Company TJC (UK firm) is required is to purchase 1,000 ounces of pure gold from Newcrest Mining, a major gold producer in Australia. The parties have signed a supply contract at USD 1,200 per oz., with payment to be made in British pounds in 3 months' time. The exchange rate was set at GBP1 = USD 1.3200. However, contract completion is subject to approval by the relevant authorities, the outcome to be known in 2 months' time. Newcrest Mining needs to hedge the foreign gold exposure because of the increasing volatility of the pound post-Brexit. Newcrest has obtained the forward rate bid/offer quote of Australian dollars per pound, GBP 1.6400/50 for settlement in 3 months. Compute the local receipt to Newcrest if it use the forward market hedge, and discuss the advantages and disadvantages of this method.