The technical content (geology, exploration, resources, reserves, inputs/outputs of technical studies) of resource-sector public reports contains factual statements but often with limited explanation or professional opinion of what these statements actually mean, and why they are important in the context of the deposit or project
development stage being reported.
Given that public reports should inform investors and their advisors, it is important these reports do exactly that – namely provide not only a technical description of the matters of importance but ensure transparency and clearly address why and how the information is material for the given project. SRK has prepared a short course for PDAC2022 presenting examples of common technical descriptions found in public reports (company releases, annual reporting, statements and technical summary reports) where further elaboration, opinion or context would greatly enhance the reader’s understanding of the relevance of these descriptions.
The problem identified and therefore the opportunity for improvement is that mining company disclosures (public technical reports) contain factual statements often with limited explanation or professional opinion of what these statements actually mean, and why they are important in the context of the deposit or project
development stage being reported.
In identifying the opportunity to improve the quality of public reporting, it is important to remember that reporting should provide investors with a comprehensive understanding of a mineral property, which should help them make
more informed investment decisions. These public technical reports are required to fulfil exactly that purpose, namely to provide relevant information through not only a technical description of the matters of importance (materiality), but also to ensure transparency that clearly addresses why and how the information is material for the given project.
In working to improve the quality and content of public reporting of mining projects it is useful to:
• Appreciate the purpose of public reports for resource-sector projects, namely to
inform investors
• Understand the key topics important for reporting need to address and consider the status or stages of project development
• Review the report content to ensure the ‘true’ meaning for key matters typically
described in public reports for each stage of a project’s development are clear and relevant
• Provide report content that provides transparent and meaningful technical descriptions and discussion in public reports to benefit the understanding of the project status and opportunity.
