How Stepwise Financing Can Your Prospect into an Operating Mine

Most mining engineers and metallurgists who get out of school usually wind up working for a large or medium-sized company and are seldom heard of again. The enterprising few who decide to go into business for themselves soon discover that while they can adequately tackle the various technical problems involved in developing a new ore body, they know little about putting together a feasibility study-and even less about financing their project. If you are in that predicament, you'll probably tend to view the financing problem as insurmountable, especially when the economy is in a slump, capital is scarce or seemingly non-existent, the equity market is in the doldrums, labor and equipment costs keep going up relentlessly-and, to make things worse, you must operate within the competitive context created by large mining firms that seem to have in abundance all the capital and managerial expertise you feel you lack. If it's any consolation, many potentially successful properties, whether owned by big companies or small firms like yours, never reach the production stage either because of illogical expenditures made in the early phases of development or because of inefficient management. And inefficient management is a common plague in big and small companies