Ontario Securities Commission Staff Releases Report On Mining Technical Reports

On June 27, 2013, Staff of the Ontario Securities Commission released a report summarizing the results of its review of a sampling of 50 Technical Reports filed between June 30, 2011, and June 29, 2012, by Ontario mining issuers of varying sizes and stages of development, representing approximately 10% of the Technical Reports filed on SEDAR by Ontario mining issuers over that period. Of the 50 Technical Reports that were reviewed, 19 related to advanced properties (i.e., properties that either have a mineral reserve or mineral resources the potential economic viability of which is supported by a preliminary economic assessment, pre-feasibility study or feasibility study).

The Staff report, published as OSC Staff Notice 43-705 (the "Staff Report"), found that 80% of the Technical Reports reviewed were not in compliance with the requirements of National Instrument 43-101 and that 40% of the Technical Reports in the sample had at least one major non-compliance concern.