AUSTRALASIAN CODE FOR PUBLIC REPORTING
OF TECHNICAL ASSESSMENTS AND VALUATIONSOF MINERAL ASSETS

THE VALMIN CODE
2015 EDITION

Effective 30 January 2016
Mandatory for AusIMM and AIG members from 1 July 2016
Prepared by The VALMIN Committee, a joint committee of the Australasian
Institute of Mining and Metallurgy and the Australian Institute of Geoscientists

© VALMIN Committee 2015
An appropriate citation is: VALMIN, 2015. Australasian Code for Public Reporting of Technical Assessments and Valuations of Mineral Assets(The VALMIN Code) [online]. Available from: <http://www.valmin.org> (The VALMIN Committee of the Australasian Institute of Mining and Metallurgy and AustralianInstitute of Geoscientists).
The VALMIN Committee authorises the use and reproduction of this Code in part or in its entirety on the condition that the source is appropriately acknowledged.
For further information please contact the AusIMM Publications Department on +61 3 9658 6100 or via email: publications@ausimm.com.au

VALMIN Code, 2015 Edition

Preface
The Australasian Code for the Public Reporting of Technical Assessments and Valuations of Mineral Assets (VALMIN Code) has been
prepared by the VALMIN Committee, a joint committee of The Australasian Institute of Mining and Metallurgy (AusIMM) and theAustralian Institute of Geoscientists (AIG), with the participation of the Minerals Council of Australia (MCA) and other key stakeholder
representatives.
There have been three previous versions of the VALMIN Code, the first applicable from 1 July, 1995, the second applicable from 1
April, 1998 and the third applicable from 29 April 2005. The Minerals Industry Consultants Association (MICA) was a member of the jointcommittee and a major contributor to earlier Codes.
The VALMIN Code provides a set of fundamental principles (Competence, Materiality and Transparency), mandatory requirements
and supporting recommendations accepted as representing good professional practice to assist in the preparation of relevant Public
Reports on any Technical Assessment or Valuation of Mineral Assets. It is a companion to the Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves (JORC Code). The VALMIN Code provides guidance on matters that may besubject to Australian regulations, other provisions of law and the published policies and guidance of the Australian Securities andInvestments Commission (ASIC) and the Listing Rules of the Australian Securities Exchange (ASX) or of other relevant securities
exchanges.
The VALMIN Code is written from a Minerals perspective and uses terminology consistent with the JORC Code.

Terminology
Definitions of introductory terms are listed at the end of the VALMIN Code. Definitions that are associated with the VALMIN Code’s
fundamental principles and minimum requirements are incorporated in the text and are printed in bold text.
The word ‘must’ denotes a VALMIN Code requirement that is mandatory.
The words ‘should’ and ‘may’ indicate that discretion can be used depending on the particular circumstances of a Public Report andproviding that the VALMIN Code’s fundamental principles are not transgressed.
Defined terms are capitalised.
Guidelines are in italics.
The singular includes the plural and vice versa.

Petroleum
The VALMIN Code is suggested as a guide to good practice for Public Reporting of technical assessments and valuations ofPetroleum Assets. The reader is referred to Chapter 5 of the ASX Listing Rules for requirements on reporting of Petroleum assets inAustralia.

Disclaimer
The VALMIN Code does not constitute legal advice and may not consider all matters relevant to the preparation of a Public Report. It is
the responsibility of Practitioners to determine their legal obligations in relation to the preparation of a Public Report and to seek legal
advice when necessary.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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Contents
1. Introduction ..............................................................................................................................................6
1.1. Purpose .............................................................................................................................................6
1.2. Context ..............................................................................................................................................6
1.3. Scope ................................................................................................................................................8
2. VALMIN Practitioners ...............................................................................................................................92.1. Who is a Practitioner? ........................................................................................................................9
2.2.

Requirements of Practitioners .......................................................................................................9

3. Code Principles ......................................................................................................................................11
3.1. Competence ....................................................................................................................................11
3.2. Materiality ........................................................................................................................................11
3.3. Transparency ...................................................................................................................................12
4. Additional requirements ..........................................................................................................................134.1. Reasonableness ..............................................................................................................................13
4.2.
5.

Independence .............................................................................................................................14

Public Report ......................................................................................................................................15
5.1.

Intent of a Public Report .............................................................................................................15

5.2.

Report content ............................................................................................................................15

5.3. Technical Assessment Report .........................................................................................................18
5.4. Valuation Report ..............................................................................................................................18
5.5. Independent Expert Report/Specialist Report ..................................................................................18
6.

Commissioning a Public Report ..........................................................................................................19
6.1.

Written engagement....................................................................................................................19

6.2.

Scope .........................................................................................................................................19

6.3. Cost .................................................................................................................................................20
6.4. Provision of previous reports............................................................................................................20
6.5. Confidential information ...................................................................................................................20
7.

Technical Assessment ........................................................................................................................227.1. Study terminology ............................................................................................................................227.2. Tenure Status ..................................................................................................................................22
7.3. Mineralisation, Mineral Resources and Ore Reserves......................................................................23
7.4. Mineral Extraction ............................................................................................................................23
7.5. Capital and Operating Costs ............................................................................................................25
7.6.

4

Revenue .....................................................................................................................................27

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guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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8. Valuation ................................................................................................................................................28
8.1 Basis of Value ...................................................................................................................................28
8.2. Common Valuation Approaches.......................................................................................................28
8.3.

Appropriate Valuation Approach .................................................................................................29

8.4.

In Situ Values..............................................................................................................................30

8.5. Use of Ore Reserves and Mineral Resources ..................................................................................30
8.6. Range ..............................................................................................................................................30
8.7. Market premium or discount.............................................................................................................30
9.

Financial Modelling .............................................................................................................................31
9.1.

Taxation and royalties .................................................................................................................31

9.2.

Financing ....................................................................................................................................31

9.3.

Liabilities, commitments and financial exposures ........................................................................31

9.4.

Forecasts ....................................................................................................................................32

10.

Risks and opportunities ..................................................................................................................33

11.

Other ..............................................................................................................................................34

11.1. Site inspection ...............................................................................................................................34
11.2. Draft reports ...................................................................................................................................34
11.3. Records .........................................................................................................................................34
11.4. Indemnities ....................................................................................................................................34
12. Declarations .........................................................................................................................................35
12.1 Standard .........................................................................................................................................35
12.2. Professional Organisation ..............................................................................................................35
12.3. Qualifications and Organisations....................................................................................................36
12.4. Corporation and licences ...............................................................................................................36
12.5. Sign-off ..........................................................................................................................................36
13.

Acronyms .......................................................................................................................................37

14.

Definitions .......................................................................................................................................38

15.

Glossary .........................................................................................................................................41

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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1. Introduction
1.1. Purpose
The purpose of the Australasian Code for the Public Reporting of Technical Assessments and Valuations of Mineral Assets (VALMIN
Code) is to provide a set of fundamental principles, minimum requirements and supporting recommendations to assist in the
preparation of relevant Public Reports on Mineral Assets. The VALMIN Code is based on international good practice as currently
employed in the Mineral industry, but allows for professional judgement in certain instances.
The resulting Public Reports must be reliable and should be clear, concise, effective and include all the Material information
required by investors and their advisers when making investment decisions.
Subject to provisions in paragraph 1.3, AIG and AusIMM Members must adhere to the VALMIN Code regardless of where or forwhom the Public Reports are prepared or the location of the Mineral Assets under consideration.

1.2. Context
The VALMIN Code is designed to fit within the Australian regulatory framework comprising the Corporations Act, and various ASIC
Regulatory Guidelines and ASX Listing Rules. It is a companion to the Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves (JORC Code). Any references to the JORC Code relate to the 2012 edition or the most recent
subsequent edition.
Refer to http://www.valmin.org for further information.

(a)Corporations Act

The Corporations Act 2001 (Cth) is the legislation that has the principal legal influence on the themes of the VALMIN Code. The
Corporations Act sets out laws dealing with Australian companies and corporate activity in Australia.
Refer to http://www.comlaw.gov.au for further information.

(b)

ASIC Regulatory Guidelines

The ASIC Regulatory Guidelines (RG) and Information Sheets provide guidance to regulated entities by:(i)explaining when and how ASIC will exercise specific powers under legislation (primarily the Corporations Act); (ii)explaining how ASIC interprets the law;(iii)

describing the principles underlying ASIC’s approach; and(iv)

giving practical guidance.
Practical guidance includes describing the steps of a process such as applying for an AustralianFinancial Services Licence (AFSL), or providing practical examples of how regulated entities may
decide to meet their obligations.

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At the time of drafting the VALMIN Code, the key relevant guidelines for the preparation of Public Reports relating to Mineral Assets
include, but are not limited to:(i)

RG 55 – Statements in Disclosure Documents and PDSs: Consent to Quote,(ii)

RG 111 – Content of Expert Reports,(iii)

RG 112 – Independence of Experts,(iv)

RG 170 – Prospective Financial Information,(v)

RG 228 – Prospectuses: Effective disclosure for retail investors,(vi)

RG 230 – Disclosing non-IFRS financial information,(vii) ASIC Class Orders CO 07/428 and 429 – Consent to Quote, and(viii) ASIC Information Sheet – Mining and resources – Forward-looking statements.
Refer to http://www.asic.gov.au for further information and recent updates.
(c)

ASX Listing Rules

The ASX Listing Rules set out the requirements for corporations in order to be listed on the ASX. The ASX Listing Rules include:(i)continuous disclosure obligations, which require companies to immediately notify the ASX of any information that
may affect the share price of the company,(ii)

rules governing how new share issues must be carried out,

(iii)

guidance as to how share registries and registration should be maintained, and(iv)

mining specific reporting requirements, under Chapter 5 which references the JORC Code.

In addition to the ASX Listing Rules, the ASX provides guidance through its regularly updated Guidance Notes and FAQs (frequently
asked questions).
For further information refer to http://www.asx.com.au.
(d)

JORC CodeThe JORC Code sets out minimum standards, recommendations and guidelines for Public Reports in Australasia for Exploration
Results, Mineral Resources and Ore Reserves.
The ASX incorporates the JORC Code into Chapter 5 of the Listing Rules to mandate that a Public Report concerning Exploration
Results, Mineral Resources or Ore Reserves is prepared in accordance with the JORC Code.
The JORC Code is binding on any Member of the AIG or the AusIMM.
For further information refer to http://www.jorc.org.

(e)Petroleum Resources Management System

The SPE-PRMS is the petroleum industry’s global standard for resource and reserve classification and reporting. SPE-PRMS isreferenced in Chapter 5 of the ASX Listing Rules, and Public Reports concerning petroleum exploration, resources or reserves must be
prepared in accordance with that system.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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Refer to http://www.spe.org/industry/reserves.php for further information.

1.3. Scope
As of 1 July 2016, this version of the VALMIN Code is binding on Members of the AusIMM and AIG. Members of Recognised
Professional Organisations may be bound by VALMIN or a compatible code.
The VALMIN Code applies in any particular circumstance only if, and to the extent that, it is not inconsistent with the Corporations
Act or other provisions of Australian law, ASIC policy and guidance, the ASX Listing Rules and guidance or the requirements of therelevant recognised Securities exchange. Guidance on the VALMIN Code’s applicability is presented in Figure 1.
The VALMIN Code is considered to be broadly consistent in terms of fundamental principles and general approach with relevantinternational codes, templates, standards and guidelines (eg SAMVAL – South African Code for the Reporting of Mineral Asset
Valuation, CIMVal – Standards and Guidelines for Valuation of Mineral Properties, CRIRSCO – Committee for Mineral Reserves
International Reporting Standards template and the IMVAL Template – International Mineral Valuation Standards template). VALMIN
Practitioners preparing Public Reports in jurisdictions other than Australia should be aware of and take note of the specific content ofrelevant codes, templates, standards and guidelines other than VALMIN.
Refer to http://www.samcode.co.za, http://web.cim.org, http://www.ivsc.org andhttp://www.crirsco.com for further information.

Regulation

Reports

Corporations Act 2001

Independent Expert
Report and other
Public Reports

ASIC Regulatory Guidelines

Recommended

ASX Listing Rules

practice

Non-public Report

Public Report(Technical Assessment)
JORC Code

VALMIN CodePublic Report (Valuation)

Figure 1 – General relationship between VALMIN, Public Reports and Regulations.
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guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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2. VALMIN Practitioners
2.1. Who is a Practitioner?
A Practitioner is an Expert as defined in the Corporations Act, who prepares a Public Report on a Technical Assessment or Valuation
Report for Mineral Assets or Securities. This collective term includes Specialists and Securities Experts. The
following categories of Expert are recognised and are broadly aligned with ASIC Regulatory Guide 112:(a)Specialists are persons whose profession, reputation and relevant industry experience in a technical discipline (suchas geology, mine engineering or metallurgy) provides them with the authority to assess or value Mineral Assets,
and who prepare and accept responsibility for a Public Report.

(b)Securities Experts are persons whose profession, reputation or experience provides them with the authority toassess or value Securities, and who prepare and accept responsibility for a Public Report.

Where the relevant criteria in Clause 2.2 are met, the Securities Expert and Specialist may be the same person.
Where a Specialist is not personally Competent to prepare certain sections of Public Reports, they should retain suitably qualified
professionals who are Competent regarding those matters.
Representative Specialists are persons who are the nominated representative(s) of a legally constituted body, and who supervise
the preparation of a Public Report and accept responsibility for it on behalf of that body. Representative Specialists are Specialists.
The Code uses the term Practitioner for situations that refer to either a Securities Expert or a Specialist;
for example, a Public Report:(i)

is prepared by a Practitioner;(ii)

regarding Mineral Asset Valuation is prepared by a Practitioner;(iii)

regarding Technical Assessment can only be undertaken by a Specialist; and(iv)

regarding Securities Valuation can only be undertaken by a Securities Expert.

2.2. Requirements of Practitioners
A Specialist must:(a)be Competent in, and have had at least five years of recent and relevant industry experience in relation to, the specificMineral Asset to be reported upon;(b)

have at least five years of recent and relevant experience in Technical Assessment, and where a Valuation is being
prepared, have at least an additional five years (totalling a minimum of ten years) of recent and relevant experience inthe valuation of Mineral Assets;(c)be a member of a Professional Organisation with an enforceable professional Code of Ethics and understand that a
violation of the VALMIN Code may result in an investigation in accordance with the rules of the Professional
Organisation; and(d)be familiar with the VALMIN Code, the JORC Code, the relevant requirements of the Corporations Act, the public
policies of ASIC, the ASX or other recognised Securities exchanges, and court decisions that may be relevant to the
Public Report being prepared.

If a Specialist is reporting on Mineral Assets that are entirely of an Early-Stage Exploration Project or Advanced Exploration Projectstatus, the relevant experience must be in the Technical Assessment and Valuation of Mineral Assets of this status.

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guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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If one or more of the Mineral Assets are of Pre-Development or more advanced status, the relevant experience must be in theTechnical Assessment and Valuation of Mineral Assets of at least this level of development.
The key qualifier in the requirements of a Specialist is the word ‘relevant’. Determining what constitutes relevant experience can bedifficult and common sense must be exercised. ‘Relevant’ also means that it is not necessary for a person to have five years’
experience in each and every type of Mineral Asset under consideration in order to act as a Specialist. For example, where aSpecialist has relevant experience in the mineral types that are Material to a Technical Assessment of Mineral Assets, then thatSpecialist may not need to have five years experience for the other Mineral Assets being assessed where they are not Material.
Nevertheless, an understanding of key geological, mining, processing, social and marketing parameters and risks for the specificMineral Asset under consideration is required.
As a general guide, a person being called upon to act as a Specialist should be clearly satisfied intheir own mind that they could face their peers and demonstrate competence in the evaluation of
the Mineral Asset under consideration. If doubt exists, the person should either seek opinions fromappropriately experienced colleagues or decline to act as a Specialist.
Technical Assessments and Valuations of Mineral Assets may be a collaborative effort. Where there is a clear division of responsibilities,
each person must accept responsibility for their own contribution.
If only one Specialist signs the Technical Assessment or Valuation, that person is responsible and accountable for the whole ofthe documentation under the VALMIN Code. It is important in this situation that the Specialist accepting overall responsibility for a
Technical Assessment or Valuation and supporting documentation is satisfied that the work of the other contributors is acceptable.
Where a Securities Expert participates in a Valuation of, or is seen to be providing advice in relation to, Mineral Securities (asopposed to the valuation of the underlying related Mineral Assets) or provides a Vendor Consideration Opinion, they must holdappropriate financial licences. In Australia, this is an AFSL as required by Chapter 7 of the Corporations Act.

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Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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3. Code Principles
The fundamental Principles of the VALMIN Code are Competence, Materiality and Transparency.

3.1. Competence(a)Requirement

Competence or being Competent requires that the Public Report is based on work that is the responsibility of a suitably qualified
and experienced person who is subject to an enforceable professional Code of Ethics.
(b)

Responsibility

A Practitioner must be involved in the preparation of a Public Report and may be required to seek assistance from other relevant
professionals.
All Practitioners must have Competence in the relevant technical and commercial disciplines. Depending on the nature of the Public
Report involved, Competence in geosciences, engineering, metallurgy, environmental assessment, geopolitics, finance, tax, law,
Tenure, valuation, commerce and the Modifying Factors may all be required.
Practitioners must be able to demonstrate to the Commissioning Entity and those entitled to receive a Public Report that they are
sufficiently Competent to either prepare or contribute to a Public Report.

3.2. Materiality(a)Requirement

Materiality or being Material requires that a Public Report contains all the relevant information that investors and their professional
advisors would reasonably require, and reasonably expect to find in the report, for the purpose of making a reasoned and balanced
judgement regarding the Technical Assessment or Mineral Asset Valuation being reported.
(b)

Responsibility

All assumptions must be set out clearly in the Public Report, including appropriate reference to confidential information that is notdisclosed as described in Clause 6, regarding:(i)

Material, technical and commercial parameters;(ii)

the risks associated with those assumptions; and(iii)

the Valuation Approaches and Valuation Methods used.

Any departures from the VALMIN Code must not have a Material effect on the Technical Assessment or Valuation and must be
disclosed and justified in the Public Report.
Where it is impossible or impracticable to obtain sufficiently accurate or reliable data, this must be stated in the Public Report.
Additional detail on the Australian regulatory requirement can be found in ASIC Regulatory Guide (asat the date of this Code) RG 111.

(c) Determination
The determination of what is Material depends on both qualitative and quantitative factors. A parameter may be Material in thequalitative sense because of its nature (for example, country risk). Practitioners must ensure that all Material information isconsidered.
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guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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A general rule in determining if information is Material is:•‘… if its omission or misstatement could influence the economic decisions of users taken on the basis of the Public
Report (International Accounting Standard Committee, 1989)
Guidance for the determination of Materiality as a percentage variation can be found in the Australian
Accounting and International Financial Reporting referencing standard:• an amount that is equal to or greater than 10% may be presumed to be Material unless there isevidence or a convincing argument to the contrary;• an amount that is equal to or less than 5% may be presumed to not be Material unless there isevidence or a convincing argument to the contrary.

Two tests should be used in determining whether an item is Material:•

a quantitative test (a percentage variation); this is an area that requires a degree of professional judgment to identify
information that is relevant and to determine between information that is ‘need to know’ and that which is ‘nice toknow’; and•a qualitative test; that is, the nature of the item and whether knowledge of it would influence the economic decisionsof investors.
Guidance on qualitative factors may be found in the ASX Listing Rules, (as at the date of this Code)
Guidance Note 31.

3.3. Transparency(a)Requirement

Transparency or being Transparent requires that the reader of a Public Report is provided with sufficient information, thepresentation of which is clear and unambiguous, to understand the report and not be misled by this information or by omission ofMaterial information.
(b)

Responsibility

Both the process and Public Report must be as Transparent, objective and rigorous as the data and other Material information
available to the Practitioner will allow. The conclusion of a Public Report will depend on the key assumptions that the Practitioner
must reasonably disclose and discuss.
This may include the assessment of:(i)

Mineral Resources, Ore Reserves, extraction, mining, processing, marketing, valuation, mine closure
and Tenure issues,(ii)

Modifying Factors,(iii)

the approach adopted, and(iv)

the methodology or methodologies used, which must be clearly set out in the Public Report.

Where it is not possible to provide an appropriate description, the reason for not doing so should be presented on an ‘if not, why
not basis’.

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guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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4. Additional requirements
Further to the Code Principles, additional requirements are Reasonableness and Independence.

4.1. Reasonableness(a)Requirement

Reasonableness requires that an assessment that is impartial, rational, realistic and logical in its treatment of the inputs to a
Valuation or Technical Assessment has been used, to the extent that another Practitioner with the same information would make asimilar Technical Assessment or Valuation.
(b)

Responsibility

A Reasonableness Test means the Practitioner must:(i)

perform an impartial assessment to determine if the overall Valuation Approach, Valuation Method and Valuation, orTechnical Assessment used is reasonable. Such a test will serve to identify Technical Assessments and Valuations
that may be out of line with industry standards and norms;(ii)

meet the Reasonable Grounds Requirement;(iii)

make a positive statement that the inputs, assumptions, Valuation Approaches, Valuation Methods and Technical
Assessment or Valuation meet the Reasonable Grounds Requirement; and(iv)

not disclaim liability for the Valuation Approach, Valuation Method and Valuation, or Technical Assessment.
Guidance on making positive statements and disclaimers can be gained from ASIC Regulatory Guides(as at the date of this Code) RG 111, RG 170 and the ASIC Information Sheet – Mining and resources–. Forward-looking statements.

(c)

Determination

The test for whether reasonable grounds exist is objective.
Sections of the Corporations Act and sections of the Australian Securities and Investments Commission Act require statements about
future matters to be based on reasonable grounds at the time of making the statement, or they will be taken to be misleading.
The Reasonable Grounds Requirement can be found in the Corporations Act, (as at the date of this Code)
Sections 670A(2), 728(2) and 769(C) and the Australian Securities and Investment Commission Act,
(as at the date of this Code) Section 12BB and find guidance in the ASIC Information Sheet – Mining
and resources –. Forward-looking statements.
The Reasonable Grounds Requirement extends to all existing or potential M ineralisation as well as the Modifying Factors. A
Public Report must not be provided unless a suitably objective Reasonableness Test is applied.

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4.2. Independence(a)Requirement

Independence or being Independent requires that there is no present or contingent interest in the Mineral Asset(s), nor is there
any association with the Commissioning Entity or related parties that is likely to lead to bias.
Where the legal definition of Independence or Independent differs from the above, the legal definition takes precedence.
(b)

Responsibility

Independence is not a formal requirement under the VALMIN Code. However, Practitioners must familiarise themselves and must
conform to the relevant statutory and regulatory definitions and requirements of independence in the relevant jurisdictions.
The Corporations Act and ASIC Regulatory Guidelines are to the effect that Practitioners must be, and must appear to be, Independentwhen preparing reports for certain transactions. In addition, an AFSL Licensee must comply with conflict management provisions.
ASIC may determine whether an Expert is independent and whether disclosures in relation to this areadequate as per ASIC Regulatory Guide (as at the date of this Code) RG 112.

(c)Disclosure

In order to support a declaration of Independence or to enable Practitioners to assess whether or not they may be deemed to be
Independent, they must disclose in the Public Report any interest that could be seen as compromising their Independence. Suchdisclosures must:(i)be made as early as possible to the Commissioning Entity;(ii)

be prominently included in the Public Report;(iii)

include declaration of any previous reports that the Practitioner has prepared relating to the Mineral Assets being
assessed or valued; and(iv)

not absolve the Practitioner from any legal requirement to be Independent.
A Practitioner previously engaged by the Commissioning Entity or an associated party should notnecessarily be considered to have their Independence impaired. Each circumstance should beassessed, taking into account the facts.

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guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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5.

Public Report

5.1. Intent of a Public Report
The intent of a Public Report is to gather, summarise and interpret the Material information related to the Mineral Assets underconsideration along with the opinions of the Practitioner, which are to be presented clearly, concisely and accurately.
The Practitioner must state in the Public Report its specific purpose (and that of any subsidiary reports), its terms of reference andif there are any limitations on its use for other purposes.
Public Reports include, but are not limited to:(a)Technical Assessment Report,(b)Valuation Report,(c)

Independent Expert Report,(d)corporate presentations, and(e)news releases relating to points (a), (b), (c) or (d).

5.2. Report content(a)Clear, concise and effective

Public Reports should be worded and presented in a clear, concise and effective manner. This applies to both the wording of
information (for example, choice of language) and the presentation (for example, choice of communication tools) of a Public Report.
Practitioners must be aware of the wording and presentation requirements of the relevant jurisdiction.
In Australia, guidance on this matter may be obtained from documents including ASIC Regulatory
Guide (as at the date of this Code) RG 228, which directly references the VALMIN Code.
Detailed technical information and data must be included in the Public Report if it is Material to the Technical Assessment or
Valuation. Explanations of unusual or new technical processes and activities that may be Material to the understanding of theTechnical Assessment or Valuation should be included.
A Public Report is ultimately an opinion based on a reasonable assessment of the available factual
data. Public Reports prepared by different Practitioners may result in different conclusions.
The Public Report should include relevant tables, legible and appropriately scaled maps, graphicalpresentations and a glossary of terms and acronyms.

(b)

Information

A Public Report must contain all the information that the Commissioning Entity (and others, including investors and their professional
advisors) would reasonably require and expect to find to make an informed decision about the subject of the Public Report.

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A Public Report should contain:(i)an executive summary setting out the key data, important assumptions made and conclusions
drawn by the Practitioner,(ii) a summary of contributing authors to the report and areas of responsibility within the report,
which should outline the names, qualifications and relevant experience of the Practitioner,(iii)

the effective date of the Public Report,(iv)

a statement specifying the relevant currency used in any Valuation,(v)

a description of the relevant Mineral Assets, including their location, plant, equipment,
infrastructure and ownership,(vi)

an account of the Material history of the Mineral Assets,(vii) a balanced, impartial statement of the Practitioner’s review and conclusions so that an
informed person can have a clear understanding of the merit of the Mineral Assets, theirvalue (if applicable) and associated risks,(viii) information regarding the sources of data used,(ix)

sufficient information to convey how the Public Report was prepared, including details of
the approaches and methods employed, and sufficient information so that another
Practitioner can understand and replicate the outcome,(x)

a review of any other matters that are Material to the Public Report,(xi)

advice on reliance on third party personnel and/or disclaimers, and(xii) an outline of any areas within a report where there is non-conformance with the VALMIN
Code and the impact of this on Materiality.
The Practitioner must be familiar with the content requirement of the relevant jurisdiction.
In Australia, guidance pertaining to a Public Report’s content may be obtained from ASIC Regulatory
Guide (as at the date of this Code) RG 111.

(c)

Sources

The Practitioner must state the sources of all Material information and data used in preparing a Public Report. Subject to any
confidentiality, regulatory requirements and consents, references to the relevant published and unpublished reports and records must
be provided. It may also be necessary to cite reports, data and records that were either available or known to the Practitioner thatwere possibly Material but not used, and the reasons why they were not used.
Practitioners should ensure the accuracy of summaries of or extracts from existing reports prepared by others, with any quotations
used being in the form and context intended by the original authors.
The Practitioner must be familiar with the consent requirements of the relevant jurisdiction.
In Australia, guidance on obtaining consent to quote other authors can be found in ASIC Regulatory
Guide (as at the date of this Code) RG 55 and ASIC Class Orders CO 07/428 and 429.

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Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

VALMIN Code, 2015 Edition

Practitioners must not rely uncritically on the data and information. They must undertake suitable checks, enquiries, analyses andverification procedures considered by the Practitioners as meeting the Reasonable Grounds Requirement for the soundness of the
inputs that lead to the conclusions drawn in a Public Report.
The data and information must not have been rendered invalid due to the passage of time and circumstance at the date of theTechnical Assessment or Valuation. Such changes may include capital and operating cost structures, exploration techniques,geological interpretation and mining and metallurgical technologies.
(d)Responsibility

The Specialist must accept responsibility for assessing the technical data and information, interpretations, discussions and conclusions,forecasts and parameters used in a Technical Assessment or Valuation of a Mineral Asset. For Mineral Asset Valuations undertaken by
the Specialist, the Specialist must also accept responsibility for the Valuation Approach, Valuation Methods and Public Report conclusion.
Technical Assessments and Valuations of Mineral Assets may be a collaborative effort. Where there is a clear division of responsibilities,
each person must accept responsibility for their own contribution.
The Practitioner must clearly state within the Public Report under what conditions the work of other third parties has been relied
upon and identify such other persons.
(e) Figures, maps, diagrams and tables
Maps and plans displaying Mineral Assets should employ the standard co-ordinate system adopted in the jurisdiction in which theMineral Asset is located.
A Public Report should include appropriate photographs, plans, diagrams, graphs and maps, including
one showing the geographical location of the Mineral Asset in relation to a capital city or major
town. Maps, plans or other graphic information should be sufficient to illustrate the geology andother pertinent features. In particular, a map should show local landmarks and boundaries, dimensions
and location relative to nearby projects that may have a significant bearing on the Mineral Asset.
Maps and graphics in a Public Report should:(i)be of a suitable scale and with a recognised co-ordinate system;(ii)

show a bar scale and a direction arrow pointing north, designated as either magnetic, trueor grid north;(iii)

show key area infrastructure where appropriate (eg ports, roads, power and water supply);(iv)

be readable and prepared so that no data is lost or obscured if it has been reduced in sizefor printing;(v)

if showing Exploration Results, be of such a scale so as to assist in the assessment ofsampling and other exploration procedures; and(vi)

use standard industry symbols.

Where the exploration potential of Tenure is based on the results of geophysical or geochemical surveys, some form of graphicalinterpretation showing the results and interpretations of the surveys should be included in the Public Report.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

5.3. Technical Assessment Report
A Technical Assessment Report involves the Technical Assessment of elements that may affect the economic benefit of a Mineral
Asset.

5.4. Valuation Report
A Valuation Report expresses an opinion as to monetary Value of a Mineral Asset but specifically excludes commentary on thevalue of any related corporate Securities.

5.5. Independent Expert Report/Specialist Report
An Independent Expert Report is a type of Public Report which may be required by the Corporations Act, the Listing Rules of the
ASX or other security exchanges. A report will only be an Independent Expert Report when the Practitioners are Independent of theCommissioning Entity and are perceived and acknowledged to be so by the Commissioning Entity.
When an Independent Expert Report requires a Technical Assessment and/or Valuation of Mineral Assets (the Specialist Report), theSpecialist Report must be prepared by a Specialist.
The purposes for which the Code may apply include, but are not limited to:

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(a)

compensation for compulsory acquisitions,(b)protection of the rights of shareholders in transactions between associated parties,(c)public floats,(d)‘fairness and reasonableness’ reports (RG111) relating to an expressed opinion on a
proposed acquisition or disposal of an asset or Securities,(e)the justification for raising debt or equity finance from an outside party,(f)facilitating negotiations between partners,(g)

the assessment of Government charges and taxes,(h)estate settlements,(i)litigation,(j)reports for receivers and administrators, or(k)accounting and financial reporting.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

VALMIN Code, 2015 Edition

6.

Commissioning a Public Report

6.1. Written engagement
When a Practitioner is not an employee of the Commissioning Entity, they must enter into a written agreement with the Commissioning
Entity. This may be by an exchange of letters or emails specifying the terms governing the preparation of a Public Report.
This written agreement should include contractually binding terms of engagement from theCommissioning Entity that were agreed upon prior to the commencement of the report. The terms ofengagement should specify the requested information required to complete the exercise in accordancewith the VALMIN Code and the effective date of the Public Report.
In Australia, the Commissioning Entity has a statutory obligation to provide the Practitioner with all the information it is aware of about
the subject of the Public Report in sufficient detail to enable the Practitioner to determine its relevance.
Further guidance on the relationship between the Commissioning Entity and Practitioners may befound in Australian Corporations Act 2001 s648A(3) and s667B(2), ASIC RG 112.31–112.37.

6.2. Scope
The written agreement with the Commissioning Entity must cover the scope and purpose of the Public Report.
The agreement should address, but is not limited to, such matters as:(a)the purpose of the Public Report;(b)name(s), qualifications and relevant experience of the Practitioner;(c)an acknowledgement of the Independence and Competence of the Practitioner;(d)the effective date as agreed by the Commissioning Entity and the Practitioner; (e)name(s) or title(s) of the subject of the Public Report and of the Mineral Assets;(f)

the basis for the cost of the Public Report;(g)when the Practitioner may refuse to provide an opinion or report as it is impossible or
impractical to obtain sufficient accurate or reliable data or information;(h)with respect to an Independent Expert Report, the Practitioner to be engaged, their termsof engagement and the areas in which they are to contribute to the Public Report;(i)the right and obligation of the Practitioner to base findings on information within their own
knowledge or acquired as a result of their own investigations, as well as on the information
provided by the Commissioning Entity;

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition(j)acknowledgement that the Practitioner is obliged to conform with the VALMIN Code;(k)a program for the progress and completion of the Public Report; this may include thedates for the completion of intermediate activities, the provision of data and informationby the Commissioning Entity, the review of data and information by the Practitioner and theissuing of a draft of the Public Report to the Commissioning Entity;(l)notification that the Practitioner should keep records of discussions with the Commissioning
Entity, a list of all documents to be referred to in the Public Report, copies of all Material
source documents and due diligence notes; and(m)the provision of draft reports is for the purpose of factual checking by the Commissioning
Entity.

Further guidance on the provision of draft reports and keeping records may be found in ASIC
Regulatory Guide (as at the date of this Code) RG 112.

6.3. Cost
The cost of a Public Report will normally reflect the complexity of the Technical Assessment or Valuation, the amount of and stateof the data available and the specific assessment or valuation difficulties encountered. Fees or the provision of further work to thePractitioner must not be dependent on the:(a)conclusions of the Technical Report; or(b)

success or failure of the reason for which the Public Report was commissioned.

Time and cost constraints must not compromise the fundamental principles and requirements of the VALMIN Code. Any restrictions
negatively affecting the depth of analysis or the extent of detail required must be recorded in the Public Report.
The cost of providing the Public Report must be disclosed.

6.4. Provision of previous reports
The Practitioner must seek from the Commissioning Entity the results of any Public Report it commissioned with respect to theTechnical Assessment or Valuation of the Mineral Assets in question that could reasonably be considered to be Material. This should
include any reports previously commissioned and completed but not made public.
If any Material Public Report is not presented to a Practitioner, the Commissioning Entity must ensure that the Practitioner is aware of
the omission. The Practitioner must ensure that any resultant reports are qualified accordingly.
A Practitioner should make written enquiries of the directors or management of the Commissioning
Entity about any other prior relevant technical, valuation or similar assessment reports. The Practitioner
should interview relevant personnel and review the Commissioning Entity’s database, responses toenquiries, reports and all other information and data relevant to the Public Report.

6.5. Confidential information
Some of the information that a Commissioning Entity holds concerning the subject matter of a Public Report may be regarded asconfidential (such as offtake agreements for mineral concentrates). Therefore, it may not appear in a Public Report, even though it
may be taken into account in the Technical Assessment and/or Valuation. However, there is no express exemption in the Corporations
Act for disclosure of confidential information in Public Reports and disclosure may be required.

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guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

VALMIN Code, 2015 Edition

A Practitioner must obtain written confirmation from the Commissioning Entity as to whether any information is confidential. The
Practitioner must take reasonable steps to gain access to all relevant confidential information from the Commissioning Entity. The
Practitioner must then inform any other involved professional of any confidential information requirements. The Practitioner must
review what aspects of the information needs to be disclosed in the Public Report.
In cases where commercially sensitive information is excluded from a Public Report, the report should provide summary informationand context for the purpose of informing investors or potential investors and their advisers.
For example, explain the methodology used to determine economic assumptions where the numericalvalue of those assumptions are commercially sensitive.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

7.

Technical Assessment

A Technical Assessment is an evaluation prepared by a Specialist of the technical aspects of a Mineral Asset.
Depending on the development status of the Mineral Asset, a Technical Assessment may include any or all of:(a)Tenure,(b)

regional and local geology,(c)

Mineralisation, hosting potential and prospectivity,(d)exploration and production history,(e)

Mineral Resources, Ore Reserves, Exploration Results and Exploration Targets,(f)extraction methods and design,(g)processing methods, flowsheets and recoveries,(h)infrastructure availability and requirements,(i)estimated capital and operating costs,(j)actual and projected, or forward estimate, production,(k)environmental, social and heritage impacts,(l)

JORC Code Modifying Factors and other aspects that could reasonably be expected to
impact on the economic potential, and(m)product pricing and revenue factors.

7.1. Study terminology
The various levels of assessment commonly use a number of technical terms. The terminology used in a Public Report must be
consistent with the Definitions and Glossary.

7.2. Tenure Status
The Status of Tenure is Material and requires disclosure. A determination of the Status of Tenure is necessary and must be based on a
sufficiently recent inquiry to ensure that the information is accurate for the purposes of the Public Report in question. A Practitioner
must determine whether this inquiry is to be conducted by a Specialist or another suitably qualified party, but Tenure that is Materialmust be or recently have been verified independently of the Commissioning Entity.
A Public Report must contain a list of all Material Tenure that is prepared by or on behalf of the Practitioner, unless that information isprovided in an accompanying report.

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VALMIN Code, 2015 Edition

A Tenure list should specify:(a)Tenure area, expiry and renewal dates,(b)

expenditure commitments, rents and rates, security bonds or reclamation liability,(c)obligations to any third party, including, but not limited to, joint venture or royalty
agreements, and(d)title and location of any contiguous and geologically related Tenure that, in the opinion of
the Practitioner, may have a Material bearing on the value of the Tenure under consideration.

7.3. Mineralisation, Mineral Resources and Ore Reserves(a)Definitions

Mineral Resources, Ore Reserves and Exploration Targets have the same meanings as in the current version of the Australasian
Code for the Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code).
(b)

Quality and Reasonableness

The Specialist must comment on the quality and Reasonableness of any Mineral Resource or Ore Reserve estimates. The extent towhich they have been reported in accordance with applicable statutory requirements, applicable Listing Rules and the JORC Code must
be presented.
Exploration Targets involve forward-looking statements, for which there must meet the Reasonable Grounds Requirement.
(c)Correlation and causation

Where Mineralisation on a nearby property is noted in the Public Report, maps or sections should indicate the relationship of its
geology to that of any Tenure that is the subject of the Public Report.
Where comparisons are made with geological situations at known Mineral occurrences, all relevant factors should be presented.
Where a causal relationship such as continuity of geological structures is claimed, a Specialist should clearly show how the claimed
continuity is considered relevant to the Public Report. Where a comparison has been made and there is no causal relationship, thismust be stated.
The absence of mineralisation on adjoining or nearby Tenure may be as important as its presence. When Material to a Public Report,
the Specialist should disclose and explain the presence or absence of known mineralisation or Exploration Results.

7.4. Mineral Extraction
A Public Report that deals with current or proposed mining and processing must include:(i)a description of mining or recovery methods with the relevant forecast and realised mining or recovery statistics;(ii)

a description of plant, technology and operating practices, together with actual or forecast process plant recoveries
from mill feed to marketable products; and(iii)

if relevant, reasons to support any recommendation to reopen facilities that are either on care and maintenance or
have been abandoned.

A Production Target is a projection or forecast of the amount of Mineral to be extracted from particular Tenure for a period that
extends past the current year and the forthcoming year.
Production Targets involve forward-looking statements, for which there must meet the Reasonable Grounds Requirement.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

In Australia, the ASX and ASIC regulate the reporting of Production Targets.
(a)Practices

Any existing or proposed operating, environmental and social practices must be reviewed to establish the technical, economic,
environmental and social feasibility of the operation.
Matters to be reviewed for Mineral Assets may include, but are not limited to:(i)mining and processing methods,(ii)

grade control, mining loss and dilution,(iii)

geotechnical, hydrological and climatic conditions,(iv)

mineralogical and metallurgical factors likely to affect process recovery,(v)

flow sheet design,(vi)variability of the mineralised body’s physical and chemical properties,(vii) metallurgical recoveries and performance,(viii) tailings and waste disposal,(ix)

quantity and quality of final and intermediate products and waste,(x)

labour sources, requirements and productivity,(xi)

operating practices and technologies employed or to be employed;(xii) equipment availability, utilisation and performance,(xiii) energy and water sources,(xiv)

recent trial mining and treatment data (for proposed operations),(xv)

construction and commissioning schedules,(xvi)

marketability of products, revenue factors, commodity prices and exchange rates,(xvii) product transport and realisation issues,(xviii) environmental, legal, statutory and social constraints and commitments, and
(xix)

(b)

closure and post-closure activities and schedules.

Performance estimates

Comparison of proposed performance estimates to relevant prior performance.
Such comparisons should include, but are not limited to:

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(i)

tonnage or volumes mined and, where applicable, processed,(ii)

reconciliation of past production to Ore Reserve estimates,(iii)

product quantity and quality, and(iv)

production cost.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

VALMIN Code, 2015 Edition(c) Other factors
A Public Report must disclose any Material existing or potential obstacles to exploring, developing or mining activity related to theMineral Asset. This may include statutory, legal, technical, environmental, commercial, socio-political or other obstacles to future
exploration, development or production.

7.5. Capital and Operating Costs(a)

Estimates

A Public Report should outline the range or assessed order of accuracy of forecast capital and operating cost estimates that havebeen adopted, together with supporting data and date reference.
The Specialist should review and describe the actual and forecast capital and operating costs for the estimated productive life of theMineral Assets subject to the Public Report.
Where a Public Report includes information relating to projected costs, the Specialist must apply the Reasonableness Test to thesecosts and make any adjustments if necessary.
(b)Adequacy

The Specialist should report the adequacy of (and obstacles to) accessing appropriate services and infrastructure, and at what cost.
Capital and operating cost estimates should take into account any likely changes with time in factors such as work practices andproductivity, and be sufficiently detailed to assess whether they are realistic and achievable.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

Estimates of capital costs are likely to include, but are not be limited to:(i)feasibility and associated studies costs,(ii)

acquisition cost,(iii)

construction, implementation and commissioning costs,(iv)

working capital,(v)

owner’s cost,(vi)sustaining capital,(vii) decommissioning, rehabilitation and site restoration costs,(viii) contingency allowance, and(ix)a stated level of accuracy of cost estimates.

Estimates of operating costs are likely to include but are not limited to:(i)workforce employment,(ii)

consumables and spare parts,(iii)

power, water and other services,(iv)

contract services,(v)

equipment lease and hire,(vi)

on-site and off-site administration,(vii) environmental protection and monitoring, and non-capitalised rehabilitation,(viii) transport and accommodation of workforce,(ix)

social and community programs,(x)

product marketing, transport and realisation,(xi)

taxes, royalties and other governmental charges,(xii) contingency allowance, and(xiii) a stated level of accuracy of cost estimates.
Services and infrastructure to be considered include power, water supply, transport, communications,security, workforce accommodation, housing, medical services and waste and tailings treatment and/ or
disposal facilities. The Public Report should also review any access and terrain conditions that may affectthe logistics of exploration and development.

(c)Comparison

Where the Practitioner considers it appropriate, capital and operating cost estimates should be compared to relevant similar
operations.
Both capital and operating costs should be set out under broad functional headings and in terms of asuitable unit such as ‘per ounce of gold produced’ or ‘per tonne of annual plant throughput’, in
addition to total capital and total annual operating costs.

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VALMIN Code, 2015 Edition

7.6. Revenue(a)Assumptions

A Public Report should assess the Mineral Asset’s potential revenue stream over an appropriate period.
Where a Public Report includes information relating to forecast revenue, it must set out a reasonable basis for price-related
assumptions applying to any product(s) derived from the Mineral Asset.
The price-related assumptions may include, but are not limited to:(i)forecast product prices, smelter treatment and refinery charges, current and forecast
market conditions and the likely quantity and quality of product,(ii)

penalty and premium components of the product,(iii)

variation in product price and basis and source of forecast product prices used,(iv)

size, nature and location of markets,(v)

commodity market imbalances and pricing discounts or premiums,(vi)sales volumes,(vii) price escalation,(viii) exchange rates,(ix)

hedging or forward sales contracts, and(x)residual value.

The potential revenue estimates should be clearly stated as being either in real or nominal currency terms.
Where by-product credits are a Material contributor to revenue, costs of production should be documented with and without byproduct credits.
A Practitioner must apply the Reasonableness Test to revenue assumptions and make any adjustments if necessary.
(b)Market assessment

Consideration of the proposed production volume and product quality with likely market opportunities and available Mineral
Resources and/or Ore Reserves should be incorporated into the Public Report.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

8. Valuation
8.1 Basis of ValueA Public Report must disclose the basis of value. The basis of value is a statement of the fundamental measurement assumptions of avaluation. The VALMIN Code primarily uses the terms Market Value and Technical Value, although circumstance may require the useof alternative definitions.
Technical Value is an assessment of a Mineral Asset’s future net economic benefit at the Valuation Date under a set of assumptions
deemed most appropriate by a Practitioner, excluding any premium or discount to account for market considerations.
The term Technical Value has an intended meaning that is similar to the IVSC term Investment Value.
Market Value is the estimated amount (or the cash equivalent of some other consideration) for which the Mineral Asset should
exchange on the date of Valuation between a willing buyer and a willing seller in an arm’s length transaction after appropriate
marketing where the parties had each acted knowledgeably, prudently and without compulsion.
The term Market Value has the same intended meaning and context as the IVSC term of the same
name. This has the same meaning as Fair Value in RG111. In the 2005 edition of the VALMIN Codethis was known as Fair Market Value.
Market Value may be higher or lower than Technical Value. A Public Report should take such factors into account, stating the results ofthe principal Valuation Method(s) used and disclosing the amount of and reasons for the difference between the Market Value andTechnical Value.
A Valuation Report must state the nature of the Value(s) determined and their Valuation Date(s).
As the Values of Mineral Assets are likely to fluctuate over time, a Practitioner must ensure that the opinion expressed and theValuation provided is consistent with circumstances as of the Valuation Date.

8.2. Common Valuation Approaches
The selection of the Valuation Approach and underlying Valuation Method used is the responsibility of a Practitioner and must not
be influenced by the Commissioning Entity or other parties.
Within each Valuation Approach, there are Valuation Methods that share a common rationale or basis but differ in how they arecalculated.
Three widely accepted Valuation Approaches are:(a)Market-based, which is based primarily on the notion of substitution. In this Valuation Approach the Mineral Assetbeing valued is compared with the transaction value of similar Mineral Assets under similar time and circumstanceon an open market.
Valuation Methods include but are not limited to comparable sales transactions and joint ventureterms.

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VALMIN Code, 2015 Edition(b)

Income-based, which is based on the notion of cashflow generation. In this Valuation Approach the anticipatedbenefits of the potential income or cash flow of a Mineral Asset are analysed.
Valuation Methods include but are not limited to discounted cashflow and multiples of earnings.

(c)

Cost-based, which is based on the notion of cost contribution to Value. In this Valuation Approach the costs incurredon the Mineral Asset are the basis of analysis.
Valuation Methods include but are not limited to sunk costs or current replacement costs.
Guidance on Valuation Approaches and Valuation Methods may be obtained from International
Financial Reporting Standard number 13.

8.3. Appropriate Valuation Approach
While each Valuation is time- and circumstance-specific, a general guide to the applicability of each Valuation Approach is outlined inTable 1.

TABLE 1
Valuation Approach Exploration Projects
MarketIncome
Cost

Yes
No
Yes

Pre-development
Projects

Development
Projects

Production Projects

Yes
In some cases
In some cases

Yes
Yes
No

Yes
Yes
No

For papers on valuation in the minerals sector, refer to the OneMine Global Library on the AusIMM website (http://www.ausimm.com.au) and the Publications section of the AIG web site(http://www.aig.org.au).
A Valuation Report should make use of at least two Valuation Approaches. Where more than one Valuation Approach is used, thePractitioner should comment on how the results compare and on the reasons for selecting the Value adopted. If it is impractical touse two Valuation Approaches, the Practitioner must clearly and unambiguously outline the reasons for not doing so.
A Practitioner must make use of Valuation Methods that are suitable for the Mineral Assets under consideration. Selection of an
appropriate Valuation Method will depend on such factors as the:(a)nature of the Valuation;(b)development status of the Mineral Assets; and(c)extent and reliability of available information.

The Practitioner must disclose and discuss in the Public Report the Valuation Method(s) used, having regard to each of these factors sothat another Practitioner can understand the procedure and arrive at a similar conclusion within reasonable bounds. It may also be
desirable to discuss why a particular Valuation Method has not been used.

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8.4. In Situ Values
Consistent with the JORC Code, in ground (in situ) values must not be reported in a Public Report.
For example, applying a $1,500 ounce gold price to a 100,000 ounce gold deposit and reporting anin situ value of $150,000,000 is not permissible as this approach ignores appropriate Modifying Factors
such as metallurgical recovery and is a misleading statement.

8.5. Use of Ore Reserves and Mineral Resources
All Ore Reserves and Mineral Resources must be considered in a Technical Assessment or Valuation. When the Reasonable Grounds
Requirement has been met for a Valuation, it is generally acceptable to use all Proved and Probable Ore Reserves in the Income
Approach. It may sometimes be appropriate to include other classifications, but these must, subject to the Reasonableness Test:(a)meet the minimum reporting requirements of the ASX Listing Rules and guidance, the ASIC Regulatory Guidelinesand guidance, and the JORC Code;(b)

not include Exploration Targets that have not been converted to Production Targets;(c)be scheduled for extraction behind Proved and Probable Ore Reserves, where practical to do so;(d)include a statement by the Specialist that confirms the appropriateness of the Modifying Factors along with adescription of their level of certainty relative to those of a Feasibility Study or Pre-Feasibility Study; and(e)be discounted in a manner that is commensurate with the increased uncertainty.

8.6. Range
A range of values (high/most likely/low) must be determined and stated in a Public Report to reflect any uncertainties in the data andthe interaction of the various assumptions made; however, the range should not be so wide as to render the conclusion of the Public
Report meaningless.
A Public Report should also include a sensitivity analysis showing the effects of changing the most significant assumptions. In allcases, a most likely outcome should be identified. Any reasons for not doing so must be stated in the Public Report.

8.7. Market premium or discountWhen a premium or discount is used in determining a Market Value, a Practitioner must state how these have been taken into
account.
For example, based on empirical evidence from relevant data points, a controlling stake (eg 51%)
may have a Market Value that is other than 51% of the 100% equivalent transaction.

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VALMIN Code, 2015 Edition

9.

Financial Modelling9.1. Taxation and royalties
The basis for using income tax and other taxes, royalties, cost escalation, inflation and exchange rates in a cash flow model for
Valuation purposes must be stated in the Public Report.
For guidance regarding the structure and good practice for financial modelling, refer to the “Guidelines
for Technical Economic Evaluation of Minerals Industry Projects”, which is included in Appendix 1 of
the AusIMM Mine Manager’s Handbook – Monograph 26 or (as at the date of this Code) is available
from http://www.ausimm.com.au/content/docs/guidelines_tech_economic_evaluation2012.pdf.

9.2. Financing
The conclusions of a Public Report may be affected by the nature of the financing arrangements for a project. A Practitioner should
therefore review any such commitments made and the likelihood and form of financing.
Depending upon the terms of reference of the Public Report and subject to the Reasonable Grounds
Requirement, the Practitioner may need to assume an appropriate standard financing structure andappropriate funding timeframe.
In Australia, guidance on financing factors to be taken into account may be obtained from documentsin the ASIC Regulatory Guides.

9.3. Liabilities, commitments and financial exposures
Depending upon the scope of the Public Report, the Practitioner should report upon liabilities, commitments and financial exposures.
Such financial exposures may include, but are not limited to:(a)creditors,(b)expenditure and commitments on exploration Tenures,(c)the cost of environmental regulatory requirements, rehabilitation and mine closure,(d)security deposits, and(e)material agreements and contracts, including development plans, sales contracts, joint
venture agreements, royalty agreements, project permits and environmental and accessrequirements.

The nature and basis of any consideration or benefit payable to a vendor, promoter or provider of seed capital, and of any conditions
involved, should be assessed and quantified in a Public Report.

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9.4. Forecasts
Current and forecast future economic conditions and Securities markets may influence the economic viability and Value of Mineral
Assets. A Public Report should contain a discussion of these conditions, along with supporting evidence.
Financial models use forecast assumptions. Such forecasts may be considered forward-looking statements and therefore thePractitioner must be familiar with the relevant requirements about such statements.
In the Australian context, this may include the provisions of ASIC Regulatory Guide (as at the date ofthis Code) RG 170.

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Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

VALMIN Code, 2015 Edition

10.

Risks and opportunities

A Public Report should include an evaluation of the risks likely to apply to the Mineral Assets under consideration. A risk evaluation
includes an analysis of the uncertainties inherent in the assumptions made and the effects they may have on the outcome.

Risks may arise with respect to the availability, uncertainty and quality of data and other information,
including, but not limited to:(a)geological prospectivity and the possibility that further exploration may fail to demonstrateeconomic Mineralisation (in the case of projects without defined Ore Reserves),(b)geology of the mineral deposits,(c)estimation of Mineral Resources or Ore Reserves,(d)operational aspects including the mining/extraction method, dilution and mining losses,
equipment sizing and efficiencies, use of selective mining assumptions, waste
management, meeting regulatory requirements and mine closure,(e)mineral processing and the variability of metallurgical parameters and wellfield extraction
such as recovery rates, process plant availability and the ability of new processes to befinanced and perform as forecast,(f)construction, including unforeseen physical conditions or weather or industrial disputes,
which may affect both capital costs and completion date,(g)

provision and adequacy of infrastructure,(h)commodity price, inflation and exchange rate forecasts,(i)

production of marketable commodities in terms of quality, price and cost of production, (j)sovereign risk involving social, political, environmental, cultural and security factors thatcannot be controlled by project operators, and(k)project funding.

A Practitioner should report upon the likelihood of deviating from base assumptions. These may include delays in completion orcommissioning of projects; major changes in operating practices; or possible difficulties with new or scaled-up technologies,
especially where such factors may have a significant effect on the technical or financial viability of the Mineral Assets. To indicate
the risk profile of the subject of a Public Report, the monetary Value of a Mineral Asset should be expressed numerically as a range,
together with the most likely figure.
Where opportunities are presented in a Public Report, they should be addressed separately to any discussion of risks.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

11.

Other

11.1. Site inspection
Where inspection of a Mineral Asset or Tenure is likely to reveal information or data that is Material to a Public Report, the Specialist
should inspect it.
If an inspection is not made, the Specialist must be satisfied that there is sufficient current information available to allow an informed
evaluation to be made without an inspection and must declare the reasons for not undertaking a site visit.
Any decision not to conduct an inspection must be made by the Specialist and not by the Commissioning Entity and the reason
must be disclosed in the Public Report.
Inspection of Early-stage Exploration Projects would not normally be required, except where theSpecialist considers it to be Material to the Public Report.

11.2. Draft reports
A draft copy of a Public Report should be given to the Commissioning Entity so that it can advise the Practitioner of any Material
omissions, comment on the factual accuracy, and assumptions made and advise on any included information that is confidential.

11.3. Records
A Practitioner must keep records for a minimum of seven years of all correspondence and discussions with the Commissioning
Entity, a list of all documents referred to in the Public Report and, subject to confidentiality agreement provisions, copies of all
Material source documents.

11.4. Indemnities
A Practitioner should obtain an indemnity from the Commissioning Entity under which they will be compensated for any liability:(a)resulting from their reliance on information provided by the Commissioning Entity that is Materially inaccurate or
incomplete; and(b)

relating to any consequential extension of workload through queries, questions or public hearings arising from the
Public Report.

Such an indemnity does not absolve a Practitioner from critically examining the information provided. A
Public Report must disclose the nature and Material details of any such indemnity.

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Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

VALMIN Code, 2015 Edition

12. Declarations
12.1 Standard
A Practitioner must declare in a Public Report that the report has been prepared in accordance with the VALMIN Code or indicate
those areas where the report is not and explain why this is so. The name of the Practitioner responsible for the Public Report must be
included and the Practitioner must sign off on the Public Report.
Issuing of a Public Report concerning the Technical Assessment and Valuation of Mineral Assets is the responsibility of theCommissioning Entity. The Public Report must be based on and fairly reflect the information and supporting documentation
prepared by a Practitioner. A Commissioning Entity issuing a Public Report shall disclose the name of the Practitioner, state whether thePractitioner is a permanent employee of the company and, if not, name the Practitioner’s employer. The report shall be issued withthe written consent of the Practitioner as to the form and context in which it appears.
Appropriate forms of compliance statements may be as follows (delete bullet points that do not
apply):(a)If the required information is in the report:‘The information in this report that relates to Technical Assessment and Valuation of
Mineral Assets reflects information compiled and conclusions derived by (insert name ofPractitioner), who is a (insert Member or Fellow) of (insert The Australasian Institute of
Mining and Metallurgy or the Australian Institute of Geoscientists or a Recognised
Professional Organisation included in a list promulgated from time to time).’(b)

If the required information is included in an attached statement:‘The information in the attached report that relates to Technical Assessment and Valuationof Mineral Assets reflects information compiled and conclusions derived by (insert nameof Practitioner), who is a (insert Member or Fellow) of (insert The Australasian Instituteof Mining and Metallurgy or the Australian Institute of Geoscientists or a Recognised
Professional Organisation included in a list promulgated from time to time).’(c)

Whether the Practitioner is a permanent employee of the Commissioning Entity or not:‘(Insert name of Practitioner) is (not) a permanent employee of the company.’(d)Plus, for all reports:‘(Insert name of Practitioner) has sufficient experience relevant to the Technical
Assessment and Valuation of the Mineral Assets under consideration and to the activity
which (he/she) is undertaking to qualify as a Practitioner as defined in the 2015 edition ofthe ‘Australasian Code for the Public Reporting of Technical Assessments and Valuationsof Mineral Assets’. (Insert name of Practitioner) consents to the inclusion in the report ofthe matters based on (his/her) information in the form and context in which it appears.’

Documentation detailing Technical Assessment and Valuation of Mineral Assets on which a Public Report on the Technical Assessment or
Valuation is based must be prepared by, or under the direction of and signed by, a Practitioner. The documentation must provide a fair
representation of Technical Assessment and/or Valuation being reported.

12.2. Professional Organisation
Where a Public Report is being produced, each of the Practitioners should declare to the Commissioning Entity the name of theProfessional Organisation(s) to which they belong and the Codes to which they must comply.

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

12.3. Qualifications and Organisations
A Public Report must state a Practitioner’s name, qualifications, memberships of Professional Organisations, relevant experience andany requisite licence details. Practitioners must identify the nature and contribution of each author to the Public Report.

12.4. Corporation and licences
Where a Public Report is prepared, the name, registered address and, if registered in Australia, Australian Business Number (ABN),
Australian Registered Body Number (ARBN) or Australian Company Number (ACN) should be included. Where relevant, the AustralianFinancial Services Licence (AFSL) Number should be stated.

12.5. Sign-off
A Practitioner must not sign a Public Report unless the Commissioning Entity has confirmed in writing that:(a)full, accurate and true disclosure of all Material information has been made to the Practitioner;(b)

all necessary access to the Commissioning Entity’s personnel and records has been assured;(c)whether any information from the Commissioning Entity is confidential; and(d)the integrity of the Practitioner and the conclusion of the Public Report has not been compromised.

The Practitioner must be provided with a draft of the Public Report so that the Practitioner can consent in writing to the form andcontext in which the Practitioner’s report will appear.

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Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

VALMIN Code, 2015 Edition

13.

Acronyms

AASB

Australian Accounting Standards Board

ABN

Australian Business Number

ACN

Australian Company Number

AIG

Australian Institute of Geoscientists

ARBN

Australian Registered Body Number

ASIC

Australian Securities and Investments Commission

ASX

Australian Securities Exchange

AusIMM

the Australasian Institute of Mining and Metallurgy

CIMVAL

Standards and Guidelines for Valuation of Mineral Properties Special Committee of the Canadian Institute of
Mining, Metallurgy and Petroleum on Valuation of Mineral Properties

CRIRSCO

Committee for Mineral Reserves International Reporting Standards

IFRS

International Financial Reporting Standards

IMVAL

International Mineral Valuation Standards Committee

IVSC

International Valuation Standards Committee

JORC

Joint Ore Reserves Committee

JORC Codethe Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves

MICA

Mineral Industry Consultants Association

MCA

Minerals Council of Australia

PDS

Product Disclosure Statement (as used in ASIC Regulatory Guide RG55)

PRMS

Petroleum Resources Management System

SAMVALthe South African Code for the Reporting of Mineral Asset Valuation

VALMIN Codethe Australasian Code for the Public Reporting of Technical Assessments and Valuations of Mineral Assets

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

14.

Definitions

Code Principles means the fundamental principles of the VALMIN Code, which are Competence, Materiality and Transparency.
Commissioning Entity is the organisation, company or person that commissions a Public Report.
Competence or being Competent requires that the Public Report is based on work that is the responsibility of suitably qualified
and experienced persons who are subject to an enforceable professional Code of Ethics. Also see Clause 3.2 for
guidance on Competence.
Effective Date means the date upon which the Technical Assessment or Valuation is considered to take effect. This may bedifferent from the Valuation Date or the date upon which an event (such as preparation, transaction or site visit)
actually occurred or is recorded.
Independence or being Independent requires that there is no present or contingent interest in the Assets, nor is there any
association with the Commissioning Entity or related parties that is likely to lead to bias. Also see Clause 4.2 for
guidance on Independence.
Independent Expert Report means a Public Report as may be required by the Corporations Act, the Listing Rules of the ASX orother security exchanges prepared by a Practitioner who is acknowledged as being independent of theCommissioning Entity. Also see ASIC Regulatory Guides RG 111 and RG 112 as well as Clause 5.5 of the VALMIN
Code for guidance on Independent Expert Reports.
Market Value means the estimated amount of money (or the cash equivalent of some other consideration) for which the Mineral
Asset should exchange on the date of Valuation between a willing buyer and a willing seller in an arm’s lengthtransaction after appropriate marketing wherein the parties each acted knowledgeably, prudently and without
compulsion. Also see Clause 8.1 for guidance on Market Value.
Materiality or being Material requires that a Public Report contains all the relevant information that investors and theirprofessional advisors would reasonably require, and reasonably expect to find in the report, for the purpose of
making a reasoned and balanced judgement regarding the Technical Assessment or Mineral Asset Valuation being
reported. Where relevant information is not supplied, an explanation must be provided to justify its exclusion. Also
see Clause 3.2 for guidance on what is Material.
Mineral Asset means all property including (but not limited to) tangible property, intellectual property, mining and exploration
Tenure and other rights held or acquired in connection with the exploration, development of and production fromthose Tenures. This may include the plant, equipment and infrastructure owned or acquired for the development,
extraction and processing of Minerals in connection with that Tenure.
Most Mineral Assets can be classified as either:

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(a)

Early-stage Exploration Projects – Tenure holdings where Mineralisation may or may not have been
identified, but where Mineral Resources have not been identified;(b)Advanced Exploration Projects – Tenure holdings where considerable exploration has been undertaken
and specific targets identified that warrant further detailed evaluation, usually by drill testing, trenchingor some other form of detailed geological sampling. A Mineral Resource estimate may or may not have been
made, but sufficient work will have been undertaken on at least one prospect to provide both a goodunderstanding of the type of Mineralisation present and encouragement that further work will elevate one ormore of the prospects to the Mineral Resources category;(c)

Pre-Development Projects – Tenure holdings where Mineral Resources have been identified and theirextent estimated (possibly incompletely), but where a decision to proceed with development has not beenmade. Properties at the early assessment stage, properties for which a decision has been made not toproceed with development, properties on care and maintenance and properties held on retention titles areincluded in this category if Mineral Resources have been identified, even if no further work is being
undertaken;

Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

VALMIN Code, 2015 Edition(d)Development Projects – Tenure holdings for which a decision has been made to proceed with construction
or production or both, but which are not yet commissioned or operating at design levels. Economic viability ofDevelopment Projects will be proven by at least a Pre-Feasibility Study;(e)Production Projects – Tenure holdings – particularly mines, wellfields and processing plants – that havebeen commissioned and are in production.

Practitioner is an Expert as defined in the Corporations Act, who prepares a Public Report on a Technical Assessment or Valuation
Report for Mineral Assets. This collective term includes Specialists and Securities Experts. Also see Clause 2 for
guidance on Practitioners.
Production Target means a projection or forecast of the amount of Minerals to be extracted from particular Tenure for a periodthat extends past the current year and the forthcoming year.
Public Report means a report prepared for the purpose of informing investors or potential investors and their advisers when making
investment decisions, or to satisfy regulatory requirements. It includes, but is not limited to, Annual Reports,
Quarterly Reports, press releases, Information Memoranda, Technical Assessment Reports, Valuation Reports,
Independent Expert Reports, website postings and Public Presentations. Also see Clause 5 for guidance on Public
Reports.
Reasonableness implies that an assessment which is impartial, rational, realistic and logical in its treatment of the inputs to a
Valuation or Technical Assessment has been used, to the extent that another Practitioner with the same information
would make a similar Technical Assessment or Valuation. Also see Clause 4.1 for guidance on Reasonableness andReasonableness Test.
Reasonable Grounds Requirement has the meaning referred to in sections of the Corporations Act and sections of theAustralian Securities and Investments Commission Act 2001 that require statements about future matters to be
based on reasonable grounds (as of the date of making the statement) or else they will be taken to be misleading.
Reasonableness Test is defined in clause 4.1(b).
Recognised Professional Organisation means any professional organisation listed on the VALMIN website as a Recognised
Professional Organisation (refer to www.valmin.org/competent.asp)
Representative Specialists are persons who are the nominated representative(s) of a legally constituted body, and who
supervise the preparation of a Public Report and accept responsibility for it on behalf of that body. Representative
Specialists are Specialists.
Securities has the meaning as defined in the Corporations Act.
Securities Expert are persons whose profession, reputation or experience provides them with the authority to assess or value
Securities in compliance with the requirements of the Corporations Act, ASIC Regulatory Guides and ASX Listing
Rules.
Specialist are persons whose profession, reputation and relevant industry experience in a technical discipline (such as geology,
mine engineering or metallurgy) provides them with the authority to assess or value Mineral Assets.
Specialist Report is defined in Clause 5.5.
Technical Assessment is an evaluation prepared by a Specialist of the technical aspects of a Mineral Asset. Depending on
the development status of the Mineral Asset, a Technical Assessment may include the review of geology, mining
methods, metallurgical processes and recoveries, provision of infrastructure and environmental aspects.
Technical Assessment Report involves the Technical Assessment of elements that may affect the economic benefit of a Mineral
Asset.
Technical Value is an assessment of a Mineral Asset’s future net economic benefit at the Valuation Date under a set ofassumptions deemed most appropriate by a Practitioner, excluding any premium or discount to account for market
considerations.

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guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.

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VALMIN Code, 2015 Edition

Tenure is any form of title, right, licence, permit or lease granted by the responsible government in accordance with its mining
legislation that confers on the holder certain rights to explore for and/or extract agreed minerals that may be (or is
known to be) contained. Tenure can include third-party ownership of the Minerals (for example, a royalty stream).
Tenure and Title have the same connotation as Tenement.
Transparency or being Transparent requires that the reader of a Public Report is provided with sufficient information, thepresentation of which is clear and unambiguous, to understand the report and not be misled by this information orby omission of Material information that is known to the Practitioner.
Valuation is the process of determining the monetary Value of a Mineral Asset at a set Valuation Date.
Valuation Approach means a grouping of valuation methods for which there is a common underlying rationale or basis.
Valuation Date means the reference date on which the monetary amount of a Valuation in real (dollars of the day) terms iscurrent. This date could be different from the dates of finalisation of the Public Report or the cut-off date of available
data. The Valuation Date and date of finalisation of the Public Report must not be more than 12 months apart.
Valuation Methods means a subset of Valuation Approaches and may represent variations on a common rationale or basis.
Valuation Report expresses an opinion as to monetary Value of a Mineral Asset but specifically excludes commentary on thevalue of any related Securities.
Value means the Market Value of a Mineral Asset. See definition of Market Value.

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VALMIN Code, 2015 Edition

15.

Glossary

Annual Report means a document published by public corporations on a yearly basis to provide shareholders, the public and thegovernment with financial data, a summary of ownership and the accounting practices used to prepare the report.
Australasian means Australia, New Zealand, Papua New Guinea and their off-shore territories.
Code of Ethics means the Code of Ethics of the relevant Professional Organisation or Recognised Professional Organisations.
Corporations Act means the Australian Corporations Act 2001 (Cth).
Experts are persons defined in the Corporations Act whose profession or reputation gives authority to a statement made by him or
her in relation to a matter. A Practitioner may be an Expert. Also see Clause 2.1.
Exploration Results is defined in the current version of the Australasian Code for the Reporting of Exploration Results, Mineral
Resources and Ore Reserves (the JORC Code). Refer to http://www.jorc.org for further information.
Feasibility Study means a comprehensive technical and economic study of the selected development option for a mineral projectthat includes appropriately detailed assessments of applicable Modifying Factors together with any other relevant
operational factors and detailed financial analysis that are necessary to demonstrate at the time of reporting thatextraction is reasonably justified (economically mineable). The results of the study may reasonably serve as thebasis for a final decision by a proponent or financial institution to proceed with, or finance, the development of the
project. The confidence level of the study will be higher than that of a Pre-feasibility Study.
Financial Reporting Standards means Australian statements of generally accepted accounting practice in the relevant
jurisdiction in accordance with the Australian Accounting Standards Board (AASB) and the Corporations Act.
Information Memoranda means documents used in financing of projects detailing the project and financing arrangements.
Investment Value means the benefit of an asset to the owner or prospective owner for individual investment or operational
objectives.
Life-of-Mine Plan means a design and costing study of an existing or proposed mining operation where all Modifying Factors
have been considered in sufficient detail to demonstrate at the time of reporting that extraction is reasonably
justified. Such a study should be inclusive of all development and mining activities proposed through to theeffective closure of the existing or proposed mining operation.
Member means a person who has been accepted and entitled to the post-nominals associated with the AIG or the AusIMM or both.
Alternatively, it may be a person who is a member of a Recognised Professional Organisation included in a list
promulgated from time to time.
Mineable means those parts of the mineralised body, both economic and uneconomic, that are extracted or to be extracted during
the normal course of mining.
Mine Design means a framework of mining components and processes taking into account mining methods, access to theMineralisation, personnel, material handling, ventilation, water, power and other technical requirements spanningcommissioning, operation and closure so that mine planning can be undertaken.
Mine Planning includes production planning, scheduling and economic studies within the Mine Design taking into accountgeological structures and mineralisation, associated infrastructure and constraints, and other relevant aspects thatspan commissioning, operation and closure.
Mineral means any naturally occurring material found in or on the Earth’s crust that is either useful to or has a value placed on itby humankind, or both. This excludes hydrocarbons, which are classified as Petroleum.
Mineralisation means any single mineral or combination of minerals occurring in a mass, or deposit, of economic interest.
The term is intended to cover all forms in which mineralisation might occur, whether by class of deposit, mode ofoccurrence, genesis or composition.
Mineral Project means any exploration, development or production activity, including a royalty or similar interest in these
activities, in respect of Minerals.

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VALMIN Code, 2015 Edition

Mineral Securities means those Securities issued by a body corporate or an unincorporated body whose business includes
exploration, development or extraction and processing of Minerals.
Mineral Resources is defined in the current version of the Australasian Code for the Reporting of Exploration Results, Mineral
Resources and Ore Reserves (the JORC Code). Refer to http://www.jorc.org for further information.
Mining means all activities related to extraction of Minerals by any method (eg quarries, open cast, open cut, solution mining,
dredging etc).
Mining Industry means the business of exploring for, extracting, processing and marketing Minerals.
Modifying Factors is defined in the current version of the Australasian Code for the Reporting of Exploration Results, Mineral
Resources and Ore Reserves (the JORC Code). Refer to http://www.jorc.org for further information.
Ore Reserves is defined in the current version of the Australasian Code for the Reporting of Exploration Results, Mineral
Resources and Ore Reserves (the JORC Code). Refer to http://www.jorc.org for further information.
Petroleum means any naturally occurring hydrocarbon in a gaseous or liquid state, including coal-based methane, tar sands andoil-shale.
Petroleum Resource and Petroleum Reserve are defined in the current version of the Petroleum Resources Management
System (PRMS) published by the Society of Petroleum Engineers, the American Association of Petroleum
Geologists, the World Petroleum Council and the Society of Petroleum Evaluation Engineers. Refer tohttp://www.spe.org for further information.
Preliminary Feasibility Study (Pre-Feasibility Study) means a comprehensive study of a range of options for the technicaland economic viability of a mineral project that has advanced to a stage where a preferred mining method, in thecase of underground mining, or the pit configuration, in the case of an open pit, is established and an effective
method of mineral processing is determined. It includes a financial analysis based on reasonable assumptions on
the Modifying Factors and the evaluation of any other relevant factors that are sufficient for a Competent Person,
acting reasonably, to determine if all or part of the Mineral Resources may be converted to an Ore Reserve at thetime of reporting. A Pre-Feasibility Study is at a lower confidence level than a Feasibility Study.
Professional Organisation means a self-regulating body, such as one of engineers or geoscientists or of both, that:(a)admits members primarily on the basis of their academic qualifications and professional experience;(b)requires compliance with professional standards of expertise and behaviour according to a Code of Ethics
established by the organisation; and(c)has enforceable disciplinary powers, including that of suspension or expulsion of a member, should its Codeof Ethics be breached.

Public Presentation means the process of presenting a topic or project to a public audience. It may include, but not be limited
to, a demonstration, lecture or speech meant to inform, persuade or build good will.
Quarterly Report means a document published by public corporations on a quarterly basis to provide shareholders, the public andthe government with financial data, a summary of ownership and the accounting practices used to prepare the report.
Royalty or Royalty Interest means the amount of benefit accruing to the royalty owner from the royalty share of production.
Scoping Study means an order of magnitude technical and economic study of the potential viability of Mineral Resources. It includes
appropriate assessments of realistically assumed Modifying Factors together with any other relevant operational factors thatare necessary to demonstrate at the time of reporting that progress to a Pre-Feasibility Study can be reasonably justified.
Status in relation to Tenure means an assessment of the security of title to the Tenure.
Vendor Consideration Opinion means a Public Report involving a Valuation and expressing an opinion on the fairness of theconsideration paid or benefit given to a vendor, promoter or provider of seed capital.
Updated: June 2024

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Note: Procedural and mandatory items are in normal typeface, with the word ‘must’ in bold;
guideline items are in boxes and italics and those definitions incorporated in the text of the Code are in bold.