ON SEARCH FOR MINERAL RESOURCES: PLANNING AND IMPLEMENTING AN EXPLORATION PROGRAM
Abstract
This study is divided into four parts: a survey of earlier literature, geology and search, the budgeting decision of a firm and other related topics. The survey of earlier literature looks at models of economic search and optimal stopping rules as applied to the mineral discovery process. Models of search from operations research are also considered. The geology and search section explains how exploring firms are actually able to produce information about mineralization in different regions. The best way to model an exploration process is to account for these constraints. After an appropriate region is selected for exploration, the firm must make long range plans with respect to the amount of resources required to run a successful exploration program. The technique used to derive this budget offers a unique contribution to exploration literature. As the exploration effort proceeds, a searcher will learn more about the region. A model of search with Bayesian learning captures this aspect of search. Exploration is fraught with risk, so some attention is given to the problem of choosing between risky alternatives.
Degree
Ph.D.
Subject Area
Business costs
Off-Campus Purdue Users:
To access this dissertation, please log in to our
proxy server.