Contango Silver & Gold (CTGO) risk factors, FY2024 10-K

Other

1. 01Risks related to global economic instability, including inflation and fuel and energy costs may affect the Company’s business
2. 02Kinross has management and operational control of the Manh Choh Project and the Peak Gold JV Property
3. 03Failure to proportionately fund the operations of the Peak Gold JV or to elect not to contribute to an approved program and budget or contributes less than our proportionate membership interest could reduce the Company's interest in the Peak Gold JV
4. 04There can be no assurance that Kinross will continue to fund the Peak Gold JV to continue exploration work
5. 05Kinross has far greater technical and financial resources than the Company
6. 06The A&R JV LLCA restricts the Company’s right to transfer or encumber its interests in the Peak Gold JV
7. 07The price of gold is volatile and market fluctuations in the prices of minerals could adversely affect the Company’s and Peak Gold JV’s business
8. 08A significant decline in the price of gold may result in the Company having to reassess the feasibility of its projects and could negatively affect the value of the Manh Choh Project and the Company’s securities
9. 09The Company’s ability to successfully execute its business plan is dependent on its ability to obtain adequate financing
10. 10The Company’s continued viability depends on continued commercial production of the Peak Gold JV Property and the exploration, permitting, development and commercial production of the Company’s other properties
11. 11The Company may never recover minerals at the Contango Properties in commercial quantities
12. 12The Peak Gold JV Property is located in the remote regions of Alaska and exploration activities may be limited by weather and limited access and existing infrastructure
13. 13Concentrating capital investment in the Peak Gold JV Property in the State of Alaska increases exposure to risk
14. 14The Company will rely on the accuracy of the estimates in reports provided to the Company by the Peak Gold JV’s Manager and outside consultants and engineers
15. 15Exploration activities involve a high degree of risk, and exploratory drilling activities may not be successful
16. 16Underground exploration and mining operations are subject to unique risks
17. 17The Company and the Peak Gold JV cannot provide assurance that the title to their properties will not be challenged
18. 18The Tetlin Lease was executed with a Native American tribe for the exploration of gold ore and associated minerals. The enforcement of contractual rights against Native American tribes with sovereign powers may be difficult
19. 19We may not be able to grow successfully through future acquisitions or successfully manage future growth
20. 20Unanticipated changes in business, industry or general economic conditions that affect the assumptions underlying the acquisition
21. 21Competition in the mineral exploration industry is intense, and the Company is smaller and has a much more limited operating history than most of its competitors
22. 22Our business depends on the continued contributions made by Rick Van Nieuwenhuyse, as our key executive officer, whose loss could have a material adverse effect on our business
23. 23The Peak Gold JV is subject to complex laws and regulations, including environmental regulations that can adversely affect the cost, manner or feasibility of doing business
24. 24Limit or prohibit mining work on protected areas
25. 25Regulations and pending legislation governing issues involving climate change could result in increased operating costs, which could have a material adverse effect on our business
26. 26Opposition to our operations and those of the Peak Gold JV from local stakeholders or non-governmental organizations could have a material adverse effect on us
27. 27The Peak Gold JV may be unable to obtain, maintain or renew permits necessary for the exploration, development or operation of any mining activities, which could have a material adverse effect on its business, financial condition or results of operation
28. 28Anti-takeover provisions of the Company’s certificate of incorporation, bylaws and Delaware law could adversely affect a potential acquisition by third parties
29. 29The Company’s common stock is thinly traded
30. 30The Company does not intend to pay dividends in the foreseeable future
31. 31We face risks related to health epidemics and other outbreaks, including the recent spread of COVID-19 or novel coronavirus, or fear of such an event
32. 32Our insurance will not cover all of the potential risks associated with mining operations
33. 33The Company is dependent upon information technology systems, which are subject to disruption, cyber-attacks, damage, failure and risks associated with implementation and integration