EXTRACTS FROM 2013 ANNUAL REPORT OF NEW WORLD RESOURCES PLC

摘要

The risk: The mine closure and restoration provisions include a significant level of estimation and assumptions, including the timing of cashflows, expected life of each mine, the interpretation of local environmental legislation for which there are very few precedents and the future expected cost of restoration, rehabilitation and mine closure.KPMG response: Our audit procedures included... comparison of the input assumptions to externally and internally derived data as well as our own assessments. This included... comparison of the period over which the provisions are discounted to the approved life of mine plans..., corroboration of volume of material required to be moved to survey and site plan data, comparison of activities planned to be undertaken to those that we believe would be required under the existing mining legislation... and the assessment of the accuracy of provisions from historical remedial works undertaken.