A feasibility study is an essential step in the mine development process, involving a comprehensive assessment of a project’s technical, economic, environmental, and operational viability before significant investments are made(Goss, 2022).
It serves as a link between exploration and construction by estimating ore reserves, capital and operating costs, production projections, and associated risks, thereby supporting go/no-go decisions and helping secure financing. Usually conducted after scoping and pre-feasibility studies, the definitive or bankable version delivers a high level of accuracy—typically within about ±10%—for key financial indicators such as NPV and IRR(“5 Key Stages of Mining Company Development – Investor Guide,” n.d.).
Positioned between resource definition and detailed engineering, it evaluates key aspects such as mine design, processing flowsheets, infrastructure requirements, and ESG considerations, and often serves to define Mineral Reserves in accordance with reporting standards such as NI 43-101(How Important Is a Pre-Feasibility Study?, 2021).
Reference:
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5 Key Stages of Mining Company Development—Investor Guide. (n.d.). Discovery Alert. Retrieved April 11, 2026, from https://discoveryalert.com.au/mining-company-development-stages-2025/
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Goss, B. (2022, July 7). Why is a Feasibility Study Important in Mining? | Rangefront Mining. Rangefront Mining Services. https://rangefront.com/blog/feasibility-study-importance/
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How important is a pre-feasibility study? – Derisk Geomining Consultants. (2021, December 2). https://deriskgeomining.com/how-important-is-a-pre-feasibility-study/
