Gold and Silver Juniors, Mid-tiers and Producers Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: marcos who wrote (59027)	4/23/2008 3:57:02 AM
From: Amark$p	Read Replies (3) of 78421

WGI-fuel = 25%, 12/13/07 news release "The increase in cost of sales from previous estimates is due to current higher fuel costs as well as increased royalty costs based on the current higher gold price. Fuel costs comprise approximately 25% of the cost of sales." Cash Costs forecast to be $410-$430 on 3/10/08, so let's give base case at $425. Oil was $100 on 3/10/08 and $120 now (20% increase). Thus, under base case $425, fuel = $106.25 The fuel increase of 20% adds $21.25 to cash costs thus $446.25 would be new WGI cash cost at $120/oil. One thing I cannot figure out is why you think fuel costs would rise by trucks driving slower. Driving slower should improve fuel efficiency... "having to drive slow and put on an extra shift, this alone ups fuel costs" FWIW, diesel appears to have gone from $3.50 to $4.20 which is also 20% increase. tonto.eia.doe.gov

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next