Orano - Annual Activity Report 2024 381 STATEMENTS 6 Consolidated financial statements - financial year ended December 31, 2024 Investigations The Company has been aware, since November 28, 2017, of a preliminary investigation opened by the French National Financial Prosecutor’s Office at the end of July 2015 concerning a uranium trading operation carried out in 2011. It also learned, on November 23, 2020, of the opening of a judicial investigation in the same case and became a civil party in December 2022. Orano is working with the legal authorities in connection with these legal proceedings, which are ongoing. If it were found in either of these cases that there had been misappropriation or any other act that could have harmed the group or one of its subsidiaries, Orano would take the necessary legal action to defend its interests. Release of the Arlit hostages On October 6, 2016, the manager of a protection services company sued AREVA SA and Orano Cycle SA before the Nanterre Tribunal de Grande Instance to obtain payment of a success fee that he claims to be due for services purportedly rendered to the AREVA group in Niger between September 2010 and October 2013. AREVA SA and Orano Cycle SA believe that these allegations are unfounded. Along with that proceeding, the parties to the suit tried to settle under court-appointed mediation. Despite the efforts of AREVA and Orano to find a compromise, this was unsuccessful. The main proceeding therefore resumed in 2020 and was concluded by a hearing on December 3, 2024. The verdict is expected to be delivered in March 2025. Even if the court does not accept the Orano group’s position, the financial impact would be limited, though it could entail other, indirect, consequences, in the media for instance. Mongolia At the end of several years of cooperation between Orano and the judicial authorities, a Public Interest Judicial Agreement (CJIP) was signed on December 2, 2024 with the French National Financial Prosecutor’s Office and then approved on December 9, 2024 by the President of the Court of Justice of Paris, for a project in Mongolia between 2013 and 2015, before the creation of Orano. This agreement holds no liability against Orano and closes any judicial investigation in France. This agreement does not constitute a judgment or a conviction. It provides for the three-year review by the French Anticorruption Agency of the implementation of the group’s compliance plan deployed since the creation of Orano in 2018 and acknowledges its collaboration with the French judicial authorities. Appeals against certain administrative decisions concerning the activities of the Orano group The activities of the Orano group require the receipt of various authorizations or administrative decisions (such as prefectural orders, building permits, etc.). These decisions are sometimes challenged, in France and on the part of NGOs, which in certain cases can have an impact on the timetable for carrying out the relevant activities. Tax proceedings and disputes The group, comprising entities located in different countries, regularly faces controls by local tax and customs authorities. Several audits and tax-related proceedings or disputes have been initiated or are currently being conducted by those authorities or in the courts. However, none are expected to give rise to, or has given rise to, a material tax expense that could have a significant impact on the financial statements. The group considers that it has sound means of defense and that it employs the legal procedures available to it to prevent any unfavorable outcome. The group anticipates the emergence of disputes related to differences of interpretation, mainly relating to transfer pricing policy issues. The group disputes the arguments put forward by the tax authorities and will initiate litigation or bilateral proceedings in order to assert its position. Materials awaiting supply chains The group owns uranium and thorium materials awaiting appropriate channels that are currently not fully recovered. After processing, these materials should bring economic benefits to the group in the future. However, in the event of a change in regulations or the finding that the economic assumptions cannot be achieved, the group may be required to set aside provisions for the processing and storage of these materials.
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