The International Valuation and Financial Reporting Standards – Their content and effect on us

The 2005 edition of the International Valuation Standards (IVS) is the first edition
to include specific standards addressing the valuation of assets in the minerals
and petroleum industries. This latest edition provides guidance for valuation of minerals
and petroleum industry assets of all types for all valuation uses. It also provides
asset valuation support to the International Financial Reporting Standards (IFRSs)
for corporate reporting to the stock markets of the world. The IVS operates as a
global umbrella standard that can be supplemented for local needs by institutes and
regulators. This paper discusses the development of the IVS and IFRSs, their implementation
within the minerals industry (especially of North America), and the implications
of these standards. Potential implications for minerals industry professionals
include issues of education, as well as qualifications and licensing for those wishing to
appraise the value of minerals industry assets.