA
Posts: 3,350
Send a message via ICQ to kato13
Default

Quote:
Originally Posted by Legbreaker View Post
Do we need the oil or is ore enough?
I'm leaning towards the latter.
Of course it is your call, but I don't think the revenue would be enough.

Total gold production in 1985 was ~1500 metric tons.
http://goldnews.bullionvault.com/gol...rica_020620082

Lets say the Russians could add 30% of top of that (much more and they depress the price too much). Given 1985 Gold prices that comes out to about 3.8 billion dollars (450tones X 2200 lbs X 12 Troy Oz X 317 dollars per ounce).

Oil on the other hand had 22 billion barrels consumed (in 1985) at an average price of 20 dollars per barrel in 1988 (when they can start selling). If the soviets could get even 10% of the world market they get 44 billion dollars.

I kinda use the gold for the quick dough to build the infrastructure but the real income comes from oil.

Edit.
Just wanted to note that the above numbers reflect gross numbers and moving 450 tons of gold would incur no where near the expense of moving 2.2 billion barrels of oil. Net profits would not show the full disparity listed above.

Edit:
Just discovered that IRL in 1986 the USSR hard currency debt was around 30 billion dollars.
http://countrystudies.us/russia/67.htm

That actually makes me feel even better about my timeline with a full payoff being completed in mid 1989
1984 1.2 billion
1985 1.8 billion
1986 2.0 billion
1987 2.2 billion
1988 10.2 billion
1989 16.5 billion

Last edited by kato13; 02-07-2010 at 08:18 AM.
Reply With Quote