UNFC (Multi-Jurisdiction) Draft 2009 - United Nations Framework Classification (UNFC) for Fossil Energy and Mineral Reserves and Resources Draft (20 March 2009)

"The United Nations, through the secretariat of the United Nations Economic Commission for Europe (UNECE) and its Ad Hoc Group of Experts on Harmonization of Fossil Energy and Mineral Resources Terminology, developed the Framework Classification.The UN Classification applies to fossil energy and mineral reserves and resources located on or below the Earth's surface. It aims to simplify reporting of energy and mineral reserves and resources in a globalized world and is intended to improve global communications regarding remaining quantities of non-renewable fossil energy and mineral resources. The UN Classification is not recognized as a Foreign Code under NI 43-101.SECTION I1.,The United Nations Framework Classification (UNFC-2009) applies to fossil energy and mineral reserves and resources located on or below the Earth' s surface. It serves the needs for classification at a global level (for energy and mineral supply studies), for governments (resources management and policy formulation), for industry (business process management) and for financial reporting.SECTION II2.,The UNFC is a generic system in which quantities are classified on the basis of the three fundamental criteria of economic and social viability (E), field project status and feasibility (F), and geological knowledge (G), using a numerical coding system. Combinations of these criteria create a three-dimensional system. Categories (e.g. El, E2, E3) and, in some cases, sub-categories (e.g. E1.1) are defined for each of the three criteria as set out and defined in Annexes I and II.3 The first set of categories (the E axis) designates the degree of favourability of social and economic conditions in establishing the commercial viability of the project, including consideration of market prices and relevant legal, regulatory, environmental and contractual conditions. The second set (the F axis) designates the maturity of studies and commitments necessary to implement mining plans or development projects. These extend from early exploration efforts before a deposit or accumulation has been confirmed to exist through to a project that is extracting and selling a commodity, and reflect standard value chain management principles. The third set of categories (the G axis) designates the level of confidence in the geological knowledge and potential recoverability of the quantities.4. The categories and sub-categories are the building blocks of the system, and are combined in the form of ""classes"". The UNFC can be visualised in three dimensions, as shown in Figure 1, or represented in a practical two-dimensional abbreviated version as shown in Figure 2."