• estimating the discount rate for mining projects of gol-e-gohar mining complex

    جزئیات بیشتر مقاله
    • تاریخ ارائه: 1389/07/20
    • تاریخ انتشار در تی پی بین: 1389/07/20
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     both the methods of mining project evaluation i.e. npv and irr require the definition of an appropriate discount rate to establish investment criteria. the conventional method to estimate the discount rate is calculating the company’s cost of capital or wacc. but if a project does not have the same risk as its existing company, this approach may get a company in trouble. calculating wacc involves determining cost of equity and cost of debt. however, the problem is mostly determining cost of equity which is estimated by some methods like capm, e/p and dividend growth models. to contribute the riskiness of the project, two adjustments are applied: the first for the stage of the project and the second for the category of the project. these adjustments are applied in the form of premium or discount. using this methodology the discount rate for projects no.1 to 4 of gol-e-gohar are estimated 47%, 49%, 46% and 52% respectively.

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