HongKong

Real estate location drives valuations, and the mining business is legendary on the games that are played to maximize real estate value. As this industry can become quite complicated at times, it would just be easier to take a look at brentwood condos for sale and everyone move to Vancouver. They've got some pretty amazing condos here, which you wouldn't be embarrassed about showing off. Those who are interested in real estate overseas you can click here to find out more. The real estate industry is one that is continuously changing. Even with the amount of businesses that are entering this field, with the knowledge of specialists such as the Super Cheap Signs company, at least you may have found a solution that can help set you apart from the rest and even increase the number of potential clients that want to use the services your business provides.

On the other hand, terms and concepts such as claim jumping, salting, buying access, blocking easements, and others come from our industry; as it turns out, local community politics have many of the same issues.

I am currently going through community issues in my hometown revolving around real estate and non-profits. From these discussions, I am struck by the importance of the right real estate vs the "almost-right" real estate.

The fact is, the best assets are worth 10-20x the second best, and that difference in valuation is crazy.

Let's quickly go over what makes for great non-mining real estate.

  • Location: Close to jobs and community;
  • Logistics: Can you get in and out of the location easily?
  • Quality of life: Is the place worth living?
  • Taxes, regulation, and services: Does that equation work?

What makes for good mining “real estate”?

  • Is there an ore body?
  • Is there grade, tonnage, metallurgy, and luck?

Then, once you have an ore body, the following things affect the price significantly:

  • Location: Is it easy to access? Distance is less important than how you get there. For instance, transporting cargo 1,000 miles up a river is far cheaper than 1,000 miles across land.
  • Logistics: Can you mine it, what is the shape of the ore body, can you build a mill?
  • Taxes, regulation, and services: Can you own it, can you permit it, and can you survive the local issues?

There are many “ore bodies” in this business, and most of them have almost no value because they are not the right “real estate.”

Twenty-five million tonnes of contained copper at 0.3% average grade in an 8-billion tonne theoretical ore body is probably not economic today and worth far less than 2.5 million tonnes contained copper at 2.2% copper in a 110-million-tonne ore body.

One of these two assets is a mine, and the other is a real option on a much larger mine that might get built in 2043. This is one example of many to prove the point that the right “real estate” is worth 10x the slightly wrong “real estate.”

The key in this business is figuring out the right asset quicker than the end buyers do. Luckily, for everyone in our business, majors move slowly at best. When someone tries to sell you the almost-right real estate, question it.

My business is finding the right real estate, and then understanding how far I can develop it.