XPL Solitario Zinc Dashboard

Risks

• Our mineral exploration activities involve a high degree of risk, and a significant portion of our business model envisions the sale or joint venture of mineral properties. If we are unable to sell or joint venture these properties, the money spent on acquisition and exploration of our mineral properties may never be recovered and we could incur an impairment of our investments in our projects.
• The outbreak of pandemics, including the coronavirus (COVID-19) may affect our assets and development plans.
• We have no reported proven and probable mineral reserves, and our current projects and any projects we may acquire are not likely to offer the opportunity for near term revenues or sale proceeds. If we are unsuccessful in identifying mineral reserves in the future, we may not be able to realize any profit from our property interests.
• Mineral exploration activities are inherently dangerous and could cause us to incur significant unexpected costs, including legal liability for loss of life, damage to property and environmental damage, any of which could materially adversely affect our financial position or results of operations.
• We have a history of losses and if we do not operate profitably in the future it could have a material adverse effect on our financial position or results of operations and the trading price of our common stock would likely decline.
• Our operations outside of the United States of America may be adversely affected by factors outside of our control, such as changing political, local and economic conditions, any of which could materially adversely affect our financial position or results of operations.
• We may not have sufficient funding for exploration and development, which may impair our results of operations and growth potential.
• A large number of companies are engaged in the exploration and development or sale of mineral properties, many of which have substantially greater technical and financial resources than us and, accordingly, we may be unable to compete effectively which could have a material adverse effect on our financial position, prospects, or results of operations.
• The title to our mineral properties may be defective or challenged which could have a material adverse effect on our financial position or results of operations.
• Occurrence of events for which we are not insured may materially adversely affect our business.
• Severe weather or violent storms could materially affect our operations due to damage or delays caused by such weather.
• Our business is dependent on the market price of certain commodities, particularly zinc, and currency exchange rates over which we have no control.
• Our business is dependent on key executives and the loss of any of our key executives could adversely affect our business, future operations and financial condition.
• Our business model relies significantly on other companies to joint venture our projects and we anticipate continuing this practice in the future. Therefore, our results are subject to the additional risks associated with the financial condition, operational expertise and corporate priorities of our joint venture partners.
• We may look to joint venture with another mining company in the future to develop and/or operate our current or future projects; therefore, in the future, our results may become subject to additional risks associated with development and production of our foreign mining projects.
• In the future, we may attempt to acquire a new property, or another company and the acquisition may require a substantial amount of capital or the issuance of our capital stock to complete. Acquisition costs may never be recovered due to changing market conditions, or our own miscalculation concerning the recoverability of our acquisition investment. Such an occurrence could adversely affect our business, future operations and financial condition.
• We are dependent upon information technology systems, which are subject to disruption, damage, failure and risks associated with implementation and integration.
• Failure to comply with the FCPA could subject us to penalties and other adverse consequences.
• The market for shares of our common stock has limited liquidity and the market price of our common stock has fluctuated and may decline.
• Our operations could be negatively affected by existing laws as well as potential changes in laws and regulatory requirements to which we are subject, including regulation of mineral exploration and ownership, environmental regulations and taxation.
• We have never paid and do not intend to pay cash dividends and, consequently, the ability to achieve a return on any investment in our common stock will depend on appreciation in the price of our common stock.
• Issuances of our stock in the future could dilute existing shareholders and adversely affect the market price of our common stock.
• A significant portion of our liquid assets consist of U.S. Treasuries and cash held in brokerage and foreign bank accounts. The failure of the financial institutions that issued or hold these financial instruments or our cash could have a material adverse impact on the market price of our common stock and our liquidity and capital resources.
• We are dependent upon information technology systems, which are subject to disruption, damage, failure and risks associated with implementation and integration.