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New Gold hedges everything, for now

New Gold has announced it has put in place a price hedge for 270,000 ounces, potentially all of its production, for the remainder of 2016. By purchasing a series of put and call options, the company has created a price floor of US$1,200 per ounce and a ceiling of $1,400/oz.

New Gold hedges everything, for now New Gold hedges everything, for now New Gold hedges everything, for now New Gold hedges everything, for now New Gold hedges everything, for now

New Gold is spending $500 million on Rainy River this year

The contracts will cover 30,000oz per month for the next nine months. The gold price has gained by about $200/oz so far this year, having ended 2015 at $1,060/oz.

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