Winton Carter Mining-3 [PDF]

Zitiervorschau

CASE STUDY 6 Carolina Arenivas Sofia Hernandez Winton Carter Mining

Task page 59 Director 1  low Director 2  high Director 3  very high Director 4  medium Director 5  very high

Winton Carter Mining: Report Executive summary: The company has mining interest in Africa and has been highly successful in exploiting copper, cobalt and bauxite deposits. The risks were evaluated and was decided to mention very lightly about the project in the prospectus and sing with ATZ. Introduction: -

The 5 different risks the scale in which every risk was evaluated The conclusion The recommendations

Findings: 1- The exploitation risk: various sites near from Kango have produced good quantities of copper and basalt, coltan, and diamonds deposits. 2- The security risk: the country has been unstable for many years and there have been civil disturbances in the area. 3- The health risk: mining the area could result in workers and inhabitants suffering from skin diseases because of industrial emission. 4- The economic risk: the stock-market prices of some smaller mining companies have been falling. Carolina Arenivas, Sofia Hernandez Members of the board of WCM 6 October

5- The financial risk: WCM will need to invest in expensive new machinery to exploit the site.

The first one was evaluated in low because the sites has potential but there’s no guarantee the deposits will be profitable, the second one was evaluated with high risk because some mining companies have been attacked and some workers have lost their lives, the third one was evaluated in very high risk because this can involve expensive legal costs and a heavy expenditure to remedy the problem, the fourth one was evaluated in medium because the industrial metals market is volatile and the last one was evaluated in very high because the exchange rate of the local currency is fluctuating. Conclusion: The project must be mentioned very lightly in the prospectus and sing whit ATZ. Recommendation: 1- Find a solution for the risks that were evaluated in very high. 2- Before the sing, ATZ must know about all the details of the project 3- Look for other company to sing other projects

Carolina Arenivas, Sofia Hernandez Members of the board of WCM 6 October

Carolina Arenivas, Sofia Hernandez Members of the board of WCM 6 October