All-in Sustaining Cost (AISC)

What it actually costs a producer to keep producing an ounce — mining, processing, overheads and sustaining capital.

Definition

A comprehensive measure of the total cost to produce an ounce of gold, including mining, processing, administrative costs, sustaining capital, and exploration. AISC is the industry standard metric for comparing mining company costs.

Why it matters

AISC is the number that decides whether a mine makes money. The gap between AISC and the metal price is the margin, and it is a far better comparison across producers than cash cost, which excludes too much.

In practice

Compare AISC to the prevailing metal price rather than across commodities. A producer at $1,400 AISC with gold at $2,400 has room; the same producer has none at $1,500 gold.

Where people go wrong

AISC is a guidance metric, not a standardised accounting one. Companies vary in what they include, particularly growth capital, so read the footnotes before comparing two miners.

See also

  • Operating Expenditure (OpEx) The ongoing costs to operate a mine, including labor, energy, consumables, and maintenance. OpEx is typically
  • Capital Expenditure (CapEx) The upfront costs required to build a mine, including equipment, infrastructure, and construction. CapEx is di
  • Mining Recovery The percentage of ore in a deposit that is actually extracted and processed. Some ore is lost due to mining co

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