Path to Commercial Gas Production slide image

Path to Commercial Gas Production

Investment risks (cont...) Access to funding for operations risk Regulatory risk Community opposition risk . • • Exploration and development of hydrocarbon reserves and resources require significant capital and operational expenditure. With future growth, Jade may require funding for future commitments. There can be no assurance that the Company will be able to obtain funding as and when required on commercially acceptable terms, or at all. Failure to obtain funding on a timely basis and on reasonably acceptable terms may also cause Jade to miss out on new opportunities, delay or cancel projects, or to relinquish or forfeit rights in relation to the Company's assets, adversely impacting its operational and financial performance. Jade's assets are currently in the Mongolian jurisdiction. The enactment of new legislation or adoption of new requirements of a governmental authority may restrict or affect Jade's right to conduct exploration and development or the manner in which such activities can be conducted, including new requirements relating to climate change and energy policy. There is a risk that community disapproval may lead to direct action which impedes Jade's ability to carry out its lawful operations, resulting in project delay, reputational damage and increased costs and thus impact the financial performance of the Company. 23
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