Key takeaways

• On June 16, 2016, the SEC proposed a complete overhaul of the disclosure requirements for registered companies that engage in mining activities.
• Key changes include the clarification of materiality standards for disclosure, required disclosure of mineral resources and exploration results, and the requirement that every disclosure is based upon the work of a "qualified person" liable under the Securities Act for omissions and untrue statements in the disclosure filings.
• The proposed rule aligns U.S. mining disclosure regulation with industry and global standards and will likely increase the amount of information mining companies must disclose.