Explainer

PEA vs PFS vs FS: Study Levels Explained

Study levels rise in detail and confidence: Preliminary Economic Assessment (PEA), Pre-Feasibility Study (PFS), and Feasibility Study (FS). Each has different rules about what resources can be included and how bankable the economics are.

Key Facts

PEA: Early scoping study. Can include inferred resources. Not a feasibility study. PFS: More detailed. Generally limited to indicated and measured resources. Higher confidence than PEA. FS: Highest level. Used for financing and construction decisions. Typically excludes inferred resources.

What to check

1. What study level is claimed? 2. What percentage of the resource is inferred? 3. What metal price assumptions were used? 4. Is the technical report available on SEDAR+? 5. Does the release distinguish the study from a full feasibility?

Common stretches

PEA economics presented as near-term or bankable. High inferred percentages buried in footnotes. Metal price assumptions well above current spot without clear sensitivity analysis.

TL;DR

PEA is the lowest study level and can include inferred resources. PFS and FS are higher confidence. Always check the technical report and the resource categories used.

Commodity Ape is information and commentary, not investment advice. Junior resource stocks are high risk and can lose most or all of their value. Do your own work.