# Financial Modeling for Mining

Learn Project Finance Modeling for Natural Resource Projects

### Create Project Finance Model

Learn how to create project finance model for mining project from scratch

### Size Project Finance Debt

Learn how to correctly size project finance loan based on project's cash flows

### Model Sponsor's Equity Return

Model sponsor's equity IRR and carry out NPV analysis for mining project

## Where Our Students Work?

**What Our Students Say:**

## Financial Modeling for Mining Course Objective

Financial Modeling for Mining course will give you the skills to develop and analyze project finance models for mining projects. The course covers essential topics including modeling mining operations, debt sizing and funding, and investment returns analysis, and will provide you with a robust financial modeling skillset for analysis of mining projects in the most sophisticated environments.

In an online environment you will go from a blank Excel workbook to a financial model suitable for investment analysis, debt structuring and operational scenario evaluation. This course will provide step-by-step instructions on how to build financial model suitable for analyzing mining projects.

**By this end of this course, you will be able to build complex, real-life project finance models for mining projects.**

## What This Course is About?

Project finance models for mining are used to assess the risk-reward of lending to and investing in mining projects. The project's debt capacity, investment returns and financial feasibility depend on expected future cash flows generated by the mining project itself and a financial model is built to analyze this.

In the Financial Modeling for Mining course, we will model complex mining project finance transaction from scratch in excel.

## You will learn about:

- How to build a project finance model from scratch in excel for mining projects;
- Learn how mining projects get developed and financed;
- How to create best practice macro’s and Excel VBA codes to break circularities;
- Learn how to size debt based on multiple covenants for mining projects;
- How to model Debt Service Reserve, Maintenance Reserve, Working Capital and Asset Retirement Obligation Reserve Accounts;
- How to model mini-perm debt structure with a refinancing facility;
- How to account for financing fees during construction and operation;
- How to incorporate tax and accounting of mining operations into the financial model (asset retirement obligation, the unit of production depreciation method, NOL carry forward expiration etc.);
- Advanced project finance modeling concepts and accounting (flexible timing, mini-perm debt, refinancing, cash sweep, equity bridge loan);

This is the same comprehensive financial training used to prepare analysts and managers at top financial institutions and infrastructure funds.

## How Does It Work?

The course length is over 14 hours.

First, we will review the basics of mining projects development, so we understand all essential components of mining operations and project finance transactions in the context of mining industry.

Then, in the second part, we will review financial modeling methods and excel functions that we will use often in this course, to improve our productivity in Excel.

We will begin financial modeling in the third part, where we will build a financial model for open-pit gold project.

## Is This Course For You?

Yes, if you need to build, review or analyse project finance models for mining projects.

Typical students include analysts, managers, senior managers, associate directors, financial advisors, financiers and CFOs from project companies, investment banks, private equity and infrastructure funds.

## Course Prerequisites

You will need previous exposure to Excel in a financial modelling context and basic knowledge of investment concepts such as NPV and IRR.

## Frequently Asked Questions

The course is divided into 3 parts.

First, we will review the basics of mining projects development, so we understand all essential components of project finance transactions in the context of mining industry. Then, in the second part, we will review financial modeling methods and excel functions that we will use often in this course, to improve our productivity in Excel. We will begin financial modeling in the third part, where we will build a financial model for gold project.

Part 1 consists only of concept explainer videos and quizzes.

Each module in part 3 comes with concept explainer video, a quiz and a financial modeling video. Each financial modeling video has "before" and "after" excel files so you can practice what you have learnt from the video lessons. And, final lesson has final project finance model.

The course is based on the open-pit gold project case study.

Video content length 14 hours.

You’ll also get personalized, one-on-one support from me, so you can get your questions answered every step of the way.

When you enroll in Financial Modeling for Mining course, you'll be able to ask me questions around how to apply what you're learning in the course (see the screenshots below).

It's kind of sitting in the class asking me questions but through an ongoing email chain comments whenever you need help.

Absolutely. Each financial modeling video has "before" and "after" excel files so you can practice what you have learnt from the video lessons. And, final lesson has final project finance model.

Yes! If you don’t feel like you’re mastering project finance modeling and analysis in the first 30 days of your enrollment, just email me and let me know. I’ll give you a full refund - no questions asked.

No catch here. My objective is to get my courses out to as many students that needed them as possible, which results in lower pricing as a starting point. Right now, I’m able to answer questions thoroughly at this price point. However, as enrollments continue to grow, I will probably need to increase enrollment price to reduce the number of students enrolling every month so I can continue to provide the level of personal attention I want to for everyone who decides to enroll in the course.

**Course Curriculum**

- Introduction to the Course (12:38)
- Mining Resources (26:25)
- Mining Methods (19:18)
- Processing, Production and Revenue (21:44)
- Construction and Operations (12:09)
- Financing (45:45)
- Excel Refresher Lessons (57:21)
- Building Flexible Timeline (70:04)
- Modeling Mining Operations (47:54)
- Modeling Revenue and Operating Costs (42:38)
- Modeling Working Capital and Hedging Costs (24:36)
- Modeling PP&E, Tax, Equity and Cash (65:27)
- Debt Sizing (31:07)
- Modeling Mini-Perm Debt and Refinancing Facility (70:20)
- Modeling Construction Costs (11:30)
- Modeling Uses and Sources of Funds (51:44)
- Consolidation (30:51)
- Course Review
- Modeling Debt Ratios (33:34)
- Modeling DSRA (50:46)
- Modeling MRA (30:09)
- Modeling Standby Credit Facility (24:23)
- Asset Retirement Obligation and Working Capital Reserves (27:58)
- Valuation, Checks, Scenario Manager and Summary Sheet (30:33)
- Final Task (40:09)
- Course Review

**Other Project Finance Modeling Courses offered by FMO that you might be interested in!**

## About us

FMO specializes in developing your financial modeling skills in project finance, investment banking, asset and wealth management. While we are a young firm, the team has decades of experience of complex financial transaction modelling.

The course is taught by Gregory Ahuy. Gregory started his career in investment banking as M&A analyst in London at Renaissance Capital - leading Russian investment banking firm https://www.rencap.com/. He was later relocated to Moscow to help with some of the biggest Russian M&A deals in mining and infrastructure sectors. Gregory continued his career at InfraRed Capital Partners, one of the largest infrastructure funds, focused on sourcing and executing greenfield and brownfield infrastructure projects in Eastern Europe. Later, Mr. Ahuy joined Eneco, one of the largest energy companies in the Netherlands where he led several renewable energy projects.

If you have any questions, please send us an email: [email protected]