What's next for TNR?, page-23

Redking, very true pog is very important, the present pog has leed to an exploration boom because many closed mines on a lower pog are now profitable.

The pog will rise because mine costs rise each year to produce an oz.

If we go back 20 years, costs were around 300 per oz, now around 1100 per oz.

If pog does fall, exploration will slow and many new mines will not get green lighted.

That will cause pog to rise as supply will not meet demand.

Either way pog has to rise, or new mines and supply won't be there when present tier 1 resources are finished.

At the moment, recycled gold is given very large tax breaks because new gold does not meet demand, to entice recycling.

If we take out recycled gold, we have a shortage of gold.

In the short term, gold is used to back bonds, debts, but long term 10 years plus, we have a supply issue.

I can see gold being 10k an oz over the next decade.

Imagine when kalgoorlie, telfer, Boddington, cardia close?

Will happen within 15 years, unless pog higher to get 0.25 to 0.5g per tonne.

There are millions of ozs at that grade to extend life.

Eventually the world will need to mine lower grades.

If we don't were do we get new gold from in bulk?