Worth repeating, as I have said before, Silverado Gold Mines production could be around $500/ton which would allow the company to mine at a profit, while the average production cost for the majors $1,100/ton. $900oz Gold will force the majors to mothball some of their projects while selling off the low grade projects in order to survive. With world wide high demand for physical gold soaring, Silverado Gold Mines could be among the few with a sign on the front door "Open for Buisness" selling the flavor of the day, high grade "Gold-Antimony" All the company needs to do is find the right financing to put the Nolan Creek project into production, and the world will beat a path to their front door!! GRIM REAPER's "DD" Work http://agoracom.com/ir/Silverado/forums/discussion/topics/579172-silverado-est-production-cost-500-vs-1-100-for-major-mining-companies/messages/1818780#message
Barrick Reassessing Its Mines After Gold Drops: Corporate Canada
Aug. 2 (Bloomberg) -- Barrick Gold Corp. plans to either sell, close or curb production at 12 of 27 mines as the world’s largest gold producer tries to bolster profitability after reporting the industry’s biggest write-off.
Chief Executive Officer Jamie Sokalsky is attempting to restore profit margins after gold tumbled 22 percent this year and had its steepest quarterly drop in London in more than nine decades. Operations from Peru to Papua New Guinea that have costs higher than $1,000 an ounce will undergo mine-plan adjustments or be closed or sold, Sokalsky said. The 12 mines under review account for about 25 percent of Barrick’s output.
“If you have a number of assets that aren’t making money at a certain gold price, then you have to deal with them, and that does mean less production,” Sokalsky said yesterday in an interview at the company’s headquarters.
Barrick also would consider taking on a partner to help finance its delayed Pascua-Lama project on the border of Chile and Argentina, Sokalsky said. While there have been conceptual discussions in the past, there are no talks currently, he said.
