Valuation of Mineral Projects Based on Technical and Financial Modelling - Uppsala

This course aims to enhance an understanding of the business of mining. Actual operating mine valuations are a central focus of the course.

Workshop sessions are also an integral part of the course delivery and use will be made in the workshop sessions of the IC-MinEval software which automates the generation of  Excel™-based spreadsheet to produce models for a wide range of mineral projects. These models can be saved as fully-linked workbooks and continued use is quite independent of IC-MinEval. Delegates can generate their own models which can be preserved indefinitely and having normal excel functionality.

Particular attention is given during the workshops to demonstrating how financial models should be set up with a rate of production appropriate to the size of the resource. Realistic associated capex and opcosts are determined with reference to CostMine. The circumstances in which it is appropriate to set up models based on a straight discount rate basis compared to including debt are outlined. In the latter case the approach to determining the appropriate level of debt will be explained.

Analysis will be undertaken during the workshop sessions on the financial performance indicators generated and there will also be an indication of the valuation that could be placed on the asset. A key deliverable would be templates that generate key valuation performance metrics which would include P/NAV, EV/NPV and EV/EBITDA based on operational and financial variables. This would allow projects to be ranked according to intrinsic value and thereby identifying which might be given priority in new the new business development divisions of the mining companies. Even then the vicissitudes of volatile metal prices and operational factors means that an intrinsic value will fluctuate, and this would be reflected in the volatility of the share price of a listed holding company.

The course fee would include access to Professor Buchanan’s new edumine On-Demand/e-Learning Valuation course 'Valuation of Mineral Projects Based on Share Performance Metrics' which is designed  to support delivery of this Distance Learning course as it contains much supporting material. Details at Valuation of Mineral Projects Based on Share Performance Metrics

In addition to the presentation slides, attendees will receive a copy of the  book Metals and Energy Finance authored by Prof. Buchanan.

Participants are expected to have their own laptop computers available for this course.

This course is for professionals with a basic to intermediate understanding of the principles of the accounting cash flow model that wish to gain expertise in quantitative finance in the context of mining. Actual operating mine valuations are a central focus of the course. To gain the most out of the course, attendees should have had some exposure to the technical aspects of minerals and mining.

“Engaging with other delegates, both on and off the course, has also broadened my knowledge of other parts of the industry”.

“High-quality content and case studies; lots of detail”.

“I appreciate how clearly the lecture topics were structured. I also appreciate real-life case studies and up-to-date examples a lot”.