[Article 02 of 05] The Mining Production Chain: Prospecting, Mineral Research and Environmental Licensing

Mineral prospecting and exploration constitute the starting point of the mining production chain, responsible for identifying, delimiting, and evaluating deposits with economic potential. This stage is marked by a high degree of uncertainty, as it involves everything from regional surveys to detailed drilling campaigns. Geological risk is paramount at this stage, as initial interpretations may not reflect the continuity, quality, or true volume of the ore. Sampling limitations and heterogeneity of the ore body can lead to erroneous models, directly affecting reserve calculations and the viability of the project.

Geotechnical and Financial Challenges in Mineral Exploration

Even if mining progress is not yet complete, the first geotechnical challenges also emerge. Poorly planned or insufficient drilling can create gaps in the massif's characterization, compromising future slope sizing, mining method selection, and infrastructure area definition. Furthermore, logistical factors, such as access to mountainous terrain or regions with complex geology, can pose additional risks of local instability during fieldwork.

Financially, the risks are equally significant. Mineral exploration costs, which involve geophysical surveys, drilling campaigns, and laboratory analysis, offer no guaranteed return. Considerable investments may not translate into economically viable deposits, and successive revisions of the geological model tend to increase CAPEX, impacting the project's attractiveness to investors. Thus, although it is a stage of high risk and uncertainty, prospecting is essential for the continuity of the supply chain, requiring technical rigor, updated methodologies, and prudent financial management.

Environmental Licensing in the Production Chain

Once the initial research phase is complete, the project moves forward with environmental licensing and legal regularization with the appropriate agencies, a crucial step for project compliance and viability. This process, in addition to ensuring the legality of the operation, carries significant risks across multiple dimensions.

• Geological dimension: Additional studies, such as hydrogeological or hydrochemical analyses, may be required, especially in deposits associated with aquifers or sensitive formations. Depending on the area, speleological studies may also be requested to evaluate natural cavities, which increases the complexity and cost of the process.
• Geotechnical dimension: Licensing often requires the submission of preliminary studies on slope stability, waste rock disposal areas, and tailings containment structure designs. If these studies lack technical robustness, environmental agencies often request revisions or supplements, delaying schedules and increasing costs. In naturally unstable regions, such as areas prone to landslides or subsidence, technical opinions tend to be even more complex and time-consuming.
• Financial dimension: Delays in granting permits can compromise investment flows, delay revenue generation, and even render the project economically unfeasible. Furthermore, additional requirements, such as containment infrastructure, monitoring systems, and compensatory measures, can generate unforeseen expenses, directly impacting the project's attractiveness.