NSH, obviously I haven't stated actual values for rises in costs...

NSH, obviously I haven't stated actual values for rises in costs etc, but I again re-iterate - you have quoted a future gold price in $US (which may or may not arise). Assumiong it does arise, you have just quoted cash costs in $Aus. Further, you have quoted target costs at the end of this year. So we have a mix of currencies and time frames with targets and forecasted gold prices. To me, this is not credible anaylsis. To some degree margins might improve, but not to the extent that is being suggested.

You've also got to weigh in other market forces, ie the market of Gold Producers who will be wanting to benefit.

As I've said, to speculate profitibility on so many questionable variables is not prudent. Even if things go the direction you describe, the market will factor in risk for a change in circumstance. Ie the SP will likely incorporate discount for risk.

Agree, Gold is influenced by other factors other than currency. That doesn't change the basis of my argument or conclusions. The currency issue was raised by other posters initially.

Gold bullion or low-cost producers are the way to go. IMO of course!

Each to their own, good luck to you, I hope you make lots of money.

Cheers