Early revenue mining
Early revenue mining” or “concurrent mining and exploration The strategy is about starting early mining operations while still conducting or on process of detailed exploration program for purpose of resource estimation. the strategy was fitted for open pit mining methods. The strategy was built and proposed satisfy objectives of: · Des-risking the project: early mining will contribute to building a geological model, grades and metallurgical assumptions. · Generating early cashflows: it generates revenues the funds or significantly contributing to fund the costing exploration and development. · Attracting investors: its a good way to attract investors especially those hesitant and junior on mining; it will make the project more appealing to financiers and partners. · It will also contribute on building the project infrastructure. The strategy features will be: - Define an initial mineable resource: target the high-confidence near surface zones. - Start mining to test recovery and economics. - Continue exploration in parallel by expanding drilling to upgrade the resource , increase certainty and finding new target zones. - Scale up and develop to full scale mining. Challenges and risks: Though advantages are tangible but there are still risks and challenges - Long time early production may leave hardly economic resource and might not fit the final optimized design. - Early production may add up to the costs when starting full scale mining. - Early production may generate complications or even delays especially when considering agreement with local communities; it will also need careful considerations to the environmental aspects. The concurrent mining and exploration strategy is a favorite choice for small scale miners and junior investors who are willing to expand; its more common in Africa and south America. Credit goes to: Eng. Mohamed Tawfig K wahbi https://www.linkedin.com/posts/mohamed-tawfig-k-wahbi-78707739_zvenia-mining-brimm-activity-7368207150642397185-7RlU?utm_source=share&utm_medium=member_desktop&rcm=ACoAAAgEupcB-Hj1pBs5MO3Hwpz-mSY0JVAJGkI