IASB completes project on extractives by publishing project summary
Dec 07, 2023
On December 7, 2023, the International Accounting Standards Board (IASB) published a project summary regarding its project on extractive activities, which the IASB decided not to pursue any further.
The IASB had issued IFRS 6 Exploration for and Evaluation of Mineral Resources in December 2004 because of a project taken over from the IASC.
Based on evidence collected, the IASB concluded at its September 2023 meeting that there is no compelling evidence that standard-setting would be necessary.
The IASB acknowledged that diverse accounting policies for exploration and evaluation expenditure would continue to be used in practice. However, feedback from investors and other users of financial statements suggested that those diverse accounting policies were not a significant concern.
Overall, the research findings suggested that any improvements to financial reporting that might result from amending or replacing the requirements in IFRS 6 or other IFRS Accounting Standards are likely to be outweighed by the costs of developing and implementing any such changes.
Review the press release and the project summary on the IFRS Foundation website.
