TY - JOUR
T1 - Efficient selection of copper sales contracts for small- and medium-sized mining
AU - Reus, Lorenzo
N1 - Publisher Copyright:
© 2020 John Wiley & Sons, Ltd.
PY - 2020/6/1
Y1 - 2020/6/1
N2 - The purpose of this study is to generate efficient policies for the selection and postponement of copper sales contracts by a mining company. To do so, it uses a two-stage stochastic programming model that determines solutions considering different contract types, random prices, and risk aversion. The results show how it is possible for the selection to involve the lowest risk possible for different revenue levels required. During a period of high price volatility, an efficient solution may deliver an increase in monthly revenue of US$210,000 for a mining company that produces 50,000 tons per year, without any additional risk.
AB - The purpose of this study is to generate efficient policies for the selection and postponement of copper sales contracts by a mining company. To do so, it uses a two-stage stochastic programming model that determines solutions considering different contract types, random prices, and risk aversion. The results show how it is possible for the selection to involve the lowest risk possible for different revenue levels required. During a period of high price volatility, an efficient solution may deliver an increase in monthly revenue of US$210,000 for a mining company that produces 50,000 tons per year, without any additional risk.
UR - http://www.scopus.com/inward/record.url?scp=85077898242&partnerID=8YFLogxK
U2 - 10.1002/mde.3125
DO - 10.1002/mde.3125
M3 - Article
AN - SCOPUS:85077898242
SN - 0143-6570
VL - 41
SP - 624
EP - 630
JO - Managerial and Decision Economics
JF - Managerial and Decision Economics
IS - 4
ER -