Mineral Project Valuation School

The SAIMM hosted a 1-day School on Bankable Feasibility Studies and Project Financing for Mining Projects on 18th March 1999.  This School was a mixture of technical and financial project evaluation and could not therefore adequately address financial aspects in mineral project valuation.

In addition developments have occurred towards stochastic valuation techniques and with the recent recession beginning to wane off, previously mothballed projects are going to have to be re-evaluated for possible inclusion in the project pipeline.

The requirements of the new Royalty Act also need to be factored into the project re-evaluation.

The current IASB Extractive Industries Project also has implications on how mineral project valuation could be done in order for it to talk to IFRS reporting standards.

These developments call for a School to specifically address mineral project valuation. 

Sponsorship Opportunities

Companies wishing to sponsor or exhibit should contact the Conference Coordinator

Jacqui van der Westhuizen
Conference Co-ordinator
SAIMM, P O Box 61127
Marshalltown
2107

Tel: (011) 834-1273/7
Fax: (011) 833-8156 or (011) 838-5923
Co-ordinator Email: jacqui@saimm.co.za

 

Sponsors

Cocktail Sponsorship:

 

Objectives

* To cover basic theory and principles of valuation techniques and focus on the commonly used DCF technique

* To cover aspects that commercial and development banks look for when deciding to fund a project

* To address aspects that mining companies consider in mineral project valuation

* To demonstrate how current software such as @Risk can be used to evaluate risk in mineral project valuation

* To address taxation and tax implications of the new Royalty Act.

 

Who should attend

• Exploration geologists

• Mining engineers involved in feasibility studies

• Project managers

• MRM managers

• Mineral industry advisory consultants and academics

• Accountants involved in mining project feasibility studies

• Professionals involved with mining project reviews.

 

Programme

 

Monday - 11 July 2011

07:30 – 08:30      Registration & Early Morning Refreshments

08:30 – 08:40      SAIMM Presidential Address
                            Professor Nielen van der Merwe (President Elect, SAIMM)

08:40 – 08:45      Welcome
                             Professor Frederick Cawood (Head: School of Mining Engineering, Wits University)

08:45 – 09:45      Institutional Framework and Overview of Valuation Methods
                            Godknows Njowa (Mineral Industry Advisor, Venmyn)

09:45 – 10:15      Tea Break

10:15 – 11:00      Valuation Modelling Standards: Guidelines for Spreadsheet Modelling in the Mining Industry
                            Denis Cowen (Corporate Divisional Manager: Snowden Group) 

11:00 – 12:00      Time Value of Money, Inflation and DCF Cashflow Evaluation
                             Dr Cuthbert Musingwini (Senior Lecturer: School of Mining Engineering, Wits University)

12:00 – 13:00      Taxation and the new Royalty Act 
                            Professor Frederick Cawood (Head: School of Mining Engineering, Wits University)

13:00 - 14:00       LUNCH

14:00 – 14:45      How Financial Valuation differs for Mineral Projects & Stock Markets
                            Kelly Redman/Carel de Jager (Anglo American)

14:45 – 15:30      The Role of Project Finance in the Mining Sector
                            Jurgens van Zyl (Project Development Manager: Investment Banking Unit, DBSA) 

15:30 – 15:45      Afternoon Tea

15:45 – 16:30      Valuation of Exploration Projects
                            Dr Alastair Moyes (Principal Mineral Resource Analyst: MinRED, Anglo American)

16:30 – 17:15      The Business of Exploration: Building Value in Exploration Projects
                             Keith Scott (Managing Director, The MSA Group)

17:15 – 17:30      Closing Remarks:
                             Ivan Wermuth (University of Johannesburg)

Tuesday - 12 July 2011

07:30 – 08:30      Registration & Early Morning Refreshments

08:30 – 08:35      Welcome
                            Ivan Wermuth (University of Johannesburg)

08:35 – 09:35      Hands-on Case Study: Investment Criteria and Risk Analysis 
                            Adrian Miric (Miracle Solutions)

09:35 – 10:15      Tea Break

10:15 – 12:15      Hands-on Case Study: Investment Criteria and Risk Analysis…Continues
                            Adrian Miric (Miracle Solutions)

12:15 – 13:15      LUNCH

13:15 – 14:00      Risk Analysis: @Risk Demonstration
                            Godknows Njowa (Mineral Industry Advisor, Venmyn)

14:00 – 15:15      A Perspective on Risk Analysis based on Experiences with Capital Projects
                            Cliff Heydenrych (AECI)

15:15 – 15:30      Afternoon Tea

15:30 - 16:30       An Accountant’s Perspective on Mineral Asset Valuation
                             Kevin Davies (AngloGold Ashanti)

16:30 – 16:40      Closing Remarks:
                            Ivan Wermuth (University of Johannesburg)

17:30 – 20:00      Cocktail Function
                            Sponsored by Snowden

 
Wednesday – 13 July 2011

07:30 – 08:30      Early Morning Refreshments

08:30 – 08:35      Welcome
                             Dr Rudy Phillis (Anglo Platinum)

08:35 – 09:20      A Mining Company Approach to Valuation of Mineral Projects & use of Hyperion software in Valuation
                            Gordon Smith (Head: Mineral Resources Management, Anglo Platinum)

09:20 - 10:15       A Consultant’s Perspective on Mineral Project Valuation at Feasibility Study Stage
                            Jacob Mothmogolo (TWP)

10:15 – 10:45      Tea Break

10:45 - 11:30       A Commercial Bank Perspective to Mineral Project Valuation for Funding Purposes
                            Tim Mugodi & Brad Breetzke (Director: Project Finance, Standard Bank)

11:30 – 12:15      A Development Bank Perspective to Mineral Project Valuation for Funding Purposes
                            Vusumuzi Dube (IDC)

12:15 – 13:00      The IASB Extractive Industries Project and Mineral Asset Valuation
                             Riaan Davel (Partner, KPMG)

13:00 – 13:15      Closing Remarks
                            Dr Cuthbert Musingwini (Chairperson: SAIMM School on Mineral Project Valuation Committee)

13:15 – 14:30      LUNCH

 

Registration Fees

Registration
Registration Fee  SAIMM Members	R  5 500
Registration Fee – Non SAIMM Members	R  6 200
Registration Fee – Student/ Retired Members	R  2 000

 

Please note:
Non-members are entitled to free membership of the SAIMM, up to 30 June 2011, for attending this event

Registration Fees:

Please Note:
Registration fee does not include accommodation
Prepayment is required for all Registration Fees on or before the date of the event.
Delegates who have not paid will not be permitted to attend the event 

Conference Registration form may be downloaded from the download section below

 

Contact

Jacqui van der Westhuizen
Conference Co-ordinator
SAIMM, P O Box 61127
Marshalltown
2107

Tel: (011) 834-1273/7
Fax: (011) 833-8156 or (011) 838-5923
Co-ordinator Email: jacqui@saimm.co.za

 

Downloads

The following items may be downloaded from the download section below:

 First Announcement and Registration Form