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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Ron Everest who wrote (36072)	6/28/1999 6:33:00 PM
From: Enigma	Read Replies (1) \| Respond to of 116752

Ron and Exrch - thanks for all this. Will anyone read it - or are we dealing with rigidly fixed minds?

To: Ron Everest who wrote (36072)	6/28/1999 8:56:00 PM
From: long-gone	Respond to of 116752

<<Can't imagine that many other producers are not following this model exactly the same way.>> From what I find not all are borrowing, rather, some are forward selling from their own mined inventory.

To: Ron Everest who wrote (36072)	6/29/1999 4:03:00 AM
From: paul ross	Respond to of 116752

Sounds a lot like we can eat our cake and have it too. >>>> The average yield in the money market these days for the term of our hedges is 5.5%. By choosing the investment vehicles ourselves, we are currently earning about 7.5% interest instead.<<<<< This has worked quite well in a declining interest rate environment. >>>> Barrick could have an opportunity cost if the spot price of gold consistently exceeded the rising price of our contracts for the next 10 years. However, this is unlikely. Gold has never consistently risen in price and stayed there. It is a volatile commodity.<<<<< Ah, stranger things have happened.