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Message: You Don't Need a 10 Year Mine Life to Get Financing, according to Dr. Webb

Nov 15, 2008 11:30AM

Nov 16, 2008 02:58PM
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Nov 17, 2008 02:40AM

Nov 17, 2008 03:19AM

Nov 17, 2008 04:03AM

You Don't Need a 10 Year Mine Life to Get Financing, according to Dr. Webb

in response to by
posted on Nov 17, 2008 03:03PM

You Don't Need a 10 Year Mine Life to Get Financing, according to Dr. Webb.



Here's a paraphrase of what Dave Webb emailed me today.

Projects do not require any specific lifetime to obtain funding. If a mine couldn't pay back all its debt in 4 years, it would not likely get much in the way of debt financing. Lenders want to see a good margin, quick payback, and a big number. All else is irrelevant. Most lenders don't really care what happens in year 8, 9 or 10.

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