Ernst & Young Industries Mining and Metals - Ernst & Young - Australia

Ernst & Young's 2009 mining and metals tax survey (pdf, 1.9mb) represents the views of tax directors from 40 of the top 100 mining and metals companies on the key challenges they face through all phases of the tax life cycle: planning, provision, compliance and controversy. The survey demonstrates the unique challenges facing this sector, particularly in a post-crisis period which has resulted in an intense enforcement focus on the extractive industry.

How do you manage through the recession and position your company for growth? Our mining and metals partners conducted more than 500 client meetings and identified some overarching themes. Accelerated decision-making, operational flexibility and alternative financing options could mean the difference between surviving and thriving.

The mining and metals sector is renowned for risk taking, which provides both challenges and opportunities.This paper considers the top 10 strategic business risks facing mining and metals companies (pdf, 399kb), including skills shortages, industry consolidation, climate change concerns and access to secure energy.

The publication (pdf, 557kb) and appendix (pdf, 120kb) consider the deliberations of the IASB and the FASB as part of their ongoing joint project on revenue recognition, intended to improve financial reporting under both IFRS and US GAAP.

2008 was a year of two halves for mining and metals: The year started with dizzying optimism and ended with the collapse of commodity prices. This report (pdf, 2.3mb) examines the challenges, issues and trends surrounding deal-making in the sector last year, including mergers and acquisitions, initial public offerings, bonds, loans and project finance.

In the current climate, there is a short term advantage for clients to take costs out of their business. There is however a longer term need for companies to make structural change now to protect margins and to prevent exposure to rising costs in the future. This paper explores this challenge and the various strategies that companies are undertaking (pdf, 612kb) to protect their margins in the long term.

Our latest paper examines whether things are really as bad as they seem for mining and metals companies and considers some of the potential changes that may have to take place in order for the sector to fully recover. Download Mining and metals in adversity (pdf, 2mb)  

This paper (pdf, 389kb) explores the strategies companies are adopting as they further develop their risk frameworks, including a risk culture, risk convergence, enterprise risk management and economic capital models.