------------------------------------------------------- "We've got lots of ways forward to control our costs or push it down over time," Mr Smith said. "We know in Australia the average cash cost for an ounce of gold is $US430 ($467). That positions us pretty well in relation to the rest of the gold industry."
Mr Smith said Newcrest should have something meaningful to announce on the mergers and acquisitions front within six months. It would be about the same time that the company hoped to fully close out its hedge book. "The fundamentals have changed where we can grow not only through brownfield development, but greenfield," he said.
Newcrest needed to buy another 622,000 ounces on the market to completely close out its forward sales contracts, which had totalled 4 million ounces. The run-up in the gold price had caught the company by surprise and future buying would be done "on the dips" of the spot gold price.
Hopefully some merger or acquisition activity will create some interest in the gold juniors in the next few months. Could this pressure GF to take a stab at CQT while interest is low in gold juniors?
CQT Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
