While we ponder on our next purchase I believe it is very important to address an issue I am seeing time, and time again when investors are factoring in the profit per ounce...and it is wrong.
Cash costs per ounce.
Most use the cash costs and then subtract this total from the realized price per ounce and conclude that this is the actual profit...not quite!
Click on the following for verification...it is a good read!
https://www.virtualmetals.co.uk/pdf/ABNGCQ111.pdf
Page four is very important..."Cash costs are only one component of total mine cost".
So...the next time you see...let us say $800.00 per ounce...cash cost...the actual total mining costs factoring in the "all in" costs which are many, will more than likely be closer to $1,000 to $1,100.00 per ounce.
All Mining Companies will differ depending on many, many factors and the point of development that they are at.
Something to consider...to be sure!
Digger144
P.S. Just waiting out a few signals!