The Potential Value of a Mining Property
AbstractAnalyzing the possibilities to using the traditional assessment models (patrimonial and based on result updating) in the particular case of the mining companies in Romania, it led to conclusions that show its non-applicability at least in certain forms and in specific special situations. Thus, the special assets value in the mine patrimonies cannot be approached unless on the context of continuing exploitation activities and in a tight relationship with the mineral substances reserves to whose turn to profit the activities would take part in. Due to this usage particularity of the production factors capital and deposit the value approach through flow, as an economic value seem more opportune. In present though, the most majority of the mining companies in Romania operate with exploitation losses which are partially or totally covered by state finance subventions. This completely improper operating from an economical point of view rise insurmountable barriers for usage of assessment patterns based on updating the future cash flows. In these circumstances, it appears as a requirement the necessity of developing new assessment patterns that would be able to offer a relevant image, closer to reality, over the value of an operational enterprise or over the value of a mining perimeter that is partially developed. Such a model is developed as follows.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by University of Petrosani, Romania in its journal Annals of the University of Petrosani - Economics.
Volume (Year): 9 (2009)
Issue (Month): 4 ()
Contact details of provider:
Web page: http://www.upet.ro/
Mining property; assessment model; economic value; potential value;
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Aurelian Simionescu & Florian Buşe & Petru Hodor & Sorin Mangu, 2002. "On the valuation of coal property," Annals of the University of Petrosani, Economics, University of Petrosani, Romania, vol. 2, pages 180-189.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Imola Driga).
If references are entirely missing, you can add them using this form.