EconPapers    
Economics at your fingertips  
 

Evaluating the Kemess Stream sold by Centerra Gold in 2018

Peter Bell ()

MPRA Paper from University Library of Munich, Germany

Abstract: In a streaming contract, a mining company sells future revenues derived from a mine. Typically, the mining company sells the revenue for a secondary metal rather than the primary economic driver of the project. This paper considers a particular stream known as the “Kemess Stream”, where a public company called Centerra Gold Inc. sold future silver production from the Kemess Project to a private financial company. The Kemess Stream represents a typical streaming contract and provides an instructive example as a modelling exercise. This paper shows how to calculate the economics of the stream in detail based on economic reports published by Centerra Gold and discusses general principles reflected in the deal terms.

Keywords: Engineering Economics; Mining; Streaming; Finance (search for similar items in EconPapers)
JEL-codes: C00 G00 L72 (search for similar items in EconPapers)
Date: 2018-05-24
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/87014/1/MPRA_paper_87014.pdf original version (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:87014

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().

 
Page updated 2021-09-25
Handle: RePEc:pra:mprapa:87014