The Canadian Securities Administrators are proposing a series of amendments to the disclosure rules for companies in the mining business.

The CSA is proposing amendments to the current mining rules that would, among other things: eliminate or reduce the scope of certain requirements; provide more flexibility to issuers and qualified persons in certain areas; provide more flexibility to accept new foreign professional associations, professional designations, and reporting codes; reflect changes that have occurred in the mining industry since the original rule was introduced in 2001; and clarify or correct areas where the existing rule is not working as the regulators intended.

These proposed changes come as the result of consultations that various members of the CSA have had with the mining industry over the past year, including focus groups, and soliciting written comments from market players, as well as their own experiences with the existing rule.

The CSA said market participants have identified some problems they are having with the current requirements and the regulators have also identified certain areas of concern.

“Since we adopted the original mining rule in February 2001, we have made only one set of relatively minor amendments, in 2005. Given that the rule has now been in force for nine years, during all phases of the economic cycle, we felt that it was an appropriate time to consult industry on the rule and contemplate more substantive amendments,” it said.

Jean St-Gelais, chair of the CSA and president and CEO of the Autorité des marchés financiers, said, “We believe the proposed changes will provide cost savings and efficiencies to mining companies without compromising investor protection.”

The proposed changes are out for comment until July 23.

IE