49 INTEGRATED ANNUAL REPORT 2025 NCT strategy and risk register as revised for the post-fire re-build phase Risk element Potential severity Deemed order of severity Assigned impact rating Action Summary Rail demise and the increasing degradation of key Provincial roads impairing access to NCT mills. 1 36 Extreme Support FSA lobby intitiatives / Initiate Industry and wider stakeholder awareness and action. National legislation re overloading leading to dumping and criminality 2 32 Extreme Support FSA / Anti timber theft initiatives / Awareness / Supplier sanction and membership termination. 3 Export conveyor at Richards Bay offset to another deemed high value commodity? Extreme 28 Consistant monitoring / Enhanced and robust interaction with Port authorities. 4 Road access to DWC impeded 28 Extreme As per 1 above. Ever more interest, legal or otherwise, on mining on NCT landholdings. 5 27 Extreme Consistant monitoring / In-house and expert legal assessment and action as appropriate. 6 DWC breakdown or extended production delay Extreme 24 Consistant monitoring / preventative maintenance / High staff awareness and appropriate capacity. Marketability of mixed Eucalyptus / old age Eucalyptus / Eucalyptus excess and sustention of domestic market contracts 7 24 High Every market opportunity explored on export and domestic fronts / Engagement with domestic markets / Biomass options / alternative product options. Port services decline 8 24 Extreme As per 3 above. 9 Loss of the DWC lease? Extreme 21 Earliest and robust ongoing engagement with highest Port authorities. Municipal water supply to DWC / Other key municipal service decline? 10 21 Extreme Engagement with Municipal authorities and application of own capacity where appropriate and allowed / supported. Labour unrest on member farms? 11 18 High Constant monitoring / Community Liaison Officer 12 DWC breakdown or extended production delay High 18 Consistant monitoring / preventative maintenance / High staff awareness and appropriate capacity. Certification loss / CoC issues 13 14 Extreme Roll out of intense certification onboarding exercise using three service providers. First milestone to attain 50% credit rating within shortest possible time. Skills availability 14 14 High Internship programme across all disciplines and Departments as appropriate. 15 PBS vehicles discontinued Extreme 14 Monitor constantly / Engage with Road Traffic Inspectorate / Support FSA initiatives. Credit risk (Special markets) 16 12 High Regular monitoring and financial adjudication. Does NCT have an optimal business structure (BBBEE, tax, insurance, public liability)? 17 12 High High level strategic workshop. 18 Associated risks and implications given the management of complince issues and the legal enforcement of such compliance High 12 As per 17 above. Labour unrest / sabotage at NCT Tree Farming 19 12 High As per 11 above. Salary industry parity 20 12 High Regular benchmarking. 21 Member loss / attrition Moderate 10 Staff buy-in to providing the best possible service levels. Mental health issues present 22 10 Moderate Discovery Healthy Company and other Wellness programmes. Tax and PAYE reporting pressure 23 7 High Designated finance staff focussed on SARS compliance issues and interaction. 24 Exchange rate volatility Moderate 5 Regular application of hedging and other appropriate financial procedures.
RkJQdWJsaXNoZXIy MjgyNjA0