Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Bullboard - Stock Discussion Forum Luna Gold LGCUD

Luna Gold Corp was incorporated under the laws of the Province of British Columbia, Canada, on June 24, 1986 under the name Belcarra Resources Ltd. The Company is engaged in the business of mineral exploration, mine development and mine operation. It explores, develops and operates gold properties in Brazil. The Company currently has one producing gold mine, several brownfields exploration... see more

OTCPK:LGCUD - Post Discussion

Luna Gold > playing silly games
View:
Post by materialsgirl on Oct 11, 2014 2:58pm

playing silly games

The search for strategic alternatives is always a red red flag as all of you know

LGC has given guidance for 2014

Cash Costs per ounce of US$825 to US$900 ( from US$690 to US$740)
 All In Sustaining Costs per ounce at Aurizona of US$915 to US$1,010 ( from US$800 to US$900)

The all in sustaining cost 

1 looks awfully suspicious in that it is not much higher than the cash cost
2 they admit to tom foolery by describing it as "at Aurizona" without providing any information about corp expenses, interest expenses and a whole host of intentionally omitted costs

The all in total costs for the company may well be $1,300 to $1,400.    I do not know and they do know but they are not revealing it.  It is a secret for their eyes only.

Cash cost is meaningless in itself
AISC is meaningless in itself

Investors need to know the break even point for the company so that we can then predict profit at various gold prices.  Typically $50 to $60 would be the net net profit for each $100 rise in the gold price.   It would mainly depend on the royalty rate if it is a percentage basis and on the country corporate tax.

No wonder investors are retreating from investing in gold mining companies

Shame on them (the minere I mean, not the investors)

mat
Comment by Streicher on Oct 25, 2014 8:26am
Have to agree. Clearly all offshore costs are excluded.  As to income, it is less than $1100 per ounce at the current gold price after the Sandstorm offtake. What about the much vaunted expansion project which was designed to increase production and lower unit costs?   How much has been spent on it with no result?  I believe the original project which was designed for the ...more  
The Market Update
{{currentVideo.title}} {{currentVideo.relativeTime}}
< Previous bulletin
Next bulletin >

At the Bell logo
A daily snapshot of everything
from market open to close.

{{currentVideo.companyName}}
{{currentVideo.intervieweeName}}{{currentVideo.intervieweeTitle}}
< Previous
Next >
Dealroom for high-potential pre-IPO opportunities