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We are subject to the risk of litigation, the causes and costs of which are not always known.
We are subject to litigation arising in the normal course of business and may be involved in disputes that
may result in litigation. Although we are not aware of any material pending or threatened litigation or of any legal
proceedings known to be contemplated which are, or would be, likely to have a material adverse effect upon us or
our operations, taken as a whole, the causes of potential future litigation cannot be known and may arise from,
among other things, business activities, environmental and health and safety concerns, share price volatility or
failure to comply with disclosure obligations. The results of litigation cannot be predicted with certainty but could
include costly damage awards or settlements, fines, and the loss of licenses, concessions or rights, among other
things. If we are unable to resolve a dispute favorably, either by judicial determination or settlement, it may have a
material adverse effect on our financial condition, cash flow or results of operations.
We depend upon information technology systems, which are subject to disruption, damage, or failure and
have risks associated with implementation and integration.
We depend upon information technology systems in the conduct of our operations. Our information
technology systems are subject to disruption, damage or failure from a variety of sources, including, without
limitation, computer viruses, security breaches, cyber-attacks, natural disasters and defects in design. Cybersecurity
incidents, in particular, are evolving and include, but are not limited to, malicious software, attempts to gain
unauthorized access to data and other electronic security breaches that could lead to disruptions in systems,
unauthorized release of confidential or otherwise protected information or the corruption of data. Various measures
have been implemented to manage our risks related to the information technology systems and network disruptions.
However, given the unpredictability of the timing, nature and scope of information technology disruptions, we could
potentially be subject to downtimes, operational delays, the compromising of confidential or otherwise protected
information, destruction or corruption of data, security breaches, other manipulation or improper use of our systems
and networks or financial losses from remedial actions, any of which could have a material adverse effect on our
cash flows, competitive position, financial condition or results of operations.
U.S. investors may not be able to enforce their civil liabilities against us or our directors, controlling persons
and officers.
It may be difficult to bring and enforce suits against us. We are incorporated in the province of British
Columbia, Canada under the
Business Corporations Act
(British Columbia). Some of our directors are residents of
Canada, and a substantial portion of their assets are located outside of the United States. As a result, it may be
difficult for U.S. holders of our common shares to effect service of process on these persons within the United States
or to recover in the United States on judgments rendered against them. In addition, a shareholder should not assume
that the courts of Canada (i) would enforce judgments of U.S. courts obtained in actions against us or such persons
predicated upon the civil liability provisions of the U.S. federal securities laws or other laws of the United States, or
(ii) would enforce, in original actions, liabilities against us or such persons predicated upon the U.S. federal
securities laws or other laws of the United States.
We do not currently intend to pay cash dividends.
We have not declared any dividends since our incorporation and do not anticipate that we will do so in the
foreseeable future. Our present policy is to retain all available funds for use in our business development, operations
and expansion. Payment of future cash dividends, if any, will be at the discretion of the Board of Directors and will
depend on our financial condition, results of operations, contractual restrictions, capital requirements, business
prospects and other factors that the Board of Directors considers relevant. In the absence of dividends, investors
will only see a return on their investment if the value of our common shares appreciates.