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Old 08-07-2015, 11:28 AM   #1
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Mining companies and low PM prices

I was doing some research on mining companies and ran across this article on silver mining:
http://seekingalpha.com/article/3414...massive-change

I was struck by this quote:
"Right now under $16 an ounce most businesses in the sector simply won't survive. They are cutting costs as much as possible."

For me, the strongest bullish indicator in commodities is when the price of a commodity falls below the cost to mine/harvest/produce that commodity.

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Old 08-07-2015, 01:48 PM   #2
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If I were a mine owner, I'd say to hell with forwards and hedging, I would close the shafts and lay everyone off. When the shit stops coming out of the ground, the banksters will be put on notice to stop their shenanigans.
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Old 12-09-2015, 02:50 PM   #3
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http://seekingalpha.com/article/3745...old-price-fall

"In Q3 2015, globally, the consultancy reports that gold mining total cash costs (TCC) averaged $652/oz..."

"If one looks at the industry in the light of the stricter All in Sustaining Costs metric, at the industry average of $836/oz, Metals Focus reckons that around 15% of the industry was loss making at the Q3 average gold price of $1,125/oz..."

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