Hi Melita,
Thank you for your response. Yes, I have tried the suggestions provided in the earlier posts and the ESRI webpage. What do you mean "setting the licensing information"? What I basically do is that I bind the ArcGIS runtime (it works fine), then check if the product is available (using esriLicenseProductCodeEngine) and finally initialize the license using the ESRI.ArcGIS.esriSystem.IAoInitialize class (this step returns "esriLicenseCheckedOut" - a confirmation that the initialization was successful). Again, the part that fails is the code that creates an instance of the ISpatialReferenceFactory3. I'm referencing libraries from the ArcObjects .NET SDK, do I need to do any COM registration? Running out of ideas ...
Thanks,
K.