gold nuggets
Josh Wolfson, Vice President, Senior Mining Analyst at Dundee Capital Markets did an excellent presentation at PDAC on the topic “Observations with Respect to Grade in the Gold Mining Industry”.  Mr. Wolfson hit on the topics of grade trends, grade economics, as well as provided case studies on the impact of grades on valuation.
The study used data from 153 mines from 23 public companies. Ouput by company ranged from <200,000 to 5 companies over 2 million ounces. Mine type varied from open pit, heap leach, to a combination of the two.
In the last 9 years the reserve pricing used for 5 senior producers has gone from $365/oz to $1,200 ounce (+230%) while the gold price has only increased 184%. Mr. Wolfson found in the last 10 years the average reserve grade has decreased by 35%...
Quelle: dundee.com, ceo.ca