The role of Geoscientists in a Junior Exploration Company.
James AH Campbell, Managing Director - Botswana Diamonds plc
Free Geological Society of South Africa Lunchtime Lecture: 8th April 2020 (Corona Virus Lockdown Series)
The following is a YouTube link to the Webinar:
https://www.youtube.com/watch?v=6l7pXqckIsg&t=2s.
Analytical Profile of Coleus Forskohlii | Forskolin .pdf
The role of Geoscientists in a Junior Exploration Company.
1. The role of Geoscientists in a Junior
Exploration Company
James AH Campbell
Managing Director, Botswana Diamonds plc
2. Free GSSA Lunchtime Lecture (‘Lockdown Series’)
8th April 2020
Agenda
◆ Juniors & Majors?
◆ Geoscientists in a Junior company
◆ Jack of all trades & master of many
◆ Technophile & low-tech pro
◆ Problem-solver & handyman
◆ Servant leader & diplomat
◆ Communicator
◆ Career & lifestyle
◆ What does success look like?
◆ Concluding remarks
The role of Geoscientists in a Junior Exploration Company
2
In Shefa Gems’s COO’s office
4. Juniors & Majors ?
Some common traits of JUNIORS Some common traits of MAJORS
• Discoverers & developers of new economic
deposits
• The “exploration division” of the mining industry
• Typically small-cap companies
• Exploration spend is there lifeblood
• No/little production cash flow to fund
exploration activities
• Funding derived from share issues &
management
• No dividends paid - shareholders rewarded by
share price increase
• Results attract high degree of public scrutiny and
assurance
• Subject to full extent of regulatory & reporting
obligations
• Technical management teams with deep
practical experience
• Innovative, agile & fast
• Owners of mining operations
• Typically more than one mine
• Publicly traded, well capitalised companies
• Exploration activities internally funded by
production cash flow
• Exploration spend is discretionary
• Steady, predictable cash flow
• Large corporate structures
• Structured career paths
• Complex decision processes
• Internal assurance processes
• Able to adjust production to changing market
conditions
• Large technical & non-technical management
departments
• In-house training programmes
• Can be bureaucratic and slow moving
4
5. Scale of activities
Very focused projects (often just one or two) within clearly outlined areas.
⧫ Prospecting Licences are worked
and relinquished promptly
⧫ Holding ground is costly
⧫ Junior exploration is not real
estate
5
6. Knowledge shared through mentorship, guidance, collaboration and networking
Formal training is a luxury
6
Discussing geology with two young Rockwell geologists
The Rockwell team who presented to the 2014 Kimberley Diamond Conference
7. Young upstarts eager to grow
Curious, agile, resourceful risk takers with a learning and growth mindset
7
Aspirant geologists from Sparrow Foundation School
Discussing geology with a young Vutomi graduate
8. Personal exposure
Social presence puts personal reputation on the line. There is no ‘Public Relations
Department’ to manage reputational risks
Public Relations
Manager
Events Unit Relations Unit
Social Media
Unit
Communications
Unit
PR Assistant
8
9. ◆ Many have an idea of what makes a
good geologist
◆ No general job description for an
explorationist
◆ Generalist with deep technical
background
◆ Commercially astute
◆ Curious, resourceful, optimistic,
resilient
◆ Physically fit
◆ Keeping at the edge of many technical
disciplines
◆ Able to work with minimal support
What makes an explorationist ?
Explorationist = an entrepreneurial geologist who deals with the unknown
9
A young Vutomi geologist looking to the future
10. Minimum Requirements (example):
◆ B.Sc Honours in Geology
◆ At least 5 years’ experience in exploration geology
◆ Accreditation with SACNASP and membership of GSSA & SAIMM
◆ Skills such as coaching, leadership, management, business acumen,
performance management, financial management, analytical, planning &
organisational skills
◆ Technical knowledge must include geological sampling, mapping and
modelling, geohydrology, environmental impact studies and rehabilitation,
proficiency in MS Office & specialised applications especially GIS
◆ Should also have a broad understanding of mineral economics, metallurgy &
mining engineering
◆ Valid code B driver’s licence
In addition to:
◆ HR, logistics, first aid, security, mechanics, electrical, plumbing, cooking …
Jack of all trades…
10
11. Exploration Geologist Job Description (example):
◆ Compiling annual capex, labour and operational
budgets
◆ Ensuring compliance with SHEQ policies, holding
safety briefings
◆ Managing performance of human and other
resources
◆ Reading and assimilating historical data and reports
◆ Planning and conducting geological mapping,
sampling and drilling operations
◆ Geological data capture and analysis using
specialised applications
◆ Design and management of geological databases
◆ Evaluating mineral resources for projects in portfolio
◆ Preparing and submitting reports to the company,
Government, shareholders
◆ Advancing and maintaining stakeholder
relationships
…and master of many
11
Studying old archives in the Kimberley Museum
Drilling for kimberlite on Vutomi’s Thorny River project
12. AI demands technophiles
Proficiency in an ever-growing range of technologies and applications is expected
12
“GoldSpot is a technology company that leverages artificial
intelligence to reduce capital risk while working to increase
efficiencies and success rates in resource exploration and
investment.”
The Vutomi FD multi-tasking as a drone pilot
Young graduates undertaking a geophysical survey on
Vutomi’s Thorny River property
13. What if connectivity fails ?
Are you still able to use ‘low-tech’? Or are you over-reliant on technology?
13
Preparing for the night at BOD’s Maibwe project in the Central Kalahari
14. Problem solver & handyman
Can you think
strategically
and solve
geological
riddles, whilst
keeping the
camp running
& stakeholders
happy?
Do you have
the right tools
for the job?
14
Accommodation in the Central Kalahari Viewing the AK6/Karowe Mine diamonds
Discussing AK6/Karowe Mine drill core Crossing a river in the Limpopo Province of SA
15. Servant leader & diplomat
Inspiring trust and confidence in your team. Getting your hands dirty whilst
ensuring that your company has a sound reputation.
15
The concepts of ‘Cultural Intelligence’ and
‘Leadership beyond Authority’ are key.
Long service awards at Rockwell
With Shefa Gem’s CEO in Israel
16. Socially responsible risk taker
You may take risks to achieve your goals, but you won’t put others at risk with
your actions
16
The Rockwell management soccer team
Annual Christmas party at Barkly West’s orphanage, sponsored
by Rockwell
17. Communicator
Investors want to know and understand what is happening within the company
and if you can not articulate that, you are at a significant disadvantage.
Can you articulate on multiple platforms what you and the company represent, are
currently doing and the future goals?
Botswana Resource Sector Conference
Junior Indaba, Joburg Junior Indaba, Joburg
Mining Review interview
Africa Mining Summit
Mining Show interview
17
19. Career paths – Majors
Geol.
Staff
Geol.
Senior
Geol.
Divisional
Geologist
SeniorDivisional
Geologist
Section
Geologist
Consulting
Geologist
General
Manager
◆ Clearly defined hierarchical levels
◆ Incremental career progression
◆ Fairly predictable promotions
◆ Compensation linked to grade
◆ Often pay in the + 80th percentile
◆ Ongoing training & development
◆ Often ‘divorced’ from the
business
19
20. Career paths – Juniors
Geologist
Technical
Manager /
COO
CEO
◆ Flat structures, few levels: ‘chief
cook & bottle washer’
◆ Salaries may reflect share
performance
◆ Often pay in the - 20th percentile
◆ On-the-job growth (‘sink or swim’)
◆ No room for mediocrity
◆ Business skills alongside technical
mastery
◆ Direct link between work, company
performance & shareholders
◆ Fundraising ability is the ultimate
test
◆ But … an exciting career
20
Can good geologists from
major companies succeed
in the junior world?
Can one transfer from
being a mine or research
geologist to the junior
world?
21. What does success look like ?
21
Karowe Mine
Source: Lucara Diamond IncSurface work just starting at AK6 Large Diameter Drilling at AK6
Share price growth from one AFD share on
listing (2005): 25x at Lucara peak share price ◆ Commercial success
◆ Technical success
◆ Significant contribution to the
economy
◆ Jobs
◆ Making a real difference
(= a legacy)
22. ◆ Junior companies need capable all-rounders
◆ Hiring staff in multiple specialised roles is a luxury
◆ Networking is key
◆ Often have to work on your own: ‘if you don’t do
it, it doesn’t happen’
◆ High tolerance for risk and uncertainty
◆ Deep and broad technical skills and ability to
diversify are key
◆ Business proficiency is expected at all levels:
‘target commercial (not technical) success’
◆ Earning trust of investors is key to raising funds:
‘put your money where your mouth is’
◆ Sound potential for self-actualisation and making
a genuine difference
Concluding remarks
22
The ‘easy’ mines have been found, the new ones will be found with a combination of an
understanding of historical context, new exploration technology & different geological models.
24. 24
⧫ James Campbell is Managing Director of Botswana Diamonds plc (a diamond
development company active in Botswana, South Africa and Zimbabwe and listed on
London AIM and Botswana Stock Exchange). He has spent over thirty years in the
diamond industry in a variety of leadership roles both in major and junior companies. He
is also a Non-Executive Director of Shefa Gems (a precious stones development company
in Israel, listed on the main board of the London Stock Exchange).
⧫ Previous roles include Chief Executive Officer and President of Rockwell Diamonds Inc;
Non-Executive Director of Stellar Diamonds plc; Vice President - New Business for Lucara
Diamond Corp, Managing Director of African Diamonds plc; Executive Deputy Chairman
of West African Diamonds plc and Director of Swala Resources plc and Bugeco sa.
⧫ James also worked at De Beers for over twenty years; his roles included General Manager
for Advanced Exploration & Resource Delivery and the Executive Chairman Nicky
Oppenheimer’s first Personal Assistant.
⧫ James holds degrees in Mining & Exploration Geology from the Royal School of Mines
(Imperial College, London University) and an MBA with distinction from Durham
University. He is a Fellow of the Institute of Mining, Metallurgy & Materials, South African
Institute of Mining & Metallurgy and Institute of Directors of South Africa. He is also a
Chartered Engineer (UK), Chartered Scientist (UK) and a Professional Natural Scientist
(RSA).
⧫ James is also chairman and founding director of Common Purpose SA (a not-for-profit
organization that develops leaders who can cross boundaries and is synonymous with the
terms ‘cultural intelligence’ and ‘leadership beyond authority’). He was also a director,
trustee and chairman of the Joburg Ballet for almost fifteen years.
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