Post by
tony1969 on Jun 28, 2013 10:23am
Just wait until the first couple of big producers say that...
they will cut production. This decline in the price of gold is about to be over but if that happens it will mark the bottom in gold. Several companies around the world have probably cut production already. All of the easy gold that was mined at a cost of $700 to $800 total cost has been mostly mined already. It is harder to find high grade, easy to mine gold today as a lot of it is way underground. I do not expect the cost to mining to go down from the roughly $1200 to $1300 average of miners around the world. Supply and demand never fails and I do not think that will change in this case.
Comment by
SPACEDOC on Jun 28, 2013 10:32am
This post has been removed in accordance with Community Policy
Comment by
tony1969 on Jun 28, 2013 10:47am
Hey Space they will be able to pull about 3 g/t gold during the first three to four years from OLE's ounces. I believe they can do about 150k ounces a year at that grade. That is good grade. With the way TGZ has their costs under control that should result in huge profits if gold stays around here and much mhigher is gold moves up from here.