Valuation of mineral properties

Valuation of mineral properties involves estimating the economic worth of a location with mineral resources. Experts analyze geological data, estimate the quantity and quality of minerals, and assess potential extraction costs and market prices. They use methods like comparative analysis, discounted cash flow (future profits discounted to present value), and resource estimates to determine the property's value. This process helps investors and companies decide whether to explore, develop, or buy mineral rights, balancing potential profits against risks and costs involved in mining operations.