Recognition of Reserve Values in the Extractive Industries

Mirza, Malik & Zimmer, Ian (1990) Recognition of Reserve Values in the Extractive Industries. Australian Accounting Review, 9(2), pp. 44-50.

PDF (79kB)


An issue that focuses clearly on the difference between market and book values is accounting for reserves in the extractive industries. The primary determinant of the value of a minerals or oil and gas producer is the value of the reserves that the firm controls. Hence, one might expect that managers acting to maximize the value of the firm would try to account for the value of reserves in a credible way. However, we show in this paper that financial statement recognition of reserve values is rare. We survey the frequency of reserve value disclosures and related accounting procedures. We review the reasons for the general reluctance to recognize reserve values in financial statements and outline the few exceptions where the value of reserves is recognized.

Impact and interest:

Search Google Scholar™

Citation counts are sourced monthly from Scopus and Web of Science® citation databases.

These databases contain citations from different subsets of available publications and different time periods and thus the citation count from each is usually different. Some works are not in either database and no count is displayed. Scopus includes citations from articles published in 1996 onwards, and Web of Science® generally from 1980 onwards.

Citations counts from the Google Scholar™ indexing service can be viewed at the linked Google Scholar™ search.

Full-text downloads:

1,250 since deposited on 21 May 2007
56 in the past twelve months

Full-text downloads displays the total number of times this work’s files (e.g., a PDF) have been downloaded from QUT ePrints as well as the number of downloads in the previous 365 days. The count includes downloads for all files if a work has more than one.

ID Code: 5061
Item Type: Journal Article
Refereed: Yes
Additional URLs:
Keywords: extractive industries, mineral reserves, reserve values
ISSN: 1035-6908
Subjects: Australian and New Zealand Standard Research Classification > COMMERCE MANAGEMENT TOURISM AND SERVICES (150000) > ACCOUNTING AUDITING AND ACCOUNTABILITY (150100)
Divisions: Current > QUT Faculties and Divisions > QUT Business School
Copyright Owner: Copyright 1990 CPA Australia
Copyright Statement: Reproduced in accordance with the copyright policy of the publisher
Deposited On: 21 May 2007 00:00
Last Modified: 05 Jan 2011 13:27

Export: EndNote | Dublin Core | BibTeX

Repository Staff Only: item control page