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21

Technical Due Diligence

13

Number of Clients

$200M - $5.8B

Value of Projects

Deciding whether to buy or divest a mining asset is a complicated, confidential process fraught with risk. Are you confident about production forecasts, life of mine accuracy, sovereign risk, government stability and or other ESG issues? Do you know the true value of the asset?

MineScope offers fatal flaw reviews or detailed assessments to provide you with a complete understanding of the strengths and weaknesses, and the risks and opportunities, of any asset, anywhere in the world.

As Buy decisions are typically made via a confidential technical due diligence process, it is difficult to share detailed case studies, but MineScope has assisted many clients through to a successful outcome—which of course, sometimes means not buying the asset!

Due Diligence

Company Level Acquisition – Africa

MineScope provided overall management and key technical discipline experts for the Technical Due Diligence review of a potential company acquisition consisting of multiple complex operations in remote locations. The due diligence required a bespoke team of experts tailored to meet the needs and breadth of the review.  MineScope ultimately delivered the review using a mix of client specialists with regional knowledge in combination with MineScope and external technical consultants with key expertise.

Company Level Acquisition – South America

MineScope provided the technical team for the geology, mining, metallurgy, process plant and surface infrastructure, environmental, social and closure aspects of a Due Diligence review of a potential company acquisition with two underground mine operations in remote locations in South America.

Project Level Acquisition – Central Asia

MineScope provided Process and Water Management technical support to a detailed Technical Due Diligence review of a potential large mine acquisition.  The MineScope technical experts worked closely with the client specialists and other external consultants under the due diligence management of SRK.

Company Level Acquisition – Africa/Middle East

MineScope was requested to conduct a Technical Review of a potential acquisition. Due to the uncertainty about the interest of the other party in the potential acquisition, a staged review was used allowing the team to focus initially on a Fatal Flaws Analysis. This analysis highlighted critical differences in valuation and operational risk appetite allowing for early termination of the process by our client once the issues became apparent. This allowed the review team to focus on other prospects rather than seeing to completion a process that was unlikely to succeed.

Relevant Case Studies

BUY

Project Earth

MineScope assembled a bespoke team of experts calibrated to align with both Endeavour’s acquisition approach and the scale and location of the assets under consideration.  This was completed during COVID and all the associated disruptions and difficulties.  Minescope brought innovative approaches to data sharing, team co-ordination and alignment with both parties to achieve a great income.