The Australian Securities and Investments Commission reissued the controversial information sheet last week, with little change.
ASIC said the “minor drafting changes” came about after consultation with AMEC, JORC, the Valmin Committee and Australian Securities Exchange.
AMEC said that the revisions left it open to interpretation and how it was applied.
“The mining and mineral exploration sector is still faced with uncertainty on what they can say and what they can’t say on ‘secured funding’ in relation to forward-looking statements to the capital markets,” AMEC CEO Simon Bennison said.
As flagged by Stavely Minerals managing director Chris Cairns last week, AMEC confirmed that the ASX was drafting some guidance material to allow for the release of studies.
“These new guidelines can work if sensibly, pragmatically and consistently interpreted and applied by ASX and ASIC,” Bennison said.
“The practical interpretation of these guidelines is important to allow for the release of scoping studies, appropriately cautioned where they have ‘reasonable grounds’ to make those statements, in the overwhelming majority of cases where companies are doing the right thing.”
Bennison said it was important that the new regulation could address egregious misleading releases, as well as practically interpret what constituted “reasonable grounds”.
“The guidelines rightly emphasise the responsibility of directors to ensure that forward-looking statements made by companies have reasonable grounds,” he said.
“The draft ASX guidelines and checklist can serve to improve the quality and consistency of project study reporting and allow investors to be appropriately informed of project parameters at an early stage, provided that this information is accompanied by suitable cautionary language and the release is not misleading.”
Bennison said AMEC remained concerned that the regulation of forward-looking statements was conducted in an efficient manner to facilitate capital raisings and transactions necessary for development.
“To this end it is critical that companies be able to inform investors across all sectors of the market of all material matters in a responsible manner,” he said.
“We look forward to continue working with ASX, ASIC, the Joint Ore Reserves Committee and other industry groups to ensure sensible, practical and pragmatic interpretation of existing laws that place the onus on director accountability for the reasonableness of forward-looking statements and improving the overall quality of study reporting to the ASX.”
