Research On Relevance Of The Exploration And Development Investment And Reserve Information In Mining Company

In the capital market, the stock pricing for the disclosure of accounting information has avery strong dependence. The level of the quality of accounting information concerns with theefficiency of the capital market allocation of resources, excellent quality of accountinginformation can effectively promote the healthily development of capital markets. For listedcompanies in the extractive industries, in terms of removing the necessary informationdisclosure, disclosure of information of investment in exploration and development andreserves information not only is important for the performance of the listed company itself, butalso is very important for the investors’ investment. However, whether to disclose ofinformation of exploration and development and reserves investment information, there arestill controversial. How is the disclosure of information and whether the disclosure of suchinformation will give investors and affect stock prices for extractive industry investors andmanagers of listed companies, are very important.In response to these problems, the paper focused on the exploration and developmentinvestment information and reserves information’s information relevance. Collating andanalyzing the relevant literature; based on differences in the study, sub-category describes thereserves information, confirmation measurement and disclosure of the exploration anddevelopment investment information, and discusses the basic theory of relevance ofinformation and related research model; this paper based on42listed extractive industriescompanies, classifies non-gas resources and gas resources of investment in exploration anddevelopment of information and reserves information and makes a detailed analysis; this papersummarizes the main extractive industry investment in exploration and development of listedcompanies and the disclosure of information on reserves Features; and applies an empiricalresearch by these42listed companies data in three years; we found that the quantity reservesinformation and the information of exploration and development investment have the positiveinfluences over stock prices. This has abundant evidence to prove that these information havegreat merit in stock pricing, improving management and disclosing style, and how to perfectand enhance the supervision over the extractive industry. This paper recommends extractiveindustries listed companies, especially non-gas mineral resources in the extractive industries listed companies to disclose and improve more transparently in exploration and developmentinformation and reserves information.