Gold Mine Would See Losses at Today's Prices

A feasibility report says a planned mine in Livengood would not break even at today's gold prices.

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by Associated Press

FAIRBANKS- A feasibility report says a planned mine in Livengood would not break even at today's gold prices. 

The report was released Tuesday by International Tower Hill Mines Ltd., the company planning the mine.

 

According to the report, the current gold prices of about $1,340 per ounce

are far below the about break-even point of $1,500 per ounce.

 

At today's prices, the mine would operate at a steep loss with an initial price tag of $2.79 billion to build the mine about 80 miles northwest of Fairbanks.

 

But Tower Hill vice president Tom Irwin says there is plenty of promise to the planned mine, which is expected to produce more than 8 million ounces of gold.

 

Irwin expects the price of gold to go up.