buyers building gold pour soon, page-5

jesimore
you don't seem to be including the hedge in your calculations.

if there were no hedge then at a published cash cost of approx $550 per ounce and a gold price of $723, that would leave a margin of US $173 or at 66c to the US $ a profit of AU $262


You give a profit figure of 500 - 600 i am assuming that is AU $ that is US $363 so US $363 + cash cost's of approx $550 means you need a gold price of $913 ounce to achieve your profit of AU $550
The hedge for 2009 is for AU $1129 which is about US $745 take out cash cost of $550 leaves profit of US $195

I am happy to be proved wrong but that is what it looks like to me, if gold continues to drop it could get even worse, maybe that is some if only a little of the reason for the low price, add to that the outright fear at the moment and you may have your answer to the low share price.