Canada Shines Spotlight On Extractive Sector

The Extractive Sector Transparency Measures Act (ESTMA) came into force on June 1, 2015, fulfilling the commitment Canada made at the 2013 G8 Leaders' summit to apply international standards of transparency to the extractive sector.  Broadly aligned with similar mandatory reporting standards in the U.K. and the European Union, ESTMA enhances the accountability of payments made by the mining, oil and gas industries to governments worldwide. A copy of ESTMA can be found here​.

ESTMA applies to entities that are directly or indirectly engaged in the commercial development of oil, gas or minerals in Canada or elsewhere.  Entities are required to report under ESTMA (Reporting Entities) if they either: (i) are listed on a stock exchange in Canada; or (ii) are subject to Canadian law by virtue of being based, doing business or holding assets in Canada and meet two of the following criteria in one of their two most recent financial years: (A) at least $20 million in assets;