Simplified Estimating Guide for the Evaluation of Small Scale Gold Mining Operations

The economics of developing and operating small precious metal mines are unique and require much more scrutiny than larger mines since a limited tonnage must carry a heavy burden of capital investment as well as operating cost per unit ton to be mined and processed. Moreover, potential operators of small mines do not have the required expertise available to critically evaluate the technical and economic aspects of their projects. In this paper, the authors have attempted to provide technical and economic guidelines for developing and operating small precious metal mines. Capital and operating cost estimates as well as return on investment are provided for various scenarios utilizing different mining and processing techniques.