IPSASB releases two exposure drafts on natural resources

IPSASB releases two exposure drafts on natural resources

The International Public Sector Accounting Standards Board (IPSASB) has released two exposure drafts on mineral resources:

ED 86, Exploration for and Evaluation of Mineral Resources:
ED 86 proposes a standard on accounting for the costs incurred in the exploration and evaluation of mineral resources, based on the selection of an accounting policy specifying which expenditure should be recognized as exploration and evaluation assets. ED 86 is aligned with the private sector requirements in IFRS 6, Exploration for and Evaluation of Mineral Resources, with limited changes for the public sector context.

ED 87, Stripping costs in the Production Phase of a Surface Mine (Amendments to IPSAS 12):
ED 87 proposes to clarify when to capitalize or expense costs incurred to remove waste material in surface mining operations. ED 87 is aligned with the guidance in IFRIC 20, Stripping costs in the Production Phase of a Surface Mine, with limited changes for the public sector context.
The exposure drafts are open for comment until 31 May 2024 and may be accessed here.