Item 1B. Unresolved Staff Comments
Item 1B. Unresolved Staff Comments.
None.
Item 1C. Cybersecurity.
Risk management and strategy
We rely on our technology network infrastructure
and information systems to operate our business, interact with vendors and customers, and collect and make payments, among other functions.
Our internally developed infrastructure and systems, as well as those systems and processes provided by third-party vendors, may be susceptible
to damage or interruption from cybersecurity threats and incidents, which include any unauthorized access to our information systems that
may result in adverse effects on the confidentiality, integrity or availability of such systems or related information.
Such attacks have become more sophisticated over
time, especially as threat actors have become increasingly well-funded by or themselves include governmental actors with significant
means. We expect that the sophistication of cyber-threats will continue to evolve as threat actors increase their use of AI and machine-learning
technologies. The Company experiences cyber threats in the normal course of its business, and computer viruses, hackers, employee
misconduct and other external hazards could expose our information systems to security breaches, cybersecurity incidents or other
disruptions, any of which could materially and adversely affect our business. Refer to Item 1A. Risk Factors, for additional details on
cybersecurity risks that could potentially materially affect the Company.
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We manage our risks from cybersecurity threats
through our overall enterprise risk management process, which is overseen by the Board. Our cybersecurity risks are considered individually
as part of our enterprise risk management process alongside other risks, and priorities and discussed with our Board. The Company seeks
to prioritize the management of cybersecurity risk and the protection of confidential information and systems. Under the supervision
of the Chief Executive Officer (“ CEO ”) and VP of Business Operations and Strategy, we work to identify all computing
assets including hardware, software, and network infrastructure in order to conduct a risk assessment. We consider threats that may
originate from both internal and external sources and maintain technical security controls internally. We are putting in place plans for
our employees to receive mandatory recurring cybersecurity training and phishing exercises.
The Company’s VP of Business Operations
and Strategy reports directly to the CEO and leads the Information Technology team (collectively, the “ IT Security Team ”).
The IT Security Team is responsible for the strategic oversight of cybersecurity risk management and strategy including the identification
and assessment of cybersecurity threats and incidents. Periodically, the Company’s VP of Business Operations and Strategy is also
responsible , alongside the Chief Financial Officer (“ CFO ”) and senior management, to keep the Audit Committee of the
Board of Directors informed and briefed with respect to cybersecurity risks and risks. Our VP of Business Operations and Strategy has
extensive experience of over 20 years in various IT roles across a range of cyber technologies, processes and strategies and is supported
by the IT Security Team and the wider IT team, to support the Company’s cyber risk management processes, including the prevention,
detection and mitigation of cybersecurity threats and incidents, and any required response to and remediation of such cybersecurity threats
or incidents.
Governance
The Audit Committee is responsible for providing
governance and oversight over the Company’s operational cybersecurity program, risk management and incident response on behalf of
the Board. On a periodic basis, management will report the results of any risk assessments, including the evaluation of any cybersecurity
risks, and the actions that the Company has taken to mitigate these risks. This includes assessing the measures and controls in
place to mitigate cybersecurity risks and providing oversight of the response of any significant cybersecurity threats and incidents.
Item 2. Properties.
For information regarding the properties of USARE, reference is made
to the disclosure set forth above in Item 1. Business of this Annual Report under the heading “ USARE’s Facilities ,”
which is incorporated herein by reference.