[Morthoron]

Originally Posted by Landroval

There are several reasons why Thranduil might not not have recognized a Silmaril. Thingol was very possessive of the Jewel and may not have allowed others to study it at great length. Thranduil and his father Oropher may not have dwelt in Menegroth aside from occasional visits. Thranduil might even have believed, as some here, that the lost Silmarils could not be recovered, and certainly wouldn't believe one might resurface in the east.

Again, this is conjecture which is not part of the story. For such a far-fetched theory as you present, there must be something more tangible than "might not", "may not", "may not" and "might". Besides, Dior, son of Beren and Luthien, wore the Silmaril openly in Doriath.

You completely ignore that the Silmaril would have to travel hundreds of miles in magma in the earth's mantle, beneath a massive mountain range with no purported volcanic activity, and then settle beneath Erebor sometime in the late 1st Age (again, no evident volcanic activity there either). It then becomes encased in rock (in a few thousand years), and then the dwarves cut facets into it:

The great jewel shone before his feet of its own inner light, and yet, cut and fashioned by the dwarves...

Which directly contradicts the description of the Silmarils:

Like the crystal of diamonds it appeared, and yet was more strong than adamant, so that no violence could mar it or break it within the Kingdom of Arda.

Daft.

Originally Posted by Landroval

Orcrist, while certainly not of the same value as a Silmaril, was an ancient Elvish weapon from the fall of Gondolin, yet the Elvenking allowed it be buried with Thorin.

Orcrist was Noldorin, from Gondolin. It played no part in the history of the Sindar (and the Sindar had little liking for the Noldor, in any case). The Silmaril and the Dwarves murdering Thingol was a pivotal piece of history for the Sindar, and although there is not a direct reference to the episode of the sacking of Menegroth, there is a decided dislike between Elves and Dwarves in The Hobbit. If Thranduil had the slightest inkling that this jewel was the Silmaril, given his temperment, he would have acted on his belief. But as I emphasize, these are elements that are not part of Tolkien's writing of The Hobbit. The Arkenstone was not a Silmaril; if anything, it was a Similar.

Originally Posted by Landroval

If Gandalf did recognize it as such and knew that by sharing that knowledge he would risk a new war between Elves and Dwarves over the Jewel, what motive would he have to reveal this knowledge?

One would think that the retrieval of such an item would be important for when Olorin would return to Valinor. A Silmaril carries the light of the bliss of Valinor. A Silmaril blazes on the brow of Eärendel as he traverses the sky in Vingilótë. This is not something you leave with a dead, and in the grand scheme of things relatively unimportant, Dwarf.

This is particularly true since Mandos prophesied that the world will be changed and the Valar will recover the Silmarils. A Maia under the direction of Manwe would be derelict in his duty to leave such a sacred relic behind. It is the most important item of the entire 1st Age of Arda, and utterly integral in healing the world at the end of time, when Feanor surrenders the Silmarils to Yavanna and she breaks them open and revives the Two Trees. But, again, none of this has anything whatsoever to do with The Hobbit. Which is the point, I suppose.

Originally Posted by Landroval

Out of curiosity, Morthoron, PPC member?

I have no idea what you are referring to.