thought i would keep this on the cash cost...

thought i would keep this on the cash cost thread.

http://www.apexminerals.com/reports/ASXAnnouncement-230608-ApexcommitstoProjectDevelopmentatWilunaWilsons.pdf

here we see AXM forecasting recovery of 88%
and cash costs of the open pit ore at $625 with u/g at $478.

as we can see there is a fair difference in various forecasts but just as the costs have increased so too has the gold price since that modeling, from $A900 up to $A1140 odd hedged so the operating margins should still be in the same ballpark.



i also found this on another forum
"After selling the 25,822 ounces produced at A$689/oz Agincourt was left with a notional gross profit of A$54/oz"

this was dated november 06 so assuming costs of ~$635 and taking inflation into account AXM is not too far off the mark already. With that in mind I would assume they could make this much more profitable than Agincourt did.


any thoughts?