63.5% fe gained $1 to $122-124 per tonne, page-24

AGO costs can only be calculated when the company puts out a cashflow statement which they do every 6 months. Look at the January 2013 statement for the 6 months to December 2012.

Total Shipped = 3.34Mt (wet)
Cash receipts from customers = $285.459m (Page 13)
Payments to suppliers and employees = $287.211 (Page 13)

Subtract $287.211 from $285.459 = a loss of $1.752m or $0.52/tonne. That is the amount cash flow generated by selling each tonne of ore.

In terms of costs for that half (Page 16)
Mining = $77.755m = $23.28/t
Haulage = $50.541m = $15.13/t
Port = $38.342m = $11.48/t
Shipping = $33.895m = $10.15/t
Royalities =$22.352m = $6.69/t
Depreciation & Amortisation = $39.071m = $11.70/t

These costs on Page 16 do not include Exploration or Corporate, which given the size of their nice new office and the number of General Manager, Managers General, Managers, Sub-Managers, Directors (Executive and Non-Executive) will suck a fair amount of gravy from the train - adding approx $10/t maybe as much as $15/t.

The costs are likely to increase over time as grades decrease, distance to port increases, etc; and likley to fall if they can get cheaper haulage but no matter what there will be a capital cost to achieve this - and capital availability / utilisation is the number 1 risk facing the sector at the moment.

The above numbers do not include costs associated with stockpiled ore (mineralised waste) which is only taken into account when it is either (1) sold and costs are transfered from the balance sheet to the cash flow statement along with the revenue raised; or (2) written off because for some reason it is no longer considered ore and is regarded as waste.

When I look at AGO's balance sheets and cash flow statements they look "clever" and lack a certain transparency (IMHO).