ASIC media releases are point-in-time statements. Please note the date of issue and use the internal search function on the site to check for other media releases on the same or related matters.
18-128MR Orica increases environmental provision
ASIC notes the decision by Orica Limited (Orica) on 7 May 2018 to increase the amount of its environmental provision by $115 million in its financial report for the half-year ended 31 March 2018.
ASIC had raised concerns as to whether the environmental provision in Orica’s previous financial reports was adequate having regard to the likely duration and cost of remediation obligations at its Botany Industrial Park site under known or likely remediation options. .
Orica has stated that it reviewed the costs and operational duration of its groundwater treatment plant at the Botany Industrial Park (NSW).
The adequacy of provisions to meet obligations is important in providing useful and meaningful information to investors and other users of financial reports.
Editor's note: A version of this media release was briefly published in error on 3 May 2018.