Dragon Mining (ASX: DRA) has locked in the current high gold price by selling forward 16,000 gold ounces at US$1353 an ounce, for delivery during 2011.
The hedge stabilises short term cash flow and is less than a quarter of the forecast 2011 budgeted production.
Earlier in the month Dragon boosted Proven and Probable gold ounces by 87% to 103,310 ounces at the Svartliden Gold Mine in Sweden, and in the process extended production life into 2014.