Goldmining Business Plan
3620 words 15 pagesGold-mining Business Plan:
The purpose of this business plan is to raise $25,000,000 for the development of two private gold mining businesses while showcasing the expected financials and operations over the next three years. J.R Mining Company Limited is a Sheffield based newly registered company that will excavate gold from leased mines within the United States(Southern Placer Claim in Kern County, Southern California) and Mali (West Africa). The company is founded by John E Roberts.
1.1 Products and Services
As stated above, the Company intends to acquire land leases on properties known to have gold deposits. The business will then develop gold mines on these properties with the intent to extract, smelt, and package the …show more content…
The first strategy would be to sell the Company to a larger entity at a significant premium. Since, the precious metals mining industry maintains a moderately low risk profile once the business is established; the Management feels that the Company could be sold for ten to fifteen times earnings.
3.0 Products and Services
As stated in the executive summary, the Company intends to operate in a gold mining capacity. Prior to the onset of operations, Mr. John Roberts will have acquired a land lease on a property that is known to have gold deposits. At this time, it is unclear as to the method that the Company will use in order to extract gold. The most profitable method of exacting gold would be to lease an existing gold mine facility with the intent to pan gold deposits from the underlying soil. This manual method of gold acquisition would provide the greatest return on investment for the business. The Company, depending on its land lease, may engage in sluicing/dredging if the land is known to have a significant amount of gold that is buried deep within the ground. Mr. John Roberts is also sourcing the necessary equipment so that the business can immediately begin its operations once the land lease has been acquired. The gold mining facility will also have all of the necessary chemical treatment and smelting equipment to allow the business to shape its collected gold into 1-kilogram and an ounce bars for resale to the open market.