Metals and Energy Finance: Application of Quantitative Finance Techniques to the Evaluation of Minerals, Coal and Petroleum Projects (Second Edition)

By Mark H.A. Davis and Dennis L. Buchanan

Book Overview

'Dennis Buchanan (TM)s text clearly shows how an understanding of the complementary disciplines of geoscience, conventional engineering and advanced financial engineering is essential to making the right decisions concerning how to appraise a resource or project and how to structure the funding of natural resources assets in order to mitigate technical and financial risk and to maximise value for owners. Crucially, the book also looks at how other sources of capital, such as limited recourse lenders, appraise metals and energy assets. Such an understanding is essential to optimising the capital structure and valuation of natural resources assets ... The advanced methodologies revealed in Dennis Buchanan (TM)s book will have great value to those working in the technical and financial functions, or to those spanning both functions, of the natural resources industry. 'Mineral EconomicsGiven the design component it involves, financial engineering should be considered equal to conventional engineering. By adopting this complementary approach, financial models can be used to identify how and why timing is critical in optimizing return on investment and to demonstrate how financial engineering can enhance returns to investors. Metals and Energy Finance capitalizes on this approach, and identifies and examines the investment opportunities offered across the extractive industry's cycle, from exploration through evaluation, pre-production development, development and production. The textbook also addresses the similarities of a range of natural resource projects, whether minerals or petroleum, while at the same time identifying their key differences.This new edition has been comprehensively revised with a new chapter on Quantitative Finance and three additional case studies. Contemporary themes in the revised edition include the current focus on the transition from open pit to underground mining as well as the role of real option valuations applied to marginal projects that may have value in the future.This innovative textbook is clear and concise in its approach. Both authors have extensive experience within the academic environment at a senior level as well as track records of hands-on participation in projects within the natural resources and financial services sectors. Metals and Energy Finance will be invaluable to both professionals and graduate students working in the field of mineral and petroleum business management.

• Format: Paperback
• Language: English
• ISBN: 1786346273
• ISBN13: 9781786346278
• Release Date: November 2018
• Publisher: World Scientific Publishing Europe Ltd
• Length: 328 Pages
• Weight: 0.99 lbs.
• Dimensions: 0.7" x 6.0" x 9.0"

Customer Reviews

Extremely useful, structured well but at times poorly written.

Good book for the topic, but at times the author has difficult time making a comprehensive sentence, you sort of have to figure what they are trying to say like a riddle. They will word things out weirdly when they could just say it directly making it difficult to follow as it could be worded a lot better in a clearer way. Also sometimes which caused me frustration with reading their work the sentence literally doesn't make sense but you "get" what they were trying to say. I won't quote from the book but I'm sure others who read this book will see what I mean. Outside of that it's full of industry wisdom, and you can tell the Author has been in the field for quite some decades with lots of knowledge to impart, in sometimes a difficult to follow way. It's an absolute gem though and it fit my needs on a topic where getting information is rather difficult and it's structured well in presenting these topics.