Investor Presentaiton
Key risks
Foreign jurisdiction
The financial performance of each of the Company's operations in so far as they rely on suppliers from, or
operate in, a foreign jurisdiction may be adversely impacted by current or future fiscal or regulatory
regimes, local laws and regulations or changes to the economic, political, judicial, administrative and
security, climate or policies in those geographies.
The Company is currently expanding its operations to South America through its new Chilean office and
may further expand its operations in additional international jurisdictions. There is a risk investing in
international operations may not be profitable or succeed due to poor execution or external factors
beyond the Company's control including obtaining appropriate licences and consents for the Orexplore
Business, taxation, labour laws, working conditions, insurance, demand for services, contractors, potential
acquisitions, growth, counterparties, intellectual property, technical failure, operational failure, disputes,
litigation, non-payment, currency exchange rates, debt and interest rates, financial performance, legal
compliance, political unrest and operational management.
Infectious diseases
Infectious diseases such as COVID-19 could interrupt the Company's operations, impair deployment of its
solutions to customers and prevent customers from honouring their contractual obligations. Such
diseases can also cause hospitalisation or death of the Company's staff and existing and potential
customers. COVID-19 has been declared a pandemic. Containment relating to the pandemic is likely to
delay or inhibit Orexplore's ability to provide its products to customers, as well as causing disruptions to
supply chains and delays in sourcing component parts.
Whilst the Company has a business continuity and mitigation plan in respect of COVID-19 and has also
created work-from-home procedures to manage business continuity risks, these controls may have
limited effect depending on the scope and size of any outbreak or threat.
46
Regulatory
The Company currently requires permits and authorisation by radiation safety authorities
to develop the GeoCore X10® product, with permits also required at locations where the
GeoCore X10Ⓡ are operated. The Company has been issued a permit from the Swedish
Radiation Safety Authority in respect to the manufacture, installation and maintenance of
technical devices that can generate ionizing radiation. This permit expires on 8th August
2028, and any delay in renewing the permit, or the permit is rescinded, may significantly
impact on the Company's operations.
The introduction of new legislation or amendments to existing legislation by
governments, developments in existing common law, or the respective interpretation of
the legal requirements in any of the legal jurisdictions which govern the Company's
operations or contractual obligations, could impact adversely on the assets, operations
and, ultimately the financial performance of the Company and its Shares.
Each Orexplore laboratory and manufacturing hub, is subject to government regulations
on working safely with X-ray sources that form a fundamental part of the Orexplore
Geocore X10Ⓡ and Geocore X10+products. Orexplore GeoCore X10Ⓡ operators and
maintainers have to obtain a state-by-state X-ray Operators Certificate at a level tailored to
their work duties.
Companies dealing with industrial X-ray devices need to generally register devices with
the radiological council (for instance in Western Australia - or similar typically in other
jurisdictions) and the registration is held by a responsible person within the business in
each jurisdiction. The responsible person is required to ensure that a person is licensed
appropriately to deal with the equipment and is generally appointed as the Radiation
Safety Officer (RSO) (RSO is a statutory appointment for instance in Western Australia - or
similar typically in other jurisdictions). The equipment is subject to the Radiation Safety
Act 1975 (WA) and Radiation Safety (General) Regulations 1983 (WA) (for instance in
Western Australia - or similar typically in other jurisdictions).View entire presentation