Bell, Peter (2018): Simulation Framework for Economic Modeling of Mineral Resources.
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Abstract
This paper describes an approach to include uncertainty over the commodity price when modelling the economic attributes of a mine plan for a mineral resource. The approach starts with a method to generate price paths from a broad historical set to establish a set of price paths, where the NPV is calculated for each path to generate a distribution for the NPV. It goes on to describes how to use this distribution to compare different mine plans in a manner that is similar to stress testing.
| Item Type: | MPRA Paper |
|---|---|
| Original Title: | Simulation Framework for Economic Modeling of Mineral Resources |
| Language: | English |
| Keywords: | Mineral Resource, Simulation, Uncertainty, Economics |
| Subjects: | C - Mathematical and Quantitative Methods > C0 - General > C00 - General C - Mathematical and Quantitative Methods > C0 - General > C02 - Mathematical Methods G - Financial Economics > G1 - General Financial Markets |
| Item ID: | 85075 |
| Depositing User: | Peter N Bell |
| Date Deposited: | 12 Mar 2018 18:15 |
| Last Modified: | 30 Sep 2019 17:31 |
| References: | Anderson, J. (April 29, 2013). Monte-Carlo Approach to Exploration Portfolio Valuation - April 24, 2013 - CFA Calgary. Retrieved from https://www.youtube.com/watch?v=rP2MThzCoy4 Upadhyay SP, Askari-Nasab H. Simulation and optimization approach for uncertainty-based short-term planning in open pit mines. Int J Min Sci Technol (2017), https://doi.org/10.1016/j.ijmst.2017.12.003 Whittle Consulting (n.d.). Resources. Retrieved from http://www.whittleconsulting.com.au/resources/ |
| URI: | https://mpra.ub.uni-muenchen.de/id/eprint/85075 |
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