Disclosure of Payments by Resource Extraction Issuers; Final Rule (SEC - Fed. Reg. Version)

The SEC is adopting new rules and an amendment to a new form pursuant to Dodd-Frank Section 1504 relating to the disclosure of payments by resource extraction issuers. Section 1504 added Section 13(q) to the Exchange Act, which requires the SEC to issue rules requiring resource extraction issuers to include any annual report information relating to any payment made by the issuer, a subsidiary of the issuer, or an entity under the control of the issuer, to a foreign government or the Federal Government for the purpose of the commercial development of oil, natural gas, or minerals. Section 13(q) requires a resource extraction issuer to provide information about the type and total amount of such payments made for each project related to the commercial development of oil, natural gas, or minerals, and the type and total amount of payments made to each government. In addition, Section 13(q) requires a resource extraction issuer to provide information regarding those payments in an interactive data format.

Effective Date: November 13, 2012.

Compliance Date: A resource extraction issuer must comply with the new rules and form for fiscal years ending after September 30, 2013. For the first report filed for fiscal years ending after September 30, 2013, a resource extraction issuer may provide a partial-year report if the issuer’s fiscal year began before September 30, 2013. The issuer will be required to provide a report for the period beginning October 1, 2013 through the end of its fiscal year. For any fiscal year beginning on or after September 30, 2013, a resource extraction issuer will be required to file a report disclosing payments for the full fiscal year.

Related Releases: Proposed Rule Release Nos. 34-63549 and 34-63795.

Cross-Reference(s): Dodd-Frank Section 1504 and Exchange Act Section 13(q) (Disclosure of payments by resource extraction issuers).

View rule release here: 77 FR 56365.See also: SEC Fact Sheet.