PrintLesson 4.2: Feasibility Studies
A company will fund a prospecting and exploration if, and only if, they believe there is or will be a market for the commodity that they are seeking. As they begin to invest more time and money into the exploration of the deposit, they will concurrently be evaluating the three categories of factors described in the last lesson. If, at some point, they believe that the project is not worth pursuing, they will most likely stop all work on the project and turn their attention to something else. If, at the conclusion of the exploration program and their “back-of-the-envelope” evaluation, they believe that the project has merit, then they will move to conduct a feasibility study. This is the subject of this lesson.