* The company reports all in cash costs of approx. $80 AUD/T. * Average 58% Fe price for quarter would be $120-125 USD/T. * AGO would be receiving approximately $110 USD/T accounting for lower grades, impurities, moisture etc. * Which is approximately $120 AUD/T allowing for average exchange rate of 0.92. * Assuming AGO shipped 2.5MT in the quarter, you would expect a profit of 2.5MT x $40/T = $100,000,000.
I expect the profit will be substantially less and the quarterly report will not be transparent to shareholders on where the profits have been spent. Happens every quarter.
AGO Price at posting:
97.5¢ Sentiment: LT Buy Disclosure: Held