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Pre-feasibility study

    Pre-feasibility study




    Scope of work:
    • Review of the raw material and production market, incl. pricing and volumes, market share and penetration
    • Definition of the product-mix
    • Preparation of the equipment specifications
    • Operation cost estimation (+/-20%)
    • Development of a preliminary flowsheet for the mill
    • Estimation of capital investments (+/-20%) in mill’s fence
    • Clarifying the requirements to the site
    • Preparation of the project schedule
    • Estimation of the manning
    • Financial modeling, and net present value estimation based on discounted cash flow estimation (in three options: best case, worst case and most likely case)
    • Analysis of influence of capital cost, operating cost and margin on the project net present value


    Results:

    Detailed understanding of project options to make final internal decision about project implementation.
    If the decision is positive than the bankable feasibility study should begin to find the financing