THE price of gold has been relatively volatile in the last year ranging from US$1189 (K2,950) to US$1417 (K3,516), St Barbara said.
The company has ‘hedged’ 153,000 ounces of future gold production at A$1415 (K3,282) per ounce giving certainty to the revenue it will receive on those ounces.
This meant St Barbara will receive A$1415 (K3,282) for 153,000 ounces of future gold production, protecting St Barbara should the gold price fall below A$1,415 during this time.
Conversely, it said it will not benefit should the gold price rise above A$1415 during this period.
Port Moresby (The National)