Mineral Economics

1. Introduction

Mineral economics is a critical field that supports decision-making in the mining and extractive industries. It involves the study of the economic principles, financial evaluation, market dynamics, policy frameworks, and investment strategies that govern mineral resources.
As global mineral demand continues to evolve due to industrialization, energy transition, technological innovation, and geopolitical factors, professionals must be equipped with advanced economic analysis skills to manage mineral projects effectively and sustainably.

This course provides in-depth knowledge of mineral markets, project evaluation, cost analysis, price forecasting, economic modelling, policy issues, and strategic investment decisions. It is designed to prepare professionals to navigate the complex economic landscape of the global mineral sector.

 

2. Training Objective

The course aims to:

• Build strong understanding of the principles and frameworks governing mineral economics.
• Equip participants with knowledge of market structures, supply-demand dynamics, and price formation.
• Strengthen skills in mineral project evaluation, cost estimation, and financial modelling.
• Enhance capability to forecast mineral prices using analytical tools.
• Provide insight into national and international mineral policies, taxation, and fiscal regimes.
• Develop skills in risk assessment, scenario analysis, and strategic planning for mineral investments.
• Prepare participants to interpret global mineral market trends and make informed decisions.

 

3. Targeted Group

This programme is intended for:

• Mineral economists and mining financial analysts
• Mining engineers and planners
• Government policymakers and regulatory officers
• Investment analysts, bankers, and financiers in extractive sectors
• Geologists and resource managers
• Mining consultants and project developers
• Researchers, academics, and postgraduate students
• Graduate engineers and professionals seeking specialization in mineral economics

 

4. Course Duration

Total Duration: 16 Modules

Delivery formats available:

• 16-day intensive workshop, or
• 8-week professional training, or
• 4-month blended certificate programme with assessments and projects

Each module includes theory, case studies, exercises, and practical analysis.

 

5. Training Methodology

FOTADE applies a blended, interactive learning approach, including:

• Expert-led lectures and presentations
• Economic modelling and practical financial analysis
• Case studies from global mineral markets
• Group discussions and collaborative problem-solving
• Hands-on use of analytical tools and datasets
• Market forecasting exercises and simulations
• Assignments, quizzes, and applied research tasks
• Capstone project focusing on real mineral investment case

 

6. Course Content

Module 1: Introduction to Mineral Economics

• Scope, importance, and role in the mining industry
• Structure of the global mineral economy

Module 2: Mineral Resources, Reserves and Classification Systems

• Resource/reserve concepts
• Reporting standards: JORC, NI 43-101, SAMREC

Module 3: Mineral Supply, Demand and Market Dynamics

• Global supply chains
• Demand drivers and consumption trends

Module 4: Mineral Price Formation and Forecasting

• Price determination mechanisms
• Forecasting models and tools

Module 5: Cost Analysis in Mining Operations

• CAPEX, OPEX, cost drivers
• Cost curves and benchmarking

Module 6: Mineral Project Evaluation and Financial Modelling

• Cash flow analysis
• NPV, IRR, payback period
• Discount rate and risk premiums

Module 7: Mineral Commodity Markets and Trading

• Bulk commodities, metals, critical minerals
• Futures markets and hedging

Module 8: Risk and Uncertainty in Mineral Projects

• Sensitivity analysis
• Probabilistic methods and scenario modelling

Module 9: Fiscal Regimes, Taxation and Mineral Policy

• Royalties, taxes, incentives
• National and international policy frameworks

Module 10: International Trade and Mineral Economics

• Trade flows, tariffs, global competitiveness
• Role of international organizations

Module 11: Sustainability, ESG and Mineral Economics

• Sustainability metrics
• ESG requirements and implications for project economics

Module 12: Strategic Planning and Investment Decision-Making

• Portfolio optimization
• Strategic mineral assessments

Module 13: Mineral Development Economics in Emerging Markets

• Local economic impacts
• Resource nationalism and community considerations

Module 14: Energy Transition and Critical Minerals Economics

• Lithium, cobalt, rare earths
• Renewable energy technologies and future demand

Module 15: Economic Analysis of Mine Closure and Rehabilitation

• Closure cost estimation
• Post-mining land use and long-term liabilities

Module 16: Capstone Project – Comprehensive Mineral Economic Evaluation

• Participants conduct full project economic analysis
• Includes price forecasting, feasibility modelling, and risk analysis
• Presentation and professional review

 

7. Expected Outcomes

Upon completion, participants will be able to:

• Understand key economic principles shaping the mineral industry.
• Analyze mineral markets, price trends, and global supply-demand patterns.
• Conduct comprehensive mineral project economic evaluations.
• Build and interpret financial models for decision-making.
• Assess economic risks, uncertainties, and impacts on project feasibility.
• Apply fiscal and policy frameworks to real mineral scenarios.
• Incorporate sustainability and ESG considerations into economic assessments.
• Produce professional mineral economic reports and investment briefs.

 

8. Certificate of Completion

Participants who complete all modules, assignments, and the capstone project will receive:

Certificate of Completion in Mineral Economics

Issued by:

FOTADE Training, Research and Resource Development Centre

This certificate confirms professional competency in mineral economics, project evaluation, and market analysis.