jade, I understand Wiluna is a high-cost operation (running BIOX...

jade, I understand Wiluna is a high-cost operation (running BIOX etc) anyway - meaning it is particularly more sensitive to POG than others. Then you have fixed/variable costs. Owner miners (eg AXM, Barrick etc) GENERALLY have high fixed & moderate variable costs as they pay off the gear. Contractor-run mines (most juniors) typically have low fixed costs and high variable costs due to the mining contractor owning the gear. (Pls note that this is a very general assumption/statement - every operation is different!!).

BUT more oz out at the same fixed costs = lower cost per ounce. I think this is what would get highlighted if they managed to get more oz out of the ground for the qtr.

Correct me if I'm wrong but I think the senior secured notes or whatever was debt as well? Hence paying off debt with the 100 mill resulted in the big outgoings. As such this qtrly shouldn't have those big debts being paid off.

lastly in respects to a hedging example
Hypothetical gold mine - cost of production = $800/oz.
POG = $1000/oz, therefore profit of $200/oz.
Let says they hedge @ $900/oz, hence $100/oz profit.
Then you have CAH which hedged at $1500 or $1550 or something crazy like that, laughing all the way to the bank!