RE: Freddie18 Mar 2022 18:46
Hydro the AISC will rise. GGP and NCM are not immune to rising prices. The cost of machinery, labour, equipment hire, energy… as they rise so will the AISC. It’s not a problem as I said, focus on the net margin/profit. Use $1,000 an ounce as a base, if that rises to $1,500 = 50% increase, $2,000 = 100% increase and so forth. Both scenarios lead to massive SP re-rates. IMO it is untrue to write the gold price will rocket to $5k however the AISC will reduce in response. Labour in Oz is not costing less. Each input cost in the mining game means AISC increases but like I said it’s the net margin that matters most.