*** Proof of Product ***
Exploring the Essential Features of “Mining Financial Model & Valuation – Tim Vipond – CFI Educatio”
In this course, you’ll learn how to build financial models and valuations for a natural resources companies with defined, not perpetual, life cycles.
- Learn key mining terms and definitions
- Explore the mining life cycle from start to finish
- Understand different valuation methodologies such as net asset value (NAV), P/NAV, P/CF, and total acquisition cost (TAC)
Overview
Recommended Prep Courses
These preparatory courses are optional, but we recommend you to complete the stated prep course(s) or possess the equivalent knowledge prior to enrolling in this course:
- Building a 3 Statement Financial Model
- Business Valuation Modeling
Mining Financial Modeling & Valuation Course Overview
Master the art of building a financial model to value a mining company, complete with assumptions, financials, valuation, sensitivity analysis, and output charts. In this mining financial modeling course, we will work through a case study of a real mining valuation for an asset by pulling information from the Feasibility Study, inputting it into Excel, building a forecast, and valuing the asset.
Mining Financial Modeling & Valuation Course Objectives
By the end of this mining valuation course you will be able to:
- Understand key mining terms and definitions used in the industry and in valuation
- Understand the mining life cycle from start to finish for assets, projects, and operating mines
- Read and extract the important information from a mining technical report (feasibility study)
- Input key assumptions into a financial model that will drive revenue, expenses, and cash flow in the forecast
- Calculate production statistics based on a detailed mine plan from the technical report
- Build financial statements based on the mine plan
- Perform a discounted cash flow DCF valuation of the mining asset in Excel
- Build sensitivity analysis to test for different input assumptions
- Output relevant graphs and charts to illustrate the investment opportunity
- Understand valuation methods such as Net Asset Value (NAV), P/NAV, P/CF, Total Acquisition Cost (TAC)
Who should take this mining valuation course?
Master mining valuation and learn how to value a mining company in Excel. This course is designed for professionals seeking careers in investment banking, equity research, corporate development and financial planning an analysis (FP&A). This course simulates the experience of working as a corporate development professional at a mining company evaluating an acquisition opportunity. The objective is to take all the information from the technical study, put it into Excel, and determine the net asset value (NAV) of the mine. The completed model will serve as a useful tool for testing different metal prices and other assumptions such as grade, recovery rate, unit operating costs, capital expenditures, and more.
Prep Courses
This is an advanced mining valuation course and assumes a solid understanding of the following courses:
- Excel Crash Course
- Building a Financial Model in in Excel
- Business Valuation
What you’ll learn
Introduction to the Mining Industry
Course introduction
Downloadable files
Mining life cycle – types of assets
Technical reports
Reserves and resources
Key terms and definitions
Key financial concepts
Interactive Exercise 1
Valuation Metrics
Net present value (NPV)
P/NAV ratio
P/CF ratio
EV/Resource ratio
Total acquisition cost (TAC)
Interactive Exercise 2
Financial Model – Assumptions Section
Introduction
Model layout and structure
Conversion rates
Metal prices
Production schedule
Reserve and resources
Mill capacity, royalties, and payability
Operating costs
Capital costs
Working capital and discount rate
Interactive Exercise 3
Financial Model – Mining Section
Introduction
Mining schedule
Mining schedule – continue
Milling schedule
Interactive Exercise 4
Financial Model – Financial Statement Section
Introduction
Revenue and royalties
Operating costs
Capital costs and all-in costs
Interactive Exercise 5
Operating profit
Net income
Changes in working capital
Interactive Exercise 6
Financial Model – DCF Valuation
Introduction
Free cash flow
Discount factor
NPV and IRR
Payback
Interactive Exercise 7
Sensitivity Analysis
Introduction
Break-even
IRR data table
NPV data table
Interactive Exercise 8
Summary Charts & Graphs
Free cash flow chart
Cumulative FCF / break-even chart
Production chart
Completed Model & Case Study
Model structure and design Draft
Key takeaways Draft
Completed model and extra case study
Summary
Qualified Assessment
Qualified assessment
Please see the full list of alternative group-buy courses available here: https://lunacourse.com/shop/
