Pre-revenue StatusNo commercial revenue undermines self-funding ability and means value is dependent on successful exploration and development outcomes. Persistent losses force reliance on external capital, increasing dilution risk and making long-term progress contingent on financing availability and execution risk.
Ongoing Negative Cash FlowConsistent negative operating and free cash flow erodes cash reserves and requires recurrent financing. Even with recent improvements, ongoing burn constrains the pace of exploration and feasibility work, elevating execution risk and exposing the company to cyclical capital market conditions.
Equity Erosion & Negative ROEDeclining equity and materially negative returns on equity signal capital destruction from operations. This reduces the balance-sheet buffer available for development, weakens investor confidence, and increases the likelihood of further equity raises, which can dilute existing holders and slow long-term value creation.