For personal use only Corporate  Governance  Statement Mineral Resources Limited Annual Report 2014  47 The responsibility for undertaking and assessing risk management and internal control effectiveness is delegated  to management. Management is required by the Board to report back on the efficiency and effectiveness of risk  management. The Board discuss risk management issues with management on an ongoing basis. Management is responsible for the ongoing management of risk with standing instructions to apprise the Board  of changing circumstances within the Company and within the international business environment.  The Audit Committee ensures that the Managing Director and Chief Financial Officer prepare a written statement  to the Board certifying that the Company’s annual financial report and half yearly financial report present a true  and fair view, in all material respects, of the financial condition of the Company and its operational performance  and are in accordance with relevant accounting standards.  The statement is presented to the Board prior to the approval and sign-off of the respective annual and half  yearly financial reports. Confirmation is provided by the Managing Director and Chief Financial Officer that the  assurance provided to the Board is founded on a sound system of risk management and internal control and the  system is considered to operate effectively in all material respects in relation to reporting financial risk. The Board has established a Remuneration Committee. Composition of the Committee comprises at least three  directors, the majority of whom are non-executive directors, one of whom will be appointed the Committee Chairman. The charter of the Committee and its functions and responsibilities are posted on the Company’s website:  www.mineralresources.com.au. The Committee is currently chaired by Kelvin Flynn, an independent non-executive director, and members are Joe  Ricciardo and Mark Dutton.  Non-executive directors are entitled to receive statutory superannuation benefits. No other post-employment  benefits are provided to non-executive directors. Non-executive remuneration  PRINCIPLE 8 – REMUNERATE FAIRLY AND RESPONSIBLY  RECOMMENDATION 8.1, 8.2, AND 8.3 – REMUNERATION COMMITTEE Section 2.15 – Remuneration RECOMMENDATION 7.3 - ASSURANCE FROM CEO AND CFO Management sign-off procedure  Section 2.14 – Risk Management PRINCIPLE 7 – RECOGNISE AND MANAGE RISK  RECOMMENDATION 7.1 AND 7.2 – RISK MANAGEMENT  30 June 2014 Corporate Governance Statement