The mining and exploration industry is governed both
directly and indirectly by a complex and constantly
changing regulatory and legal system, yet few
technical professionals realise the extent to.which they
are affected and that they are personally liable for any
breaches. These breaches may result in criminal or
civil prosecution that could involve significant
financial penalties (to the extent that all personal assets
are at risk) and even imprisonment. Generally, a
professional at risk should be able to mount a due
diligence defence in order to avoid or mitigate these
consequences. Mineral property and company owners, directors,
managers and employees are at risk, as are consultants,
contractors and suppliers of equipment or
consumables. Whilst all are liable for their personal
decisions to act (or failure to act) in managing
operations or carrying out directions, as well as for the
actions of others under their control, the focus here
will be on the exposure of the consultant. Consultants are usually driven by an internal desire
to perform to a high standard because of personal pride
in their work and concern for their professional
reputation. However, there are an increasing number
of external requirements for them to be able to
demonstrate, if necessary, that their actions were based
upon reasonable grounds and that their work
conformed to current best practice standards. If they
cannot do so, they may face potential personal
Liability.