SEC Adopts Rules for Resource Extraction Issuers Under Dodd-Frank Act

June 27, 2016. The Securities and Exchange Commission adopted rules to require resource extraction issuers to disclose payments made to governments for the commercial development of oil, natural gas or minerals. The rules, mandated by the Dodd-Frank Wall Street Reform and Consumer Protection Act, are intended to further the statutory objective to advance U.S. foreign policy interests by promoting greater transparency about payments related to resource extraction.

The final rules require an issuer to disclose payments made to the U.S. federal government or a foreign government if the issuer engages in the commercial development of oil, natural gas, or minerals and is required to file annual reports with the Commission under the Securities Exchange Act. The issuer must also disclose payments made by a subsidiary or entity controlled by the issuer.

Read the full SEC Press release here. Information on Foreign Corrupt Practices Act