1. I used the total stock pile information. I ignored the the marginal ore as it is worthless. If you added it in the conclusion would be the same.
2. I show 2 examples. The first is to show the concept of stock movements in accounting the second applies to a mining operation. Read it again and you will understand.
3. I don't jump around in time. I move thru the qtly rpts in sequence as they contain the relevant information. Read it again you will understand.
4. I understand it is an average grade and it will vary across the stockpile. But if all you do is take tonnes away, the total cost should not go up.
5. The cost you dig a tonne of ore out for is the cost. It doesn't change or grow over time unless you add other cost to it.
6. I have no idea whether $6 is cheap or not, and I really don't care. What I do know is if you add another $6 to it, it is no longer as cheap at $12 as it was at $6. The question I have is why is another $6 added to it.
7. 90,000 0zs is not worth $1,313 per oz. You have to turn it into gold. If you put it thru the BDR plant and use the current understated costings you would loose $40M doing it.
8. Exploration has absolutely nothing to do with this calculation.
Take some time to understand what I am saying, it may save you some money.
