Persistent Negative Operating Cash FlowConsistent negative operating cash flow means the company cannot internally fund exploration or advancement, forcing reliance on external capital. Over months, this raises execution and dilution risk, may delay technical programs, and constrains ability to capitalize on development windows without new funding.
Ongoing Net Losses And Negative ReturnsSustained net losses deteriorate equity value and limit reinvestment capacity. Continued negative EBIT undermines ability to build operating scale or margins, increases dependence on capital markets, and makes long-term planning harder because profitability improvements are unproven and earnings are currently a cash drain.
Minimal And Volatile Revenue BaseAn unstable or absent revenue stream reduces visibility into margin sustainability and the company’s path to self-funding. For a development-stage miner, this weak operating base increases the likelihood of recurring capital raises and makes multi‑period planning and contractor/partner commitments more difficult to sustain.