I copy your post below . Nothing wrong with giving you Newcrest as an example of what can happen with hedging . Also you must be short of research as in the Newspaper to day is OGD , Oceana Gold. I suggest that you open your eyes when you awake and look at what hedging did for them . No need to hedge . Best to raise equity if there is the potential of a rising Gold Price . Come off it cdchi. I have now mentioned to you another example. B2 Post #1065340 - in reply to msg. #1062669 - splitview
LOL
Gotta lov B2's example using Newcrest...a billion dollar+ company...in comparison to a junior.
Err yeah...
If Newcrest is dumb enough to develop projects (Telfer) where costs are close to or higher than the hedged price, then thats their stupidity. The point being, the project probably should not have been developed in the first place!
IGR will be hedging well above their stated op costs of $538 (plus overheads). This protects against downside (albeit unlikely) in the gold price.
B2 please provide a relevant example next time or just be quiet and stick to your charts.
Cdchi1
IGR Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
