DEVELOPMENT OF CANADIAN STANDARDS AND GUIDELINES FOR VALUATION OF MINERAL PROPERTIES

摘要

In the Canadian mining industry, there are atrnpresent no comprehensive regulations or standardsrnfor valuation of mineral properties. In January 1999,rnthe Mining Standards Task Force of the TorontornStock Exchange and the Ontario SecuritiesrnCommission recommended that the CanadianrnInstitute of Mining, Metallurgy and Petroleum (CIM)rnestablish a committee to review and advise onrnapproaches and methodologies for the valuation ofrnmineral properties. The authors were subsequentlyrnappointed Co-chairs of the CIM Special Committeernon Valuation of Mineral Properties (CIMVal). Arncommittee of experts from the mining industry,rnconsulting, financial and legal communities wasrnestablished with the task of reviewing availablerninformation, investigating various valuationrnmethodologies and practices, soliciting input fromrninterested parties, and recommending a Canadianrncode or standards plus guidelines for the valuationrnof mineral properties.rnAs an initial stage of its work, the CIMValrnCommittee organized a one day session at thernMining Millennium 2000 Convention in Toronto inrnMarch 2000 on valuation of mineral properties. Thern10 invited papers have been published by CIM. Asrna second stage, CIMVal has requested input andrncomments from all interested parties. The nextrnstage will be to prepare a preliminary draft with arnrecommended code or standards and guidelines.rnThis will be circulated for further input and commentsrnprior to revision and publication of another draft.rnThe final CIMVal report should be completed in earlyrn2001.rnA variety of methods are in common usage for thernvaluation of mineral properties, depending on thernstage of development of the property, the datarnavailable and the experience of the valuator. Forrnexample, the discounted cash flow method isrncommonly used for properties in production or at thernfeasibility stage, but is not generally consideredrnappropriate for exploration properties. Marketrnapproaches such as comparable transactions are inrnwide general use, and various cost approaches arernused for exploration properties. The option pricingrnapproach has promise for valuation of marginalrnproperties, but is not commonly used.