Drill, Deal, or Drop: Exploration Decision-Making

Drill, Deal, or Drop: Exploration Decision-Making

through Commodity and Project Cycles

November 16-17, 2021
8:00am - 4:30pm MST (UTC-7)
Virtual Event

Core sample

Course Overview

This 2-day virtual course, Drill, Deal, or Drop: Exploration Decision-Making through Commodity and Project Cycles, will examine exploration decision-making with a focus on junior exploration companies and their evolution through commodity and project cycles. The life cycle of a junior company is driven by a constant flow of technical and corporate decisions made by management teams and boards – each step of which can make or break a company's future. Companies are constantly reviewing their mineral properties/assets to determine if they should "drill, deal, or drop" to maximize the value of the assets to the company and its shareholders.

Emphasis will be placed on the main drivers of the decision-making process, the role of property and corporate valuations in driving business decisions, and exit strategies for both projects and companies. Process and strategy will be discussed in relation to four stages of project and corporate development:

  • Creation of a public company – pathways to going public and factors considered in choosing the proper method; understanding regulatory requirements, market cycle and structure.
  • Execution, growth and decision-making through the exploration process – consideration of strategic framework, project financing availability and structure, technical results, marketing, and project/corporate risk factors.
  • Advance or sell – decision to advance projects with additional financing towards resources and economic studies or farm-out through option-joint venture deals or other transactions; how mineral properties and companies are valued in the marketplace and the importance of this valuation when considering exploration funding decisions and asset disposition strategies; review key aspects, business terms and negotiating points of option and joint venture agreements.
  • Exit strategy – consideration of the various exit strategies on the corporate level - advance to a mine developer/producer, takeover by a major mining company, merge with another Junior, pursue a change of business, or delist.

The course is designed for geologists and other mineral industry professionals who wish to gain an understanding of the market and corporate aspects of exploration decision-making. Lecture materials will be augmented by current case studies reviewed and discussed using small group exercises. While the focus is on junior companies, the integrated nature of the mineral exploration business makes the course materials relevant to those working with larger companies and government agencies as well.

Course Format

This virtual course will contain a total of 14 hours of study, with approximately 7 hours of course work each day. Daily course work will be split into morning and afternoon sessions:

Morning Sessions

8:00am - 10:00am
10:30am - 12:00pm

Afternoon Sessions

1:00pm - 2:30pm
3:00pm - 4:30pm

All times are Mountain Standard (UTC-7)

Course content will consist of dynamic lectures, interactive Q&A sessions, small group exercises, and critical-thinking problem solving. All materials will be presented live.

Course Agenda

Day 1 (Morning Session): Creation of a public company

Pathways to going public and factors considered in choosing the proper method; understanding regulatory requirements, market cycle and structure.

Day 1 (Afternoon Session): Execution, growth and decision-making through the exploration process

Consideration of strategic framework, project financing availability and structure, technical results, marketing, and project/corporate risk factors.

Day 2 (Morning Session): Advance or sell

Decision to advance projects with additional financing towards resources and economic studies or farm-out through option-joint venture deals or other transactions; how mineral properties and companies are valued in the marketplace and the importance of this valuation when considering exploration funding decisions and asset disposition strategies; review key aspects, business terms and negotiating points of option and joint venture agreements.

Day 2 (Afternoon Session): Exit strategy

Consideration of the various exit strategies on the corporate level - advance to a mine developer/producer, takeover by a major mining company, merge with another Junior, pursue a change of business, or delist.

Presenters

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Michael Doggett

Michael is a Vancouver-based mineral economist with 35 years of experience working with clients in some 20 countries on issues related to project evaluation, mineral taxation, private and government royalties, and industry exploration trends. From 1997 to 2007, Doggett served as Director of the Mineral Exploration Program at Queen’s University, Canada where he continues to serve as an adjunct professor. He has authored or co-authored more than 20 publications and provided training to more than 2500 industry professionals in 20 countries.

He has served on the board of several public companies as well as PDAC, MDRU, and the Committee on Earth Resources at the U.S. National Academy of Sciences. In addition, he is a founder of El Olivar Imperial, a private Peruvian mineral processing company with initial production scheduled for Q4 2021.

The Canadian Institute of Mining, Metallurgy and Petroleum presented him with their Robert Elver Mineral Economics Award in 2002 and named him Distinguished Lecturer in 2010. The Society of Economic Geologists named him as their International Exchange Lecturer for the year 2005 and the Society of Mining Metallurgy and Exploration presented him with their Mineral Economics award in 2019.


Headshot

Ken Leigh

Ken has more than 30 years' experience in the mining and mineral exploration industry including three years as President of Minco Capital Corp., a Mining investment company, seven years as President & CEO of Commander Resources, a junior mineral exploration company, 14 years working in exploration project management and business development with Teck Resources, and seven years working as a corporate development consultant.

Mr. Leigh is currently the Principal of ExMin Consulting Services, which provides corporate/business development advisory services to companies in the mining sector, primarily involving non-core asset dispositions, exploration agreement structures, deal negotiations, mineral property valuation benchmarking, marketing, and corporate growth-related strategies.

Mr. Leigh received a B.Sc. in Geology from University of Toronto and a M.Sc. in Geology from Western University.


Registration

Registration will open in early August.

Maximum participants: 50

  Early Regular
SEG Member US$595 US$695
Non-member US$795 US$895
When
11/16/2021 - 11/17/2021
Where
Virtual Event
 

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