Winton Carter Mining - the Risks of Engaging a Mining
1257 words 6 pagesWINTON CARTER MINING
THE RISKS OF ENGAGING A MINING IN AFRICA
April 9, 2015
Chi Minh Bui
Word count: 1,121
Table of contents
Executive Summary 3
Main findings 4
1. The exploitation risk is medium 4
2. The security risk is high 5
3. The health risk is low 5
4. The economic risk is low 5
5. The financial risk is medium 6
The purpose of this report is to explore and explain the opportunities and challenges Winton Carter Mining (WCM) may face when entering into a …show more content…
Higher level tests and analyses should be done prior to final report. WCM should have further geologists’ analyses that are estimated to cost $500,000 in order to assure the reserves.
The security risk is high
Africa countries are continuing to face high levels of conflict, social unrest and political instability. The area is struggling with their continuing civil war between the government and rebels. Mining companies have been targets of robberies in neighbouring countries. WCM should find an insurance company to insure against the decrease of output. This may cost up to $1 million annually.
To be able to predict and prevent a serious security incident, WCM needs to apply a high level disaster recovery plan. The plan would be able to guide workers in case the site is under attack. It would include such measures as how to safely shut off systems and use safety panic rooms. This recovery plan will cost $1.5 million and will need to be put into place before running the site.
The health risk is low
Mining emissions may lead to skin diseases of workers and local people. The water source may become contaminated because of mining activity. Therefore, WCM needs to apply new mining technology that reduces emissions and build a water pipe from a lake in the north of the city. The cost will be about $5 million that includes OSHC implementation at the