The Prospect Generator Business Model
Evrim Resources develops value for our investors by moving forward on two key business objectives:
- As a prospect generator company. We leverage our depth of skilled professional talent to identify and collect data on interesting opportunities that bear the potential for excellent returns.
- By developing partnerships. We cultivate and form strategic partnerships with quality industry companies, directing more resources to the project through their capital and technical capacity. These partners may earn a majority interest in the project by forming a joint partnership.
By choosing to focus our talent on identifying interesting projects and then partnering with quality companies, Evrim is able to keep its expenditures stable and low.
The business model allows Evrim to preserve its capital and capital structure, minimizing dilution. For example in 2012 our industry partners funded 87% of our overall exploration expenditures.
2012 Exploration Expenditures
What are the Benefits?
- Lower risk. We seek partners to undertake the high risk, high cost stages of exploration, in exchange for a majority interest in our projects. Lowering our risk and expenses allows Evrim to focus on its core strengths of project generation.
- Increased opportunities. Evrim has a number of active partnerships, several available projects in its portfolio and other prospects in the generative pipeline. This increases Evrim's probability for discovery and potential for a sizeable financial reward for our investors.
- Reduced expenses. The costs of exploration can be sizeable. Evrim chooses to focus its resources on identifying interesting prospects and finding a quality exploration partner before committing to greater expenditures. This also minimizes the frequency with which Evrim needs to raise more funds through future rounds of financing from the markets, keeping the capital structure tight.
- Low dilution. Evrim strives to maintain a conservative but reasonable level of dilution. This allows our shareholders to maintain their fractional ownership of the company.
- Strong key personnel. Evrim has an industry recognized board of directors with proven experience and discoveries. Our geological staff has experience and the ability to execute programs and develop new ideas.
- Quality portfolio. Evrim has significant land holdings in the Sonora copper-molybdenum porphyry belt hosting the La Caridad and Cananea deposits.
- Valuable industry partners. Inmet Mining Corporation, Vale Exploration (Canada) Inc. Newmont Ventures Ltd. and Callinan Royalties Corporation are current exploration partners. We continue to seek out and develop partnerships with other premier resource companies.
Interested in speaking with a representative of Evrim Resources? Contact us today.