RE: My mind is confused.............21 Sep 2021 21:22
Some general background which I found useful - fairly basic and doesn't answer Tigger's question!
https://finfeed.com/investor-101/a-retail-investors-guide-to-all-things-pre-feasibility-study/
********************************************************
"What is a PFS?
The pre-feasibility is an early-stage analysis of a potential mining project.
Conducted by a small team of consultants, the PFS is designed to provide company stakeholders with key information such as logistics, capital requirements, and key challenges; all needed to help guide the decision-making process.
The PFS is a critical step in project development as it denotes the minimum prerequisite for conversion of a geologic resource into a reportable reserve.
When and why are PFSs undertaken?
A PFS is the key intermediate step in the assessment of a mining project and is intended to ascertain if a mineral resource is likely to support a viable mining project.
There are three common reasons for conducting a PFS:
As a foundation when committing to a major exploration programme following a successful preliminary programme.
To attract a joint venture partner, interest a buyer to the project or as a basis for a major underwriting to raise the required risk capital.
To help justify proceeding to the final feasibility studies.
What is included in a PFS?
The PFS should identify the critical issues and risks to be resolved during the final feasibility stages.
A comprehensive PFS should include detailed designs and descriptions for the mining operation, as well as cost estimates, project risks, safety issues and other important information.
In addition to geological and mining design information, a PFS also takes into account factors that may impact or interfere with the final project. These can include community issues, geographic obstacles and permit challenges.
The following list covers the main items in a PFS:
assessing reserves and saleable product from the delineated resources
generic mine design
non-detailed, staged life of mine planning and production scheduling assessing the mining methods, treatment routes and identifying cut-off factors, recoveries, dilution and losses in both mining and treatment
outlining probable plant, infrastructure, services and other facilities
producing a summary development structure and timetable
determining capital and operating costs
evaluating the specification and marketability of the commodity
setting up the deterministic economic evaluation model
determining financial viability
The PFS phase may become a series of iterative evaluations that are progressively updated and modified as exploration and engineering design proceeds.
What can an explorer deduce from the PFS?
Whilst a Prefeasibility Study is at a lower confidence level than later stage studies, it is intended that through iterations and adjustments in this PFS stage, optimal development choices are deduced to form the basis of the next stage, the D
Sign In
Follow the stocks
