RE:Newmont spends $US 700-800 millionphoenix_trader wrote: to get 150-200k incremental Au oz. Victoria Gold spends less than half for more production.
Tanami Expansion 2 (Australia) secures Tanami's future as a long-life, low cost producer with potential to extend mine life to 2040 through the addition of a 1,460 meter hoisting shaft and supporting infrastructure to achieve 3.5 million tonnes per year of production and provide a platform for future growth. The expansion is expected to increase average annual gold production by approximately 150,000 to 200,000 ounces per year for the first five years beginning in 2023, and is expected to reduce operating costs by approximately 10 percent. Capital costs for the project are estimated to be between $700 million and $800 million.
So Newmont posted Q1 results (as expected). Too bad they did not follow VGCX model, postponing Q1 earnings release... LOL
There is a big difference between underground mining and open pit mining when it comes to costs. However it all boils down to AISC and IRR. Newmont will deliver on both.
Victoria Gold keeps on "advertising" : "
Deep drilling has shown mineralization extends to +650m". It can extend even deeper, as they won't be able to open mine it economically as an open pit operation (strip ratio would be enormous) and an underground mine with the grade they have would not be feasible. Imagine an underground mine with the management team they have! They can barely run an open pit mine...
So, how good is that deep mineralization to shareholders? How much value is that adding to the stock price? Nil!
I call the useless information a filler...and that is a filler no question about it!
GLTA