The Value of De-risking Resource Exploration and Development Projects
Every investor has a different risk profile. Some are high risk, high reward; others are risk averse and take the time to research the right mining project, company and management team in which to invest. Companies know that investors often look for high returns on small investments, and in order to attract and retain investors, miners will “de-risk” a project. De-risking includes conducting extensive exploration work, appropriately financing the project in the short to medium term and working to lower production costs. De-risking holds great value to junior resource companies, while it can also be profitable for risk-averse investors who [...]