COMPETENCY CHALLENGES IN DEVELOPING MINERAL AND

PETROLEUM RESOURCESProf Gbenga Okunlola

• REPORTING

• MINING

• PROCESSING (VALUE ADDITION

• ECONOMIC EVALUATION

• GOVERNACE STRUCTURE

• COMMUNITY RELATION/DEVELOPMENT AGREEMENTS

• CERTIFIED ANALYSTS

EXPLORATION AND REPORTING

• MANY GEOSCIENTISTS

• AVAILABILITY OF TERTIARY INSTITUTIONS

• LITTLE EXPERIENCE,

• LITTLE SPECIALISED EXPERTISE AND EXPOSURE ON SPECIFIC DEPOSITS

MINING

• INADEQUATE TRAINING FACILITIES/CENTRES

• LOW EXPERIENCE/ ACCESSIBILITY TO APPROPRIATE TECHNOLOGY

PROCESSING AND VALUE ADDITION

• INADEQUATE VALUE ADDITION VENTURES

• RAW MATERIAL EXPORT HAS BEEN THE FOCUS

PETROLEUM

• MANY AFRICAN NATIONS ARE NOW BECOMING PETROLEUM PRODUCERS

• NO LOCAL PETROLEUM TRAINING CENTRES AT TERTIARY LEVELS IN MANY AFRICAN NATIONS

• EXPATRAITES STILL DOMINATE THE SPECIALISED AREAS

SOLUTIONS

• Requirements for a GKZ Expert• A GKZ Expert must: • Have completed a course of higher education, have at least 5

years work experience, and possess the scientific and practical knowledge in fields relevant to assessment of mineral resources, to the extent necessary to carry out highly skilled expert audits • Be independent • Be a member of OERN ( the Association of Experts of Russia on Mineral Resources) – a new requirement • In his/her activities must follow the laws of the Russian Federation and other legislative and regulatory requirements in the field of subsoil us

• Requirements for the Competent Person in Russia• To be a member of a recognised professional organisation • To have at least 5

years experience • To be familiar with international reporting standards • To be familiar with the laws and regulations of the Russian Federation in the field of subsoil us

• Accreditation of Competent Persons• • Russian Society of Experts on Natural Resources (OERN) set up in 2007

Independent self-regulating organisation, An association of professional minerals industry geologists Has a defined code of professional ethics and disciplinary procedure

• Competent Persons• Definition of a Competent Person• Any Public Reporting of Exploration Results, Mineral Resources or Ore Reserves must be based on and fairly reflect

documentation prepared by a Competent Person in accordance with the JORC Code. The company must obtain the prior written consent of the Competent Person to the form and context in which it reports the Competent Person’s work.

• A Competent Person must be a Member or Fellow of The Australasian Institute of Mining and Metallurgy, or of the Australian Institute of Geoscientists, or of a ‘Recognised Professional Organisation’.

• A Competent Person must have a minimum of five years’ experience working with the style of mineralisation or type of deposit under consideration and relevant to the activity which that person is undertaking.

• For example: • If the Competent Person is preparing a report on Exploration Results, the relevant experience must be in

exploration. • If the Competent Person is estimating, or supervising the estimation of Mineral Resources, the relevant experience

must be in the estimation, assessment and evaluation of Mineral Resources. • If the Competent Person is estimating, or supervising the estimation of Ore Reserves, the relevant experience

must be in the estimation, assessment, evaluation and economic extraction of Ore Reserves. • For further information on the definition of a Competent Person please refer to Clause 11 of the JORC Code. Any

individual proposing to work as a Competent Person must assess their ability to meet the Clause 11 requirements for each project they undertake.

• The Library page of this website includes some useful articles that describe the role and obligations of Competent Persons.

• Potential confusion between Competent Person and Chartered Professional

• The AusIMM professional accreditation term 'Chartered Professional' and its commonly used abbreviation 'CP' should not be confused with 'Competent Person'. A Competent Person must spell out the term in full and cannot use the acronym 'CP'.

• An AusIMM Chartered Professional undergoes an accreditation process through the AusIMM Chartered Professional Program while a Competent Person must meet a separate set of specific criteria in relation to the JORC code. The AusIMM Chartered Professional Program does not assess this.

• International Reciprocity of Competent Persons

• In 2003 The Australian Securities Exchange (ASX) introduced a procedure for identifying ‘Recognised Professional Organisations’ as accredited organisations to which Competent Persons must belong for the purpose of preparing reports on Exploration Results, Mineral Resources and Ore Reserves for submission to the ASX (if they are not members of the AusIMM or AIG).

Professional Organisation Minimum membership class required

Institute of Materials, Minerals and Mining Member (MIMMM) or Fellow (FIMMM)

Geological Society of LondonChartered Geologist (CGeol), Chartered Scientist (CSci) or European

Geologist (EurGeol)

Institute of Geologists of Ireland Professional Geologist (PGeo)

European Federation of Geologists European Geologist (EurGeol)

Mining and Metallurgical Society of America Qualified Professional (QP)

American Institute of Professional Geologists Certified Professional Geologist (CPG)

Society for Mining, Metallurgy & Exploration SME Registered Member

Engineering Council of South Africa Professional Engineer (Pr Eng)

South African Council for Natural Scientific Professions Professional Natural Scientist (Pr.Sci.Nat.)

Geological Society of South Africa Member or Fellow

The Southern African Institute of Mining and Metallurgy Member or Fellow

South African Council for Professional and Technical Surveyors Mine Surveyors and Professional Mine Surveyors

Professional Engineers Ontario P.Eng.

Association of Professional Engineers and Geoscientists of British

ColumbiaP.Geo, or P.Eng,

The following are the current RPOs:

Association of Professional Engineers and Geoscientists of

ManitobaP.Geo, or P.Eng,

Association of Professional Geoscientists of Ontario P.Geo., P.Geo.(limited), P.Geo.(Temporary)

Association of Professional Engineers and Geoscientists of

Newfoundland and LabradorP.Eng., P.Geo.

Association of Professional Engineers, Geologists and

Geophysicists of the Northwest TerritoriesP.Eng, P.Geo (or P.Geol., P.Geoph.)

Association of Professional Geoscientists of Nova Scotia P.Geo.

Association of Professional Engineers and Geoscientists of New

BrunswickP.Geo., P.Eng.

Association of Professional Engineers, Geologists and

Geophysicists of Alberta.P.Eng., P.Geo., P.Geoph.

Association of Professional Engineers and Geoscientists of

SaskatchewanP.Geo. or P.Eng.

Ordre des Geologues du Québec P.Geo., géo.

Ordre des Ingénieurs du Québec P. Eng. or ing.

Comisión Calificadora de Competencias en Recursos y Reservas

Mineras (Chilean Mining Commission or Comisión Minera)Registered Member

Russian Society of Subsoil Use Experts (OERN) Expert

• A Recognised Professional Organisation must:• be a self-regulatory organisation covering professionals in

the mining and/or exploration industry;• admit members primarily on the basis of their academic

qualifications and professional experience;• require compliance with the professional standards of

competence and ethics established by the organisationanywhere in the World (not just within the home jurisdiction of the organisation); and

• have disciplinary powers, including the power to suspend or expel a member for breaches of professional standards of competence or ethics anywhere in the World