Industries

Mining - Industry

The Mining Industry is involved in the extraction of precious minerals and other geological materials through the use of sophisticated and productive machinery, along with digitization, to continuously prosper by increasing productivity while decreasing cost. With its main assets its reserves and resources, this industry provides most of the materials to build infrastructure and instruments of daily use, to obtain large amounts of energy, and to supply agricultural needs. Typical activities in the mining industry include metals production, metals investing, and metals trading. With the present mining challenges, the mining legacy has repeatedly discussed its relationship with environmental health and sustainable development.

Asset Classes

Aluminum
Gold
Iron Ore
Metal
Platinum Group Metal
Precious Metal
Silver

Industries

Exploration and Drilling
Technology

Mentioned by the Following

Asset Classes

Lithium

Entities

Argo Blockchain
Browning Media
Casey Research
Commodity Discovery Fund
Delbrook Capital Advisors
Equinox Partners
Fundamental Research Corp.
Genesis Group
Hardman & Co
M Partners
MiningStore
New Orleans Investment Conference
Nicoya Research
Rosseau Asset Management
Sprott Asset Management
Sprott Capital Partners
Sprott Resource Lending
Streetwise Reports
The Electrum Group
The Morgan Report
VanEck Vectors Gold Miners ETF
Vancouver Resource Investment Conference
XBTO Group

Locations

Central Lapland Greenstone Belt
Idaho

Industries

Drones
Fracking
Materials

People

Adam Flikerski
Amir Adnani
Anthony Antonelli
Art Berman
Ben Axler
Bill Fleckenstein
Brent Cook
Carlos Sanchez
Clint Cox
Dan Ferris
Daniel Earle
Dave Forest
David Dunn
David Morgan
Dominic Frisby
Dwight Anderson
Elizabeth Gaines
Emil Kalinowski
George Milling-Stanley
Howard Klein
James Rasteh
Jamie Strauss
Jason Hamlin
Jeff Clark
John Doody
JohnPaul Baric
Julie Klinger
Marco Streng
Marin Katusa
Matt Badiali
Matthew Hart
Mitch Swergold
Moe Zulfiqar
Paul Mylchreest
Peter Schiff
Pierre Lassonde
Randy Smallwood
Rhona O'Connell
Rick Rule
Rob McEwen
Robert Friedland
Ron Thiessen
Ross Beaty
Roy Sebag
Sachin Oza
Sean Fieler
Stefan Spears
Thomas Kaplan
Trevor Hall
Trey Reik
Will Thomson
Willem Middelkoop

Publications

Commodity Supercycles
Exploration Insights
Family Office Advantage
GeologyForInvestors.com
Gold
Gold
Gold Newsletter
Gold Production from Beginning to End
Gold Stock Analyst
How Gold Companies Finance Themselves
International Speculator
Junior Mining Investor
Junior Resource Monthly
Oxford Resource Explorer
Resource Opportunities
The Gold Book
The Great Game
The Investor's Guide to Junior Gold
Trend Investing
Wall Street PR

Terms

All In Sustaining Cost
BANG Stocks
Mid Tier Miner
NYSE Arca Gold BUGS Index

Wisdom

Mining Deposits Are Guesstimates Till They Are Fully Mined
The best place to find a new mine is next to an old one

Mining Is A Difficult Business:
  • It's highly risky
  • Requires huge upfront capital expenditures
  • Mines tend to be in remote locations
  • Mines often tend to be in countries with significant politicalĀ  & social risk (tax changes, social backlash, etc.)
  • Miners are price takers - swings in prices can greatly impact the business


Mining Company Valuations

  • The valuation of a mine can move rapidly based on some key driversĀ 
    • How much ore is left to mine (mine life)
    • % of valuable ore per ton
    • Cost to mine a ton of ore
    • Market price of the metal being mined
  • The cost of energy has a huge impact on the mining industry
    • One of the largest mining costs is energy - to move rock, crush it, drill, etc.
    • For some ores the cost of energy can be 50% of the cost!
  • The mining industry has become less labor intensive over time as technology has improved


Other Mining Tidbits

  • As mining technology and metals prices have increased, deposits that were historically unprofitable can now be minedĀ 
  • Over time the average grade of mines goes down as easier-to-mine deposits are depleted. This requires prices to go go - so the higher costs associated with mining lower grades can be recovered
  • Over time the timeline to get a new mine active has increased dramatically: all of the preparations, studies, permits, approvals, etc. can take 10-20 years