Toronto-based miner with operations in Canada
Canada-based Kinross Gold (TSE:K) (NYSE:KGC), which has mines and projects in the United States, Brazil, Chile, Russia, Ghana and Mauritania, has said is not afraid of making tough decisions. The Toronto-based firm has already said it would not expand its Tasiast gold mine in Mauritania if lower gold prices persist. Tasiast, which has suffered multiple writedowns, is more expensive to operate than the rest of Kinross’ mines.
Iamgold Corp. (TSE:IMG), another Toronto-based miner with operations in Canada, South America and West Africa, spent nearly $1,200 to produce an ounce of gold in the first quarter. That was whittled down to $1,136 in the following quarter.
In comparison, South African Harmony Gold (NYSE:HMY) (JSE:HAR) spent $1,245 to produce an ounce.
There are producers making money at current prices. In the third quarter, so-called all-in sustaining cash costs were $834 an ounce for precious metal giant Barrick Gold (NYSE, TSE:ABX) and $711 for Englewood, Colorado-based Alacer Gold Corp. (TSE:ASR). The measurement includes the expense of mining and replacing reserves through exploration, as well as other costs like corporate expenses. Not all mining companies calculate this figure the same way, and not all companies report it.