The perfect gold age
The higher the gold price, the more gold companies earn when they sell their gold on the market. It is also worth taking a look at the costs of gold production. The lower, the better. On average, the All-in Sustaining Cash Cost (AISC), i.e. the total cost of the grant, is between USD 800 and USD 900. High gold price and low AISC will be an advantage for the investor.
More than 3000 tons of gold are mined worldwide every year. According to the World Gold Council, the figure for 2018 was 3,346.9 tonnes. Since gold production volumes were recorded, 193,472.4 tonnes of gold had been mined worldwide by the end of 2018.
Gold deposits in South Africa have the highest gold density. The Republic of Zimbabwe borders on the Republic of South Africa. This is where Caledonia Mining - https://www.youtube.com/watch?v=JyshOSN-5cs=26s - is - based, a gold company that has been successfully producing for years. The participation of local investors ensures acceptance. In the first six months of 2019, the AISC amounted to USD 797 per ounce of gold produced. They have fallen as a result of lower dismantling costs (low electricity costs, devaluation of the Zimbabwean currency). Administrative costs are also low and sustainable investments are benefiting. Gross profit in the second quarter of 2019 was 37 percent higher than in the same quarter of 2018.
Steppe Gold - https://www.youtube.com/watch?v=eSK2un88uzU=8s - with its Tsaagan Ovoo gold mine in Mongolia (almost 5,500 hectares of land) also scores with very low costs. The start of production will take place shortly. When gold production is fully up and running, 150,000 ounces of gold is expected to be produced annually. The AISC are estimated at only $400 per ounce of gold produced.
Current company information and press releases from Caledonia Mining (https://www.resource-capital.ch/de/unternehmen/caledonia-mining-corp/) and Steppe Gold (https://www.resource-capital.ch/de/unternehmen/steppe-gold-ltd/).
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