Being Precise & Providing all the Factors
When doing a presentation of a mining prospect to a company it is a good idea to be very precise and straight about the location of the mine, the accessibility and the possible size it has. It is obvious that one will be enthusiastic and optimistic about it however it is very essential to not overestimate the size and grade in the mine. it would not be a good idea for a company to be expecting to see this “awesome” deposit will not be very content about the idea if they find this little minute deposit that only consists of a few thin strips of gold and will most likely not be willing to look at any more representations by the prospector who “tricked” them. One very good suggestion is to have previously had a reliable consultant prepare a report about the deposit. Remember when getting a report put together to add in sufficient relevant information that will be of interest an investor. Some of the items that can be included in this list are: the name of the property and the kind mineral that the property has, the location, the main drainage basin, the recording district, the section township, the survey open space, exact and specific directions on how to get to the property from the closes town, in addition to letting known which the best travel time of the year is and a regional map should be included if possible as well. Provide the names and the addresses of all the people that are interested in the property, the property legal status, as well as the kind of number of claims and any leases. If there is any sort of unresolved litigation that might have to do with the property, or if there are any questions as far as the ownership of the land is concerned, it will need to be taken care of before this property is put up for sale. It is very common for companies to reject properties that have problems or look like they have legal issues coming up. This would also be a good time to resolve any mortgages or liens. Make sure to also note down the history and production in the past if it applies, and the history and past preproduction of the properties that are neighboring the area. Put together a bibliography of any reports that have information on the property of the area. Also point out people that know about such deposit, such as a professional and renowned geologist. Provide a small summary of the geology, mineralogy as well as on the deposit itself. As far as this letter is concerned, make sure to include in the rock, length, width, possible depth, believed grade, and if it is massive or disseminated. Talk about the exploration work that has been done so far, the results that have been obtained, and the proceeding information that might be needed to give account to the potential of the place. Talk about the mining method possibilities and if a surface or underground operation would be a good option if your opinion. This does not mean evidently, that the company will not go on in a completely different way though. Let the kind of deal that has been considered be known of, whether it is an outright sale or lease.