At the hedge price of A$230, cost base is 45% so they hedged to that extent. Provided the iron ore price remains above zero, the price received on the remaining 55% of output is pure margin. It'll fluctuate, but any output over that time period is profitable due to the hedge.
I don't know how you arrive at a capital preservation strategy with the knowledge they've hedged out the cost base?
At the hedge price of A$230, cost base is 45% so they hedged to...
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Last
27.0¢ |
Change
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Mkt cap ! $194.5M | |||
| Open | High | Low | Value | Volume |
| 27.0¢ | 27.8¢ | 26.5¢ | $481.2K | 1.764M |
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| No. | Vol. | Price($) |
|---|---|---|
| 9 | 1008877 | 26.5¢ |
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| Price($) | Vol. | No. |
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| 27.0¢ | 239848 | 3 |
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| Last trade - 16.10pm 08/11/2024 (20 minute delay) ? |
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