Gold producer Silver Lake Resources Limited
(ASX:SLR) has entered into a forward gold hedging programme for 50,000 ounces.
The programme will start from April and continue until March 2015 at an average forward price of $A1,536 per ounce.
Silver Lake Resources says the programme locks in a favourable margin on low grade surface stockpiles expected to be processed over the hedge period.
The company advises the hedge period equals about 30 per cent of the expected output over the hedge period and has been executed with Commonwealth Bank of Australia
(ASX:CBA).
After plunging 28 per cent last year the price of gold is currently sitting at six-week highs of $US1,379 an ounce for the April contract on Comex.
Silver Lake Resources fell to a net loss of $47 million in the first half of the 2014 financial year.
