Well under 1000 is survivable because management at Medusa are working to amortised their new shaft and get the power station up and running, which would bring down our AISC. Let us not forget about the coal and copper credits working for us at our gold mine. Rreally, talk of a sub 1000 pog is unnecessary as we have just seen our aisc was below the recent low in the price of gold and then we rallied with the price of gold. Despite not making a loss, volatility goes our way too. If the price of gold does dip sub our all in sustaining costs we do have debt facilities that should get us over this bumpy patch, which has indeed proven bumpy for other sectors. I believe that our bumpiness was caused by investors having diverse portfolios as well as gold. This would have created a liquidity vacuum in our sector to offset margin losses in other sectors. Hell, it could have even been profit taking because we did rally to 56c. Personally, I have chosen the tax route by holding shares in anticipation of a 50% capital gains tax break so I hold my shares for a year. It was either that or trade as a business and offset the loss against property and income tax.
MML Price at posting:
49.5¢ Sentiment: Buy Disclosure: Held
