yes ...
(I am not an expert)
BUT CAUTION - CAUTION
In accounting the terms "cash cost" or "operating costs" can be very rubbery in meaning.
Does it include amortization, maintenance and depreciation on equipment ?
Does it include "sustaining reinvestment costs" which in this case will be mostly the cost of on-going exploration ?
Does it include offsite management costs ?
Does it include government royalty costs ?
Does the price of gold use the minted gold price or the price at which the crude gold bars are sold to the mint ?
You get an idea of the real profitability of a mine in hindsight of a track history from the EBDITA (earnings before depreciation, interest, tax and amortization)
Even then you have to look closely at what is actually included as costs in the EBDITA.
Can those with more accountancy wisdom please comment.
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