Annual Reports – Minerals, Petroleum and Exploration
Minerals and Petroleum
Report and differentiate between reserves (proved and probable) and resources (measured, indicated and inferred). Classifications should be provided including cut-off grade, commodity price assumptions, sensitivities and movements from prior periods.
Provide unit production costs and average selling prices on a consolidated and single mine basis. Production costs should include cash and non-cash costs reconciled to the profit and loss account.
Provide details of divisional or mine activities (actual and projected), production, ore tonnage, waste removed and grades mined and processed.
State the marketing position, including information on customers and contracts in place. Discuss the spot market and plans to sell product in the future.
Comment on hedging strategy and open positions. Provide reconciliation of prior years’ positions to the current year position, and a calculation of average hedged performance compared with the spot market.
Identify major acquisitions or disposals.
Provide details and expenditures relating to the rehabilitation and restoration of seabeds, wetlands, mine sites/pits and other areas of geological activity.
Provide details of health and safety performance in comparison to the industry average and across other industries.
Present data on emission levels, including discharges to air, land and sea of solid, liquid or gaseous wastes, and any ongoing litigation for environmental negligence.
Identify any third party external special and environmental audits being undertaken on the company/organisation.
Describe activities and programs, including royalty payments and other expenditures with localised indigenous peoples.
Differentiate between new fields and existing mine site exploration.
Provide significant results of, and total expenditure on, exploration in key segments and overall.
Identify major acquisitions or disposals of property interests under exploration.
Provide details of exploration activities, methods of sampling, type of drilling or testing, number of holes drilled, depth drilled, angle of drilling and width of spacing and results.
State the exploration funds available, where invested and amount committed to exploration programs.
Discuss the market for target materials.
State plans for exploration and for development of discoveries, including financing, extent of equity or other interest, cost and price assumptions.
Describe the past operating and exploration history of key properties and newly acquired properties.
Detail exploration costs incurred, those capitalised and those written off against profit, distinguishing between costs in Australia and overseas.
For exploration tenement interests, provide maps showing location supplemented by sections of significant exploration targets.
Provide details of any domestic or international territorial disputes over mineral or oil and gas reserves which affect the organisation.