《mine sources valuation》.pdf

LG/11/14 11th Meeting of the London Group on Environmental Accounting Johannesburg, 26-30 March 2007 Valuation Methods of Mineral Resources Estrella V. Domingo and Edward Eugenio P. Lopez-Dee Valuation Methods of Mineral Resources 1 of 13 Issue Paper: Valuation Methods of Mineral Resources Paper Prepared for the London Group Meeting, Pretoria, South Africa, 26-30 March 2007 * Estrella V. Domingo and Edward Eugenio P. Lopez-Dee National Statistical Coordination Board Philippines Introduction 1. Moving from the physical to monetary accounts, in the case of environmental assets, require applying appropriate and consistent values to each type of asset. This allows aggregation of different types of environmental assets, integration in wider sets of accounts and comparison with non-environmental assets in terms of their contributions to the wealth of a country. 2. In the System of National Accounts (SNA), assets are valued at market prices which often are not available for environmental assets since these are rarely traded in the market. In the absence of market prices, the best available method of valuation is resorted to as proxy to market value. 3. The level of available values data and identification of benefits and uses of these assets restrict finding an appropriate value for environmental assets. Most often, available values pertain to a combination of assets which are not at the same level of detail as that in th