Presentation

There are numerous methods of financing mining projects ranging from traditional project debt to alternative financing arrangements directly tied to metal prices such as net smelter royalties and offtake agreements.  A project’s ability to fulfill its financing obligations is often analyzed by calculating the internal rate of return and financing ratios with a static cash…

Staged project development is pushed by the mining industry as a means of reducing capital costs and financing requirements. Companies justifying a staged development approach often rely on qualitative arguments and financial analysis that is unable to demonstrate the true value and risk management benefits of this approach. In this paper, we consider the Blackwater Gold…

Greenfield exploration and the design study sequence used to advance early-stage projects are a critical sector of the mining industry that provides the new mines needed to replace existing operations as they become depleted.  Investing in this part of the industry is widely recognized as highly risky given that most early-stage prospects are never developed. Yet,…

Session co-chair with Roussos Dimitrakopoulos from McGill University discussing the economic benefits of new technology and artificial intelligence.  Additional event information is available at:https://community.smenet.org/currenttrendsinminingfinance/program/program56?ssopc=1

A presentation discussing the value creation mechanism underlying the exploration and engineering study sequence and the risk profile of pre-development projects.  Additional event information is available at: https://www.xcdsystem.com/cim/program/zAGva1z/index.cfm?pgid=1568

A session discussing the wide range of country risks and their impact on international mining investment. Panel participants included executives from Agnico Eagle, Control Risks, Triple Flag Mining Finance, and White & Case.

Mining projects are built and operated the world overexposing them to political risk that varies with jurisdiction in addition to financial and technical mining risk exposures of a project.  Political risk is the possibility of an investment’s performance being impacted (adversely or otherwise) by the unexpected actions of the host country and other actors such as…

Real option methods have been on the fringe of investment decision-making in the mining industry for the last 30 years. However, the industry has never really accepted real options as a useful extension to the static cash flow methods that are commonly used for investment decision-making. This presentation repositions real options as a dynamic cash…

There is currently much talk in the mining industry about the need for innovation and the start of transformative corporate innovation projects but little discussion about how to value this effort. The focus on innovation is part of a larger category of valuation problems involving information-gathering which also includes exploration and technical pilot programs. While…