Regarding concerns of - costs, grades, and production ozs, I suppose you would have to consider the question of "why did the board and management outlay $millions to unhedge their forward gold sales if they were not certain of producing enough at a profitable enough level to warrant the outlay to unhedge- in order to capture a better price"?
Then again, it just struck me while writing that- that if they suspected that production will not be sufficent to supply to hedging contracts, it would be far safer to unhedge all contracts, wouldn't it? Otherwise, they face the risk of having to buy gold at market to supply their hedging contracts. A recipe for disaster.
I thought the hedging they had in place was at a reasonable price anyway and did wonder why they did away with it when it was still hedged at a higher price than the current gold price.
Any comments on the above, I'm not so sure on what they are up to now?
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