JORC Code Compliance: AI Review for Mining Reports

The JORC Code 2012 governs how mineral resources and ore reserves are reported publicly in Australia. Every ASX-listed mining company must comply. The Code's requirements are exacting: specific terminology distinctions (resource vs reserve, inferred vs indicated vs measured), mandatory Table 1 checklists, competent person sign-off requirements, and cautionary statements that must appear in every public report.

Non-compliance triggers ASX queries, trading halts, and ASIC enforcement. In an industry where a single announcement can move a share price by 30%, the precision of public reporting isn't just a regulatory obligation — it's a market integrity requirement.

Most mining companies produce these reports under time pressure, often coordinating between geologists in the field, corporate offices, and external consultants. The compliance review typically falls to the competent person, who checks technical accuracy but may miss disclosure formatting issues, terminology errors in non-technical sections, or Table 1 omissions. A systematic review process catches these issues before the report reaches the ASX.

What the JORC Code Requires

The Classification Framework

The JORC Code establishes a strict classification hierarchy. Using the wrong term is a compliance breach.

Critical rule: You cannot call something a "reserve" unless modifying factors (mining, metallurgical, economic, marketing, legal, environmental, social, and governmental factors) have been applied. A resource is geological; a reserve is geological plus economic. Conflating these terms is one of the most common — and most serious — JORC breaches.

Table 1 Requirements

Every JORC-compliant public report must include a Table 1 checklist (or a summary of it). Table 1 has three sections depending on what's being reported:

Common failure: Companies report updated resource estimates but submit an incomplete Table 1 — missing items from Section 3, or not updating Section 1 with new drilling data. The ASX will query incomplete Table 1 submissions.

Competent Person Requirements

Every JORC report must be signed off by a competent person who:

• Is a member or fellow of the AusIMM, the AIG, or a recognised professional organisation (RPO)
• Has a minimum of five years' relevant experience in the type of mineralisation and deposit being reported
• Consents to the inclusion of the information in the report in the form and context in which it appears

The competent person's name, qualifications, professional membership, and employer must be disclosed in the report. Their consent statement must be included.

Common failure: Reports that name the competent person but don't include their qualifications, professional membership, or consent statement. Or reports where the competent person's experience doesn't match the mineralisation type being reported.

Cautionary Statements

JORC requires specific cautionary statements depending on what's being reported:

For Exploration Results:

"These results are exploration results only and do not constitute a Mineral Resource estimate."

For Inferred Resources:

"There is a low level of geological confidence associated with Inferred Mineral Resources and there is no certainty that further exploration work will result in the determination of Indicated Mineral Resources or that the production target itself will be realised."

For Production Targets based on Inferred Resources:

Must include the proportion of Inferred Resources, the cautionary statement above, and a statement that the production target is preliminary in nature.

Common failure: Companies that include cautionary statements in the body text but not in the executive summary or ASX announcement cover page, where investors are most likely to read them.

Common JORC Compliance Failures

1. Terminology Errors

The most frequent and most easily preventable failures.

2. Incomplete Table 1

Companies submit Table 1 checklists with items marked "Not applicable" or "Refer to previous report" without justification. The ASX and JORC Committee expect:

• Every item addressed (even if briefly)
• Clear justification for "Not applicable" items
• References to previous reports only if the information hasn't changed and the previous report is identified

3. Missing or Inadequate Competent Person Statements

• Competent person named but qualifications not disclosed
• Professional membership not stated (AusIMM, AIG, or equivalent)
• No consent statement included
• Competent person's experience not relevant to the mineralisation type
• Multiple competent persons required but only one named (e.g., separate CP for resources and reserves)

4. Exploration Results Reported as Resources

Companies reporting exploration results (drill intercepts, assay results) in a way that implies a resource estimate exists. The line between reporting exploration results and implying a resource is subtle but critical.

Non-compliant: "Drilling has confirmed a significant gold deposit at the Western Prospect."

Compliant: "Drilling at the Western Prospect returned significant intercepts including 12m @ 3.2 g/t Au from 45m. These are exploration results only and do not constitute a Mineral Resource estimate."

5. Missing Material Information

JORC requires "balanced reporting" — you must report information that could reasonably be expected to influence an investor's decision, including negative results. Common omissions:

• Only reporting high-grade intercepts while omitting low-grade or barren results
• Not disclosing true widths when reporting intercept lengths
• Omitting information about failed or abandoned drill holes
• Not disclosing that mineralisation is open along strike or at depth (or that it isn't)

Building a JORC Compliance Review Process

Step 1: Create a Pre-Release Checklist

Every public report should pass this checklist before release:

Terminology:

• "Mineral Resource" and "Ore Reserve" capitalised and used correctly
• Resource/reserve classification terms match JORC definitions exactly
• No use of "ore" in exploration or resource context
• No use of "deposit" implying economic viability without a reserve estimate
• "Proved" not "Proven" throughout

Table 1:

• Table 1 included (or summary with reference to full Table 1)
• All applicable sections completed
• "Not applicable" items justified
• References to previous reports specifically identified

Competent Person:

• Named with full qualifications
• Professional membership stated (AusIMM, AIG, or RPO)
• Relevant experience described
• Consent statement included
• Correct competent person for each type of information (resources vs reserves)

Cautionary Statements:

• Appropriate cautionary statements included
• Cautionary statements in executive summary, not just body text
• Inferred Resource cautionary statement present if applicable
• Production target disclaimers if Inferred Resources contribute

Balanced Reporting:

• Both positive and negative results reported
• True widths disclosed alongside intercept lengths
• Failed or abandoned holes mentioned
• Limitations of data acknowledged

Step 2: Assign Clear Responsibilities

Step 3: Implement Version Control

JORC reports go through multiple drafts between geologists, consultants, management, and legal. Without version control:

• Terminology corrections get overwritten
• Cautionary statements get removed during editing
• Table 1 items get deleted to reduce page count
• Competent person statements get altered without the CP's consent

Use a tracked-changes process where the competent person reviews and approves the final version — including any changes made after their initial review.

Using AI to Review Mining Reports

Mining companies produce technical reports that combine geological data, regulatory language, and investor communications. AI-assisted review can systematically check the non-technical compliance elements.

What AI Can Check

• Terminology compliance — flag incorrect use of JORC terms (reserve vs resource, Proved vs Proven, ore in exploration context)
• Cautionary statement presence — verify required cautionary statements are present and in the right locations
• Competent person statement completeness — check all required elements are present
• Table 1 completeness — verify all applicable items are addressed
• Balanced reporting — flag if only positive results are highlighted without context
• Consistency — check terminology is consistent throughout the report
• Plain language — verify non-technical sections are understandable by investors

What AI Cannot Check

• Technical accuracy of resource estimates or geological interpretations
• Whether the competent person's experience is genuinely relevant
• Whether the modifying factors applied to a reserve estimate are reasonable
• Whether the data underlying the report is accurate
• Whether the report meets ASX continuous disclosure obligations in context

Practical Example: Building a JORC Compliance Reviewer

In TeamBench, you could configure a reviewer for JORC reports:

Reviewer name: JORC Code Compliance Reviewer

System prompt:

You are a JORC Code 2012 compliance reviewer for Australian mining company public reports. Review ASX announcements, quarterly reports, and investor presentations for JORC terminology compliance, Table 1 completeness, competent person statement requirements, cautionary statement presence, and balanced reporting. Specifically check: correct capitalisation and use of Mineral Resource and Ore Reserve classification terms; no conflation of resources and reserves; "Proved" not "Proven"; no use of "ore" in exploration/resource context; no use of "deposit" implying economic viability; required cautionary statements present in executive summary and body; competent person named with qualifications, membership, experience, and consent; balanced reporting of results. Flag specific passages with the JORC Code clause reference and suggest corrections. Use Australian English.

Evaluation criteria:

• Terminology Compliance (weight: 3) — Correct use of all JORC classification terms and definitions
• Disclosure Completeness (weight: 3) — Table 1, competent person statement, cautionary statements all present and complete
• Balanced Reporting (weight: 2) — Positive and negative results reported fairly
• Consistency (weight: 1) — Terminology consistent throughout the document
• Clarity (weight: 1) — Non-technical sections understandable by investors

Quality gate: Minimum score: 85 (high threshold given ASX and ASIC enforcement risk).

Upload the JORC Code 2012, ASX Listing Rules Chapter 5, and ASIC Regulatory Guide 111 (Content of expert reports) into a Knowledge Base. The reviewer then checks reports against the full regulatory framework.

You could also use the readability checker to verify that investor-facing sections of mining reports are accessible — many retail investors hold mining stocks, and reports written at an academic geology level fail to communicate effectively with this audience.

Frequently Asked Questions

What is the JORC Code and who must comply?

The JORC Code (Joint Ore Reserves Committee Code) is the Australasian code for reporting exploration results, mineral resources, and ore reserves. All ASX-listed companies reporting these results must comply. It's also required by many international stock exchanges and is aligned with CRIRSCO international reporting standards.

What's the difference between a mineral resource and an ore reserve?

A mineral resource is a geological estimate of mineralisation with reasonable prospects for economic extraction. An ore reserve is the economically mineable part of a measured or indicated resource after applying modifying factors (mining, metallurgical, economic, marketing, legal, environmental, social, and governmental factors). In short: resources are geological; reserves are geological plus economic.

What happens if a company breaches the JORC Code?

The ASX may issue a query requiring the company to clarify or correct the report. Trading may be halted until the query is resolved. ASIC may investigate for misleading or deceptive conduct under the Corporations Act. The AusIMM can take disciplinary action against the competent person. Penalties can include fines, trading suspension, and personal liability for directors and the competent person.

What is a competent person?

A competent person is a minerals industry professional who is a member of the AusIMM, AIG, or an equivalent recognised professional organisation, and has a minimum of five years' relevant experience in the style of mineralisation or type of deposit being reported. They take professional responsibility for the accuracy of the report.

Can I use Canadian (CIM) or South African (SAMREC) terminology?

Not in ASX announcements. ASX Listing Rules require JORC Code compliance. If a report was prepared under CIM or SAMREC, it must be reconciled to JORC classifications before release on the ASX. The JORC Code is part of the CRIRSCO family, so the frameworks are broadly aligned, but specific terminology differences (e.g., "Possible" vs "Inferred") must be corrected.

How detailed does the Table 1 need to be?

Every item must be addressed. For items that aren't applicable, state why. For items covered in previous reports, reference the specific report. The level of detail should be sufficient for a competent person reading the Table 1 to understand the methodology and data quality. Cursory one-word responses are insufficient.

Do quarterly reports need full JORC compliance?

Yes. Any public report that includes exploration results, mineral resources, or ore reserves must comply with the JORC Code, regardless of format. Quarterly activity reports, investor presentations, media releases, and website content all fall under this requirement.

How does the JORC Code interact with ASX Listing Rules?

ASX Listing Rules Chapter 5 incorporates the JORC Code by reference. Listing Rule 5.6 requires that mining reporting entities report in accordance with the JORC Code. Listing Rule 5.7 specifies what must be included in an announcement (Table 1, competent person statement, etc.). Non-compliance with the JORC Code is also non-compliance with the Listing Rules.

Key Takeaways

• The JORC Code governs all public reporting of exploration results, mineral resources, and ore reserves by ASX-listed companies. Compliance is mandatory, not optional.
• Terminology precision is critical — "resource" and "reserve" have specific, different meanings. Using "ore" in an exploration context or "deposit" implying economic viability are common breaches.
• Table 1 must be complete — every item addressed, with justifications for "not applicable" items and specific references to previous reports.
• Competent person statements must include name, qualifications, professional membership, relevant experience, and consent. All elements must be present.
• Cautionary statements must appear prominently — in the executive summary and cover page, not buried in the body text.
• Balanced reporting is mandatory — positive and negative results must both be disclosed. Cherry-picking high-grade intercepts without context is a breach.
• AI-assisted review can systematically check terminology, disclosure completeness, and statement presence, catching compliance issues before ASX release.
• The consequences of non-compliance are severe — ASX queries, trading halts, ASIC enforcement, personal liability for competent persons and directors.

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This article provides general information about JORC Code compliance for mining reports and is not legal or regulatory advice. Always consult the JORC Code 2012 directly, the ASX Listing Rules, and seek professional advice for your specific reporting situation.