Ann: Beacon Enters into Forward Gold Sales at $2,715 per Ounce, page-76

In a high price inflation environment like we are in now, you want to lock in your expenses, not your sales. In the next six months we can expect labour, electricity, petrol AND gold to all go up because central banks are creating more currency as monetised debt and necessarily it means more fiat chasing finite commodities hence the upward price movements across the board.

Really basic economics... in a deflationary environment you lock in sales, and when all good and services are going up to the tune of 10% PA you wait till the last possible moment to sell to maximise sales.

We should be in debt as debt is cheap, and we should be unhedged knowing that all costs are going up moving forward so any expenses will need to be checked by an increased spot price on the gold we sell. Obviously this strong secular bull market in metals has peaks and troughs on the way up but the trend is up..

In conclusion, dont hedge -- if you are a gold bull - you will understand it has continued to go up as paper money has lost its purchasing power.. just never in perfect chronological. correlation.

RE: Hedging for a better sleep at night... i was thinking that managment will get nightmares when Gold goes over $3000 AUD this month.. i dont think shareholders would of hated on the board if they were unhedged and it went back under $2000 as that is what we wanted.. not this.. no SP upside now we lost a huge chunk of Spot gold upside here i wonder how much boring it can get (to limit any new investment!) - i am shopping around for a better goldy now that is unhedged so i can actually get exposure to a miner raking in supernormal profits.

RE: Forward buy petrol - yes this would of been smart.... if you can forward buy electricity, staff etc.. do it.. lol, if anyone is that dumb to forward sell any good or service in a runaway monetary global collapse.

Last thought -- surely our board didnt watch Cramer when he said gold went up due to Russia and they belived it and did a late night hedge bet and lost with a rush of blood? No one thinks gold is up due to Russia invasion do they? If so poor understanding of economics indeed.