Chesapeake Gold Message Board

From: klinker	7/30/2011 6:02:46 PM
	1 Recommendation Read Replies (1) of 238

At the same time, rising commodity prices have also significantly enhanced the project economics, outpacing any increase in CapEx estimates. Pascua-Lama is a high quality world-class deposit. Average annual gold production has increased to 800,000 to 850,000 ounces in the first full 5 years of operation at negative total cash cost of $225 to $275 per ounce assuming a silver price of $25 per ounce, which would make it one of the lowest cost gold mines in the world. Average annual silver production for the first full 5 years is expected to be about 35 million ounces. For every $1 per ounce increase in the silver price, total cash cost are expected to decrease by about $35 per ounce over this period. seekingalpha.com