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Gold/Mining/Energy : GEOMAQUE
GEO 14.58-2.3%Nov 13 4:00 PM EST

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To: Claude Cormier who wrote (157)5/17/2000 6:38:00 PM
From: TrueScouse  Read Replies (1) of 260
 
Claude:

Thanks for the response. Please excuse my ignorance, but how do you define cash flow for a junior producer? (I suppose I should know this after all these years!)

For example, at Vueltas del Rio, Geomaque aims to produce 60,000 oz in Year 1 at a cost of $169 per oz. With gold at $280 per oz and about 55 million shares, how do you estimate the cash flow? Is it based on the difference between the cost per oz and the POG -- e.g. $111 x 60,000 oz / 55 million = $0.12(US) per share? Or is it based on the gross revenue -- i.e. $280 per oz?

Thanks,
Howy
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