Geosyntec helps clients prepare industry compliance reports under National Instruments NI 43-101, United States SEC Subpart 1300 of Regulation S-K (replacement for Industry Guide 7), JORC. We collaborate with clients to meet or exceed the general standards required by each study level described below.
Initial Assessments: Scoping Studies
Scoping studies are the initial step in evaluating the viability of a mining project. We help define major unknowns, eliminate fatal flows, and establish project characteristics by developing conceptual designs for mining, processing, and associated infrastructure to estimate a project's value and potential to carry forward. Under SK rules, initial assessments do not require capital and operating cost estimates or economic analyses, although the do require unit cost assumptions based on whether the resource will be exploited with surface or underground mining methods. An economic analysis, if included, may be based only on measured and indicated mineral resources, or also may include inferred resources if additional conditions are met.
Prefeasibility studies are the intermediate step in evaluating a mineral deposit and project development. At this stage, we can help develop realistic economic and engineering studies, sufficient to demonstrate economic viability to stablish mineral reserves. To demonstrate the economic viability of a project, the prefeasibility study eliminates significant technical and commercial unknowns using realistic designs and costs and makes reasonable assumptions based on appropriate testing of the modifying. To accomplish this, we consider the following:
At the prefeasibility level, the study defines site external and internal infrastructure, including mine support buildings, processing facilities, sources of power and water, and initial designs suitable for materials take-off and cost estimating.
Mine Design and Planning
The prefeasibility study support the preferred, underground mining method or the open-pit configuration for surface mining. Detailed mine layouts will be prepared for each alternative and a realistic mine plan will be developed; the mine plan will be the basis for other estimation as mobile mining equipment, including loading and hauling machinery and supporting equipment. For underground mines, the mine plan also will be used for power and air ventilation requirements.
Mineral Processing Facilities
The prefeasibility study focuses on initial bench laboratory testing, process flowsheets, equipment sizing, and throughput capacity.
Environmental Compliance and Permitting
At the prefeasibility study accomplishes the following permitting and compliance goals:
- Identifies, lists, and evaluates environmental compliance and permitting requirements
- Outlines the initial work for the detailed baseline studies
- Produces plans for tailings disposal, mitigation. and mine reclamation, with sufficient detail for cost estimations
Capital and Operating Costs
Under Regulations S-K, capital and operating costs are estimated at an accuracy of ±25 percent, with a contingency of ≤15 percent
Taxes are described in detail, and revenues are estimated based on at least a preliminary market study, with economic viability. They are assessed by a detailed discounted cash flow analysis.
The feasibility study includes further refinement of the technical approach, environmental issues, and mitigation strategies, including cost estimates and schedules. The feasibility study includes detailed study of how the mine will be built and how it will be used as the basis for a production decision. At this level, all significant unknowns are resolved; acceptable risks in all areas are listed with a formal risk assessment.
Regulations S-K require that all supporting information for site infrastructure, mine design and planning, processing, environmental compliance and permitting, capital and operating costs and financial analysis, be finalized.