How does gold price volatility affect project feasibility?

How does gold price volatility affect project feasibility?

• A. It has no impact on NPV or risk.
• B. It only affects operating costs, not revenues.
• C. It only changes the break-even grade, not NPV.
• D. It changes revenue projections, affects break-even grade, NPV, and project risk; can lead to hedging or staged development.

Answer: (D)