jesimore you don't seem to be including the hedge in your calculations.
if there were no hedge then at a published cash cost of approx $550 per ounce and a gold price of $723, that would leave a margin of US $173 or at 66c to the US $ a profit of AU $262
You give a profit figure of 500 - 600 i am assuming that is AU $ that is US $363 so US $363 + cash cost's of approx $550 means you need a gold price of $913 ounce to achieve your profit of AU $550 The hedge for 2009 is for AU $1129 which is about US $745 take out cash cost of $550 leaves profit of US $195
I am happy to be proved wrong but that is what it looks like to me, if gold continues to drop it could get even worse, maybe that is some if only a little of the reason for the low price, add to that the outright fear at the moment and you may have your answer to the low share price.
AXM Price at posting:
22.5¢ Sentiment: Buy Disclosure: Held