160‑15 Effect of mining adjustments on m160‑15 Effect of mining adjustments on mining revenue, mining expenditure etc.

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#### 160‑15 Effect of mining adjustments on mining revenue, mining expenditure etc. (1) The table has effect for the \*MRRT year in which the mining adjustment arises: ```html <table cellspacing="0" cellpadding="0" style="margin-left:0.25pt; border-collapse:collapse"><thead><tr><td colspan="4" style="width:343.5pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">Effect of mining adjustments</td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">Item</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">Column 1If the original amount was an amount included (or not included) in:</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">Column 2... and if the circumstance or event was taken into account in working out the original amount, it would:</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">Column 3The mining adjustment is included in:</td></tr></thead><tbody><tr><td style="width:24.9pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">1</td><td style="width:95.4pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*mining revenue for a mining project interest</td><td style="width:95.4pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">increase</td><td style="width:95.4pt; border-top:1.5pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">mining revenue for that interest</td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">2</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*mining revenue for a mining project interest</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">decrease</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*mining expenditure for that interest</td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">3</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*mining expenditure for a mining project interest</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">increase</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">mining expenditure for that interest</td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">4</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*mining expenditure for a mining project interest</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">decrease</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*mining revenue for that interest</td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">5</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*pre‑mining revenue for a *pre‑mining project interest</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">increase</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">pre‑mining revenue for that interest</td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">6</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*pre‑mining revenue for a *pre‑mining project interest</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">decrease</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*pre‑mining expenditure for that interest</td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">7</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*pre‑mining expenditure for a *pre‑mining project interest</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">increase</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">pre‑mining expenditure for that interest</td></tr><tr><td style="width:24.9pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">8</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*pre‑mining expenditure for a *pre‑mining project interest</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">decrease</td><td style="width:95.4pt; border-top:0.75pt solid #000000; border-bottom:1.5pt solid #000000; padding-right:5.4pt; padding-left:5.4pt; vertical-align:top">*pre‑mining revenue for that interest</td></tr></tbody></table> ``` > Note: Example 1: In MRRT year 1, a miner incurs expenditure of $100 million on some machinery that the miner expects to use to the extent of 40% in the upstream mining operations of a mining project interest for each of 5 years, after which the machinery will be sold. On this basis, $40 million is included in the miner’s mining expenditure for the mining project interest for MRRT year 1. > Note: In MRRT year 2, the miner’s use of the machinery in those operations increases to 50%, and the miner expects that extent of use to continue for the rest of the 5 years. As a result, the extent to which the expenditure relates to the interest increases to 48%. Accordingly, a further $8 million is included in the miner’s mining expenditure for the interest for MRRT year 2. > Note: Example 2: In MRRT year 1, the miner incurs expenditure of $100 million on some machinery, which the miner expects to use for 4 years, but does not expect to use to any extent in the upstream mining operations of a mining project interest. Therefore, none of the expenditure is included in the miner’s mining expenditure for the mining project interest for MRRT year 1. > Note: In MRRT year 3, the miner starts to use the machinery to the extent of 10% in those operations, and expects that extent of use to continue until the end of 4 years. As a result, an amount of $5 million is included in the miner’s mining expenditure for the mining project interest for MRRT year 3: 10% × 2/4 × $100 million. (2) However, for the purposes of items 5, 6, 7 and 8 of the table, if a mining project interest that \*originates from the \*pre‑mining project interest exists, the mining adjustment is instead included: (a) in the circumstances specified in item 5 or 8 of the table—in the \*mining revenue of the mining project interest; or (b) in the circumstances specified in item 6 or 7 of the table—in the \*mining expenditure of the mining project interest. (3) If this Division has given rise to a mining adjustment in relation to the original amount then, in working out whether a later event or circumstance gives rise to an adjustment under this Division in relation to the original amount, this Division has effect as if: (a) the adjustment mentioned in column 3 of the table in subsection (1) had not been made; and (b) the original amount had instead been increased or decreased (as the case requires) as mentioned in column 2 of that table by the amount of the adjustment. (4) If, apart from this subsection, the original amount: (a) would be included in the \*mining revenue or \*mining expenditure for a mining project interest, or in the \*pre‑mining revenue or \*pre‑mining expenditure for a \*pre‑mining project interest; and (b) under paragraph (3)(b), would be a negative amount; the original amount is instead taken to be a positive amount included in the mining expenditure or mining revenue of the mining project interest, or in the pre‑mining expenditure or pre‑mining revenue of the pre‑mining project interest, as the case requires. (5) If this Division has given rise to a mining adjustment in relation to an original amount of \*mining expenditure to which subsection 30‑40(2) applies, that subsection has effect as if: (a) the adjustment mentioned in column 3 of the table in subsection (1) of this section had not been made; and (b) the original amount had instead been increased or decreased (as the case requires) as mentioned in column 2 of that table by the amount of the adjustment. (6) If this Division has given rise to a mining adjustment in relation to an original amount of \*pre‑mining expenditure to which paragraph 70‑40(2)(b) applies, and to which subsection 30‑40(2) would have applied if the pre‑mining expenditure had been mining expenditure for a mining project interest, that paragraph has effect as if: (a) the adjustment mentioned in column 3 of the table in subsection (1) of this section had not been made; and (b) the original amount had instead been increased or decreased (as the case requires) as mentioned in column 2 of that table by the amount of the adjustment.