Impact of development strategies on the value of underground mining projects

Bryan Maybee, Paul Dunn, Sean D Dessureault, David Robinson

Research output: Contribution to journalArticle

3 Citations (Scopus)

Abstract

Creating maximum value for shareholders within the underground mine planning process under varying economic and technical factors has become a reality. Since a single orebody can be accessed and developed in many ways, the different capital investment strategies used will have various implications on the value that is recognised. This paper illustrates the complexity that must be taken into account when evaluating different mining alternatives, and demonstrates the importance of the access development strategy to the calculation of project value. Through this investigation, the issues faced in applying different valuation techniques to mining projects are identified.

Original languageEnglish (US)
Pages (from-to)219-231
Number of pages13
JournalInternational Journal of Mining and Mineral Engineering
Volume1
Issue number3
DOIs
StatePublished - 2009

Fingerprint

development strategy
Shareholders
planning process
valuation
Planning
Economics
economics
project
calculation

Keywords

  • DCFs
  • development strategies
  • discounted cash flows
  • flexibility
  • mine planning
  • real options
  • ROs
  • uncertainty recognition
  • valuation of mining projects

ASJC Scopus subject areas

  • Geotechnical Engineering and Engineering Geology
  • Industrial and Manufacturing Engineering

Cite this

Impact of development strategies on the value of underground mining projects. / Maybee, Bryan; Dunn, Paul; Dessureault, Sean D; Robinson, David.

In: International Journal of Mining and Mineral Engineering, Vol. 1, No. 3, 2009, p. 219-231.

Research output: Contribution to journalArticle

@article{a3bba7ec17e34ce28cf2af153f7f30ed,
title = "Impact of development strategies on the value of underground mining projects",
abstract = "Creating maximum value for shareholders within the underground mine planning process under varying economic and technical factors has become a reality. Since a single orebody can be accessed and developed in many ways, the different capital investment strategies used will have various implications on the value that is recognised. This paper illustrates the complexity that must be taken into account when evaluating different mining alternatives, and demonstrates the importance of the access development strategy to the calculation of project value. Through this investigation, the issues faced in applying different valuation techniques to mining projects are identified.",
keywords = "DCFs, development strategies, discounted cash flows, flexibility, mine planning, real options, ROs, uncertainty recognition, valuation of mining projects",
author = "Bryan Maybee and Paul Dunn and Dessureault, {Sean D} and David Robinson",
year = "2009",
doi = "10.1504/IJMME.2009.027253",
language = "English (US)",
volume = "1",
pages = "219--231",
journal = "International Journal of Mining and Mineral Engineering",
issn = "1754-890X",
publisher = "Inderscience Publishers",
number = "3",

}

TY - JOUR

T1 - Impact of development strategies on the value of underground mining projects

AU - Maybee, Bryan

AU - Dunn, Paul

AU - Dessureault, Sean D

AU - Robinson, David

PY - 2009

Y1 - 2009

N2 - Creating maximum value for shareholders within the underground mine planning process under varying economic and technical factors has become a reality. Since a single orebody can be accessed and developed in many ways, the different capital investment strategies used will have various implications on the value that is recognised. This paper illustrates the complexity that must be taken into account when evaluating different mining alternatives, and demonstrates the importance of the access development strategy to the calculation of project value. Through this investigation, the issues faced in applying different valuation techniques to mining projects are identified.

AB - Creating maximum value for shareholders within the underground mine planning process under varying economic and technical factors has become a reality. Since a single orebody can be accessed and developed in many ways, the different capital investment strategies used will have various implications on the value that is recognised. This paper illustrates the complexity that must be taken into account when evaluating different mining alternatives, and demonstrates the importance of the access development strategy to the calculation of project value. Through this investigation, the issues faced in applying different valuation techniques to mining projects are identified.

KW - DCFs

KW - development strategies

KW - discounted cash flows

KW - flexibility

KW - mine planning

KW - real options

KW - ROs

KW - uncertainty recognition

KW - valuation of mining projects

UR - http://www.scopus.com/inward/record.url?scp=84882331737&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84882331737&partnerID=8YFLogxK

U2 - 10.1504/IJMME.2009.027253

DO - 10.1504/IJMME.2009.027253

M3 - Article

AN - SCOPUS:84882331737

VL - 1

SP - 219

EP - 231

JO - International Journal of Mining and Mineral Engineering

JF - International Journal of Mining and Mineral Engineering

SN - 1754-890X

IS - 3

ER -