I would imagine hedging would only cover a portion of the...

I would imagine hedging would only cover a portion of the resource. Enough to cover production and loan repayments. We would still get the benefit of higher gold prices for the rest and also insurance if gold declines.
After all would you not insure your house because there hasn't been a bush fire for 30 years.
Hedge contracts can also be bought out of at a later date.
I would rather have debt than further dilution.

Cheers