Bullboard - Stock Discussion Forum Sitka Gold Corp V.SIG

Alternate Symbol(s): SITKF

Sitka Gold Corp. is a Canada-based mineral exploration company. The Company’s principal business activity is the exploration for mineral resources in North America. The Company’s projects include RC Gold, Alpha Gold, Coppermine River, and Burro Creek. The RC Gold Project, comprised of the RC Gold, Mahtin, Clear Creek and Barney Ridge properties, is a district-scale, contiguous land package of 1... see more

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TSXV:SIG - Post Discussion

Sitka Gold Corp > Price of Gold is a Killer!

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Post by givemeabreak1 on Oct 05, 2023 8:39pm

Price of Gold is a Killer!

These low grade project are deadly without high priced gold! Current AISC of these projects is $1200 - $1400 an ounce! Now add to that the cost of financing and so another $250 an ounce you are in the $1450-1650 and ounce. Needless to say at $1825 there is no profit to be had. Rate of Return would be about the same as a Bank covered call lol!

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Comment by stockwatcher7 on Oct 06, 2023 9:22am

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Comment by Medici on Oct 06, 2023 1:41pm

Why single out low-grade projects? Same goes for high-grade projects.

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Comment by givemeabreak1 on Oct 06, 2023 2:51pm

MEDICI Low grade deposits are more leveraged to price. It is a pretty simple concept. Assume a high grade deposit with a total cost of 1000 and an 1800 gold price. Profit is 800 so if the POG rises to 2000 the profit moves from 800 to 1000 or a 25% increase. Now assume a low grade deposit with a total cost of 1600 and 1800 gold price the profit is 200 an ounce. If the ...more

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Sitka Gold Corp