will pop, page-82

mate i think the hedging has turned out to be not as bad as some of us initially feared it could have been.
Gold hasn't popped and the USD is all over the shop.
It may just work in our favour but all in all someone running the ruler over AXM can do so with a firm figure in mind knowing that a certain profit is locked in so in that respect its probably a good thing at present.

The good thing about the hedging is only 75k ounces have been forward sold and that was at $1140oz. Still a good margin there.
The following two years have provision for put options at a price of $952/oz. This eliminates downside risk but still gives us potential exposure to some of the upside. But the GUP notes will take 30% of any price above $1100oz up to 500k ounces, this expires by august 2012.