A Preliminary Study On Evaluation Theory And Methods For Exploration Right

It has been more than one hundred years for mining rights evaluation in foreign market economic country, but it is only a short period of 10 years in China. With the continuous deepening of practice, the problems that exist in mining rights evaluation constantly exposed. Among them, the issue of exploration rights evaluation is the most prominent.At present, there is a greater different understanding in the mining rights of the legal profession attributes, the theory on evaluating value, concepts and classifications in theory, but the same trend exists in literature. The author believe that the mining right is a kind of usufruct under the ownership of mineral resources, its objects is the mineral resources, and its subject is the obligee. Stone gambling theory can be a good theory to explain the value, operation and evaluation of exploration rights. The value of mining rights is the economic gains of it's obligee after exercising their rights, while the evaluation value of mining rights is a pre-judgment or pre-estimate which the professional staffs evaluate according to their skills, experience, information and specialty knowledge under the guiding of the relevant laws, regulations and evaluation principle. Exploration right is the right which the obligee explores the mineral resources exploits them in priority and receive economic benefits from them within a certain range and a certain period in accordance with the law. On the evaluation of mining rights, there are only two in essence, one is the unknown area where it did not meet the necessary exploitation conditions and needs continuous exploration, the other is the deposit area where the obligee can exploit and utilize mineral resources.Evaluation method for mining rights can be divided in to three kinds which are named income, market and cost ways. In view of the characteristics of exploration rights, only do the market and cost way methods fit it in theory and in practice for evaluation. As exploration costs do not directly related to evaluation value, coupled with very low freedom and very weak specialty of its parameters selection, cost way methods be unable to convince the transaction parties of the evaluation results by it because of its very low credibility. In evaluation practice this kind of method should be used with caution. In the market way methods, the joint venture exploration agreement method is a simple one, and the cognition to the exploration right of two sides reflected in the joint agreement. So it should be widely promotion when exploration cooperation happens. And comparable sales method and estimate method are been easy to be acceptable by both sides, in other words it is with practicality, therefore appraisers and evaluation institutions should pay attention to collect and analysis all kinds of information related to evaluation of exploration rights to strengthen research and extend it.In the trade practice of exploration rights, there is a major concern of trade parties that how the exploration future and potential in the exploration area of the exploration right is, or in the exploration area how much resources can be found in this exploration, how is the credibility of the resources that would be found, and how much is the obligee's gains in the end of this exploration. On this basis, the author has thought out an evaluation method to exploration rights named estimate method by geological exploration project. In this method, first geological exploration project will be applied to solve the overall qualitative problem, secondly the pre-estimated resources in the geological exploration project will be used to ascertain how much resources can be found in this exploration area, thirdly the average probability of the pre-estimated resources given by the group of experts will be applied to solve the credibility issue of the pre-estimated resources, finally the value of this exploration right will be determined by the estimated resources after the correction of probability and the unit's gain of this mineral resources from the investigation to the mining rights market. In the end of this paper, the author gives a demonstration for the usage and operation of the estimate method by geological exploration project by a specific case.