Mining economics explained. A пuide for boards, executives, managers and investors / Объяснение экономики добычи полензных ископаемых. Руководство для директоров, руководителей, менеджеров и инвесторов

This book is crafted against the backdrop of the commodities super-cycle that we had in the first decade of the 21st Century, and the mining industry having learnt severe lessons. Dr Ian Runge summarized the decade-long experiment with the prioritization of volumes and said, “The economics of mining is at an inflection point. For the last decade or so our focus has been on developing mines and bringing them into production. It is not production on its own that is important, it is how efficiently we can produce.”¹ The message was echoed by Ivan Glasberg, Chief Executive Officer (CEO) of Glencor at the time of penning this book: “The big guys really screwed up (during the super-cycle) by building too many mines”, and as a result he opined that miners needed to learn about supply and demand fundamentals. “The real trap in the gold industry in the past was chasing volume,” said Tom Palmer, Newmont CEO and, “No one made any real money,” according to Barrick Gold Corporation’s CEO, Mark Bristow. <...>