News Analysis: Since mineral deposits can be accurately assessed, as to both quality and amount, experienced miners can make suitable economic recoveries. To do so, proper capitalization is required. Investors, who understand and accept “Down Stream” payments, can make the monies available upfront for mining projects. The actual ore recovered, being the equity needed for the money, can often exceed projections. Thereby, the total dollars recovered by the willing investors, more than satisfies the risk taken.
Reference: http://tinyurl.com/n5lpg9y