Well if that error of commission is to be crtiticised, what about the error of omission? Regis failed to hedge when the gold price was at AUD 2850 in Aug 2020 and then close at AUD 2200 in March 2021. 500,000 ounces would have netted $325 million in just half a year (without even the need to turn a sod). Why didn't they do this? because they had no idea of knowing what the gold price would do, exactly the same reason they did hedge earlier on.
So from that we can conclude that they undertook the hedging to mitigate risk, not because they were predicting the gold price.
We know that companies use hedging as a risk minimisation tool not a predictive play because when the gold is mined it is converted into cash. If companies believed that the gold price could only go up they wouldn't sell their bullion. If the gold price could only go up then it would be foolish to hold cash, or pay dividends for that matter.
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