Ian Smith Chief Executive of Newcrest replied to this question last night on Lateline Business. Case in point the attemted acquisition of Lihir shows that they are attempting to address the issue of declining gold reserves. http://www.abc.net.au/lateline/business/items/201004/s2863155.htm
"IAN SMITH: What weve got been doing is finding gold-copper and copper-gold deposits and expanding the size of those deposits, so over the next five years the percentage of revenue that we get from gold is at least 75 per cent.
In the five years after this initial five-year period, then the percentage of revenue that we get from gold starts to diminish, so we've really got a 6 to 8 year period where we can address the issue of whether our gold revenue percentage drops below 60 per cent - 60 per cent is the point at which people start to question whether you are a gold company."
LGL Price at posting:
$4.04 Sentiment: Hold Disclosure: Held
