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OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
9 Months Ended
Mar. 31, 2014
OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  
Gold Sales

Gold Sales

 

Gold received under our metal streaming agreements is sold primarily in the spot market.  The sales price is fixed at the delivery date based on the gold spot price.  Revenue from gold sales is recognized on the date of the sale, which is also the date that title to the gold passes to the purchaser.

Cost of Sales

Cost of Sales

 

Cost of sales is specific to our streaming agreement for Mt. Milligan and is the result of the Company’s purchases of gold for a cash payment of the lesser of $435 per ounce, or the prevailing market price of gold when purchased.