Managing Change assessed course work: Project Feasibility Study 2014 - Coursework Example

The feasibility study comprises of the market analysis, financial analysis, Technical analysis, economic analysis, ecological analysis and legal and administrative analysis. Andre Rousseau Phd (Environmental Studies), a naturalist and resident of the Northwest Territories discovered multiple mineral deposits beginning in the mid 1990’s. Rousseau incorporated Kettle Mountain Mining Inc (KMM) in 1999 with the intent of developing the mineral deposits and pledged that his company will add to the quality of life within the surrounding community.

The company remains private. Rousseau says “Going public would mean bowing to the almighty earnings per share and having to answer to the analysts instead of the citizens.” He did, however, recognize that there may be short run tradeoffs between economic benefits and social fabric of the community and a zero environmental footprint. In 2002, the company discovered a promising seam just outside the town of Carlsbad (Canada). Preliminary sampling indicated high concentrations of several valuable minerals, including G2, S2 and P1.

In 2003, the mine shaft was constructed along with a processing plant and administrative offices. The development of the mine lead to the economic revival of the town of Carlsbad. During 2003, twenty new homes, a sixty-unit trailer park and several new businesses were established. Mining and processing operations began in January 2004 and have continued without interruption since that date. KMM currently operates at 80% capacity due to transportation restrictions (see below). During 2011, the company removed 310,000 tonnes of ore from the mine.

The future life of the mine is expected to be twenty-five years. Industry analysts suggest that companies of this nature should earn a 12% real pre-tax profit on sales (after negating the effects of inflation). Rousseau figures the