Latest Updates: monthly and annual three statement model added as well as a capitalization table.
Starting an Open-pit mining operation has a lot to consider from the financial perspective. This template focuses on the logic specific to yields of various ores and gems and the specific types of equipment and operating expenses that exist for a mining operation.
There are key financial summary reports based on the total startup costs, cash returned from operating activities, and total return on investment as well as more advanced calculations like the Internal Rate of Return on the project (IRR) and Net Present Value.
The pro-forma will go for up to a period of 50 years and it is annual only. The user can choose how many actual years of operations they plan on doing and that will drive all the return on investment metrics.
The nuts and bolts of this template start on the Mining and Ore tab. There are configurations for the amount of ore production per day (in tonnes and not including waste) as well as the waste production per day (in tonnes). There is an input for haul distance, which affects fuel costs for both ore and waste accordingly. This tab has up to 28 slots for metals, gems, and other types of rock/mineral. A percentage can be defined for all relevant ore and based on the total tonnes production and the value per tonne, the value per day for each slot is defined. This flows to the potential annual revenue.
The operating costs have in-depth summary schedules to account for the following:
- Diesel Fuel (liter per day)
- Electricity (kWh per day)
- Powder (kg/day)
- Caps (#/day)
- Primers (#/day)
- Drill Bits (#/day)
- Det. Cord (m/day)
Capital Costs have up to 9 slots and the default types are:
- Equipment Purchase
- Haul Roads / Site Work
- Pre-production Stripping
- Electrical System
- Sustaining Capital
- Working Capital
There are also summaries for the cost of wage workers (the count can be defined for each type):
- Excavator Operators
- Truck Drivers
- Equipment Operators
- Utility Operators
And Salaries Workers (the count can be defined for each type):
The model is very clear on what cells are editable and what is a calculation. Visualizations exist for high level cost and revenue results. There is logic for funding a percentage of the startup costs via a traditional bank loan as well.