Real Option Valuation of Mineral Exploration/Mining Projects using Decision Trees - Differentiating Market Risk from Private Risk

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Real Option Valuation of Mineral Exploration/Mining Projects using Decision Trees - Differentiating Market Risk from Private Risk

Only a few complex real options can be valued using closed-form equations, such as the Black and Scholes formula, because these algorithms are restrictive and prevent the construction of practical project evaluation models. Although a binomial lattice method paired with the 'risk-neutral probab...

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Bibliographic Details
Main Authors:	Guj, Pietro, Chandra, Atul
Other Authors:	Adrian Pratt
Format:	Conference Paper
Published:	The Australasian Institute of Mining and Metallurgy 2012
Online Access:	http://hdl.handle.net/20.500.11937/27397

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