Virgin versus mature reserves: A dilemma for new investment

Abstract During the mining cycle the general rule is to observe declining grades of ores and minerals being exploited along the life of most mines. This is more evident for metal mines than for industrial minerals. One important consequence is the increasing operating cost, aggravated by the not negligible environmental compliance costs appearing in the last decades. Two examples are depicted here: copper and kaolin (high grade type) reserves. It is argued that mining of virgin reserves is presently a competitive advantage in favor of developing countries.