Gold Drops Below Its Average Cash Cost

[jeff of pa]

I wonder if this will affect the production of Gold shows on TV

the cash cost of production of gold (90% percentile) in 2013 was estimated at $1300 including capex. Which means that as of a few days ago, gold is now trading well below not only the cash cost, but is rapidly approaching the marginal cash cost of $1104... Which means that one by one, the mines which make up the gold cost curve, production is going to go dark, even without the recent demand by South African gold miner labor unions to have their wages doubled. Until eventually virtually no gold will be produced.


The Soft Cost Curves Of Hard Assets: Where The Cash Flow Hits The Road | Zero Hedge

 

[Aufisher]

Time for me to start digging faster!

 

[Alex Burke]

Thousands of years as currency, why stop now? Especially now lol.
http://www.cnbc.com/id/100641133

 

[GrizzlyGremlin]

Very interesting to see. The history of gold shows that this drop will be followed by a sharp increase. Dig... I said DIG!

 

[golden ray]

Gold will, & always has had its ups & downs.
My advice to prospectors is to keep digging,
BUT, hold onto your gold. Some of the larger
mining companies hold back a small percentage as a policy, knowing
that in the future gold will increase in price.
( beer is another good investment, yet hard to hold onto ! LOL )

 

[Fullpan]

The couple ozs of gold I saved when I dredged was worth 4 1/2 times the value a year ago - now its worth 3 times value. Still not bad.

 

[Alex Burke]

Yes the best thing that could happen for small time prospecting is if big companies all quit lol. I call shotgun for all Rio Tinto's claims

 

[Fullpan]

Dibs on Newmont and Barrick!

 

[UncleMatt]

Or better yet, perhaps motivate some people who filed new claims in the last few years to abandon them or sell them cheap. I went to make plans for my upcoming prospecting vacation, and huge chunks of territory had been claimed with new filings in the last year.

 

[gold tramp]

still beats trying to makeup an ounce for 300..........
hope the Chinese leave the Dale I got my eye on a few pockets id like to take out!!!!!!

 

[Dustedyou]

I'm down Tramp^ ready for the slow boat.. a hard dig, and a slow grind... OO wait can we stop in Thailand? Pattia or Bangkok?

 

[golden ray]

FULLPAN, are you trying to jump my Newmont claim. !
Stop being so greedy. LOL

 

[Fullpan]

FULLPAN, are you trying to jump my Newmont claim. !
Stop being so greedy. LOL

My plan is to fill all their open pits with water and get gov't grants to bring world tourists in for water parks. Its a no brainer, right?

 

[TerryC]

Very interesting to see. The history of gold shows that this drop will be followed by a sharp increase. Dig... I said DIG!

BUY.... I said BUY!!! TTC

 

[TerryC]

Or better yet, perhaps motivate some people who filed new claims in the last few years to abandon them or sell them cheap. I went to make plans for my upcoming prospecting vacation, and huge chunks of territory had been claimed with new filings in the last year.

The "Massey" bunch have been claiming-up everything around Rich Hill, AZ Better hurry! TTC

 

[TerryC]

If I do this right, you should see the two-page filing on file in Yavapai County. Put the cursor over the document and "click" on the minus sign till it is small enough to read. TTCView attachment 2013-0019045.pdf

 

[Fullpan]

If I do this right, you should see the two-page filing on file in Yavapai County. Put the cursor over the document and "click" on the minus sign till it is small enough to read. TTCView attachment 823827

It comes up just fine on my pc - congrats!

 

[UncleMatt]

The "Massey" bunch have been claiming-up everything around Rich Hill, AZ Better hurry! TTC

They can have that, I am focused on SW Colorado. Even a lot of areas where old treasure tales are centered have been filed on in the last year.

 

[BuffaloBob]

580 tons of gold purchased in the past two weeks. Someones is getting rich but probably not us. The game is rigged.
BS

[h=1]Maguire – Massive 580 Tons Of Gold Purchased In Just 7 Days[/h] Posted on 06/30/2013

Today whistleblower Andrew Maguire told King World News that Eastern Central banks have purchased a staggering 580 tons of physical gold in just the last 7 trading days. This means Eastern Central banks just purchased a stunning 25% of the world’s annual gold mine production in just 7 trading days. This was the largest purchase of physical gold during any 7 trading day span in history. Maguire, who recently appeared in the CBC production “The Secret World of Gold,” also discussed the brutal takedown in the gold and silver markets as well as the disappearing inventories in part one of a series of written interviews that will be released today.

Officials have not been selling any physical gold for many months now….
“However, by manipulating the gold price lower through the foreign exchange interventions, they’ve succeeded in forcing 600 tons of ETF redemptions, COMEX capitulation, and drawn in an unprecedented level of fresh managed money short supply. This has now successfully allowed the bailout of the bullion banks to the point where they have been able to get net long (gold) futures. The two primary bullion banks that we all know about are net long.

 

[Dustedyou]

Chevron is and has bought up Molycorp, and has now staked out 17 square miles of claim in northern NM,, Im gonna buy an abandoned claim up there had good values .. 8) looking at 60 acres of summer fun and 3 mine shafts from the 1930's