Rachel Evans Asia editor
On May 20, Hong Kong's stock exchange published its long-awaited conclusions to September 2009's consultation on extending Chapter 18. With the new rules, the exchange aims "to ensure [minerals companies] provide investors with material, relevant and reliable information, and align the stock exchange's rules with global standards."
The rules certainly increase the amount of information that minerals companies must provide to the exchange and investors before undertaking a listing in Hong Kong. This is noticeable from a quick glance at the revised listing rules; Chapter 18 has grown from four pages to more than 30, with many of those pages concerning additional submission and disclosure requirements.
Listing applicants must now, for example, include a Competent Persons Report (CPR) on the company's reserves and resources, detailed production plans (if not already operational) and proof of sufficient working capital, among other things.
Until now, any minerals company that...