Evaluation
GEM is specialized on the technical-economical evaluation of mine plans. For assessing these projects, we implement leading methodologies and tools.
The evaluations make it possible to boost the analysis capacity of our clients, easing the decision-making process. We capture value through the implementation of novel methods that include the main technical and economic risks associated to the mining operation. Along with this, flexibility is a key point in our evaluation strategy, as it enables the possibility of new estimations after uncertainties are solved throughout time.
ANALYSIS AND MANAGEMENT OF RIKS
During the past decades, risk analysis has demonstrated to be an essential tool for determining the confidence level of the mine plans. Through the implementation of this, it is possible to incorporate and assess the technical and economical most relevant risks for the business into a same analysis. This technique eases the quantification of the risk response for every business alternative, in order to make robust decisions that anticipate risk and enable more realistic corporate commitments.
Once this analysis is performed, the following step is the risk management. This procedure is a valuable tool for boosting the compliance of productive commitments, maximizing the value of the business and quantitively justifying the investment decisions that are aimed to risk mitigation.
REAL OPTIONS
Through this methodology the real value of flexibility is captured in mining related projects. This is explained as the logic is to avoid compromising decisions that can be taken in the future as uncertainties are solved throughout time. The aforementioned method differs from traditional economic evaluation techniques which do not consider the possibility of future management capacity. GEM has applied this analysis to several mining project evaluations, reaching up to a 60% of increase in the traditionally managed Net Present Value (NPV). This strategy contributes with great value to the decision-making processes.
SOCIAL EVALUATION OF PROJECTS
DUE DILIGENCES
Based on our expertise we offer audits for mining companies, projects or operations for acknowledging their real condition before a fusion or acquisition process takes place. Our audits are limited within technical, financial and commercial related topics as their main objective is identifying the real value of the active, along with its opportunities and risks.
OUR EXPERIENCE
The most important evaluation projects developed by GEM are:
- Risk Management and evaluation models for several of the main operations of copper, gold and non-metallic extraction in Chile
- Evaluation, Risk Analysis and Real Options projects for the copper mining industry. The assessed projects have ranged from early stages to feasibility stages and have been developed for some of the main mining companies in the world.
- Risk Analysis for long, mid and short term mine plans for the biggest producers of gold, copper and non-metallic resources in Chile.
- Economic and Risk Evaluation of an important open pit and underground operation placed in northern Chile.
- Evaluation and Risk Evaluation of the replacement process of loading equipment for an operation that produces copper oxides.
- Social evaluation of projects in stages of prefeasibility and feasibility in the copper mining industry in Chile.
- Due Diligences for projects that consider the acquisition of others in the copper mining industry in Chile.
