ANNUAL REPORT 2023 11
Initiation of the contentious-administrative appeal is necessary to preserve BME’s rights however, the
Company reiterates that it is prepared to collaborate with the relevant authorities and remains hopeful that the
permitting situation can be resolved amicably.
The Company will continue to strongly defend its position in relation to the adverse decision by the NSC as
discussed in the litigation risk section above.
Further, various appeals have also been made against other permits and approvals the Company has received
for the Salamanca Project, as allowed for under Spanish law, and the Company expects that further appeals
will be made against these and future authorisations and approvals in the ordinary course of events. Whilst
none of these appeals have been finally determined, no precautionary or interim measures have been granted
in relation to the appeals regarding the award of licences and authorisations at the Salamanca Project to date.
However, the successful development of the Salamanca mine will be dependent on the granting of all permits
and licences necessary for the construction and production phases, in particular the award NSC II which will
allow for the construction of the plant as a radioactive facility.
However, with any development project, there is no guarantee that the Company will be successful in applying
for and maintaining all required permits and licences to complete construction and subsequently enter into
production. If the required permits and licences are not obtained, then this could have a material adverse effect
on the Group’s financial performance, which has led to a reduction in the carrying value of assets and may
materially jeopardise the viability of the Salamanca Project and the price of its Ordinary Shares.
Further, the Company’s exploration and any future mining activities are dependent upon the maintenance and
renewal from time to time of the appropriate title interests, licences, concessions, leases, claims, permits,
environmental decisions, planning consents and other regulatory consents which may be withdrawn or made
subject to new limitations. The maintaining or obtaining of renewals or attainment and grant of title interests
often depends on the Company being successful in obtaining and maintaining required statutory approvals for
its proposed activities. The Company closely monitors the status of its mining permits and licences and works
closely with the relevant Government departments in Spain to ensure the various licences are maintained and
renewed when required. However, there is no assurance that such title interests, licenses, concessions,
leases, claims, permits, decisions or consents will not be revoked, significantly altered or not renewed to the
detriment of the Company or that the renewals and new applications will be successful;
• The Company may not successfully acquire new projects – In conjunction with seeking to overturn the negative
MITECO decision, the Company is also searching for and assessing other new business opportunities at the
Salamanca Project but also for new business opportunities in the resources sector which could have the
potential to build shareholder value. These new business opportunities may take the form of direct project
acquisitions, joint ventures, farm-ins, acquisition of tenements/permits, or direct equity participation.
The Company’s success in its acquisition activities depends on its ability to identify suitable projects, acquire
them on acceptable terms, and integrate the projects successfully, which the Company’s Board is experienced
in doing. However, there can be no guarantee that any proposed acquisition will be completed or be successful
and the Directors are not able to assess the likelihood or timing of a successful acquisition. If a proposed
acquisition is completed the usual risks associated with a new project and/or business activities will remain.
Further, any new acquisition may require the establishment of a new business. The Company’s ability to
generate revenue from a new business will depend on the Company being successful in exploring, identifying
mineral resources and establishing mining operations in relation to a new project. Whilst the Directors have
extensive industry experience, there is no guarantee that the Company will be successful in exploring and
developing a new project;
• The Company’s activities are subject to Government regulations and approvals – The Company’s exploration
and any future mining activities are dependent upon the maintenance and renewal from time to time of the
appropriate title interests, licences, concessions, leases, claims, permits, environmental decisions, planning
consents and other regulatory consents which may be withdrawn or made subject to new limitations. The
maintaining or obtaining of renewals or attainment and grant of title interests often depends on the Company
being successful in obtaining and maintaining required statutory approvals for its proposed activities. The
mining licence for the Salamanca Project was granted in April 2014 and is valid until April 2044 (and renewable
for two further periods of 30 years each).
The Company closely monitors the status of its mining and exploration permits and licences and works closely
with the relevant government departments in Spain to ensure the various licences are maintained and renewed
when required. However, there is no assurance that such title interests, licenses, concessions, leases, claims,
permits, decisions or consents will not be revoked, significantly altered or not renewed to the detriment of the
Company or that the renewals and new applications will be successful.