CORPORATE GOVERNANCE

As an ASX-listed company, PanAust complies with a range of corporate governance policies and procedures.

To promote investor confidence and to assist companies meet stakeholder expectations, the ASX Corporate Governance Council has developed and released corporate governance guidelines for Australian listed entities – the ‘Principles of Good Governance and Best Practice Recommendation’.  

In its Annual Report, PanAust details its adherence to the principles and recommendations in a corporate governance statement. Any departure from the guidelines is explained. To read the corporate governance statement, refer to pages 34-38 in PanAust's 2011 Annual Report.

As a member of the Minerals Council of Australia (MCA), PanAust is committed to their 'Enduring Value – the Australian Minerals Industry Framework for Sustainable Development'. This framework commits companies to upholding fundamental human rights and respect for the cultures, customs and values of people affected by their activities. For more information, visit http://www.minerals.org.au/enduringvalue/

PanAust measures its sustainability performance against international standards and commissions independent audits based on the Equator Principles and the International Finance Corporation’s Environmental and Social Standards for operating projects – http://www.ifc.org

For the Ban Houayxai Gold-Silver Project, PanAust is a signatory of The International Cyanide Management Code (ICMC) to align with the program for the gold mining industry that promotes the responsible use of cyanide in gold mining – www.cyanidecode.org

PanAust is seeking to align with the International Council on Mining and Metals (ICMM) Policy on Climate Change and is on track to complete a baseline carbon footprint analysis at Phu Kham by the end of 2011 – www.icmm.com/climatechangepolicy

PanAust Board and Committees 

The PanAust Board has adopted a Charter which sets out their responsibilities and functions. The Board has also established a number of Committees: Audit, Remuneration, Nominations and Sustainability Committees. Each Committee plays an important role in the Company’s corporate governance activities: 

Each Committee has its own Charter defining its responsibilities and functions.

• Charter of the PanAust Board
• Charter of the Audit Committee
• Charter of the Remuneration Committee
• Charter of the Nominations Committee
• Charter of the Sustainability Committee

Corporate Governance Policies

PanAust has adopted the following corporate governance policies.

PanAust's Vision and Values provide a framework for business strategy, and the Company’s behaviour and culture.

Code of Conduct provides guidance as to the standard of behaviour required of directors and employees of PanAust.

Trading in Shares and other Securities provides the procedures which govern trading in PanAust shares and other securities by Directors, employees, consultants and contractors.

PanAust's Diversity Standard provides the basis upon which PanAust promotes diversity across its operations and Board membership. This standard is made in accordance with the PanAust Employee Policy.

Continuous Disclosure Policy documents the procedures and processes PanAust has in place to ensure that it complies with its continuous disclosure obligations.  

Enterprise Risk Management Policy documents the framework, processes and procedures to be applied by PanAust in the oversight and management of material business risks.

Shareholder Communications Policy documents the principles governing communication with shareholders.