Persistent UnprofitabilitySustained negative net profit and EBIT margins erode equity and constrain reinvestment capacity. Over months this limits the company's ability to self-fund exploration, increases reliance on external capital, and weakens long-term returns unless a material discovery or asset sale reverses the trend.
Operating Cash Flow WeaknessNegative operating cash flow and declining free cash flow growth indicate operational cash burn. Structurally, this necessitates ongoing financing, raises the risk of funding gaps, and can force accelerated dilutive equity raises or concessionary JV terms over the 2-6 month horizon.
Business Model Reliant On External CapitalThe company lacks material recurring operating revenue and depends on equity raises, asset sales, or farm-outs. This structural financing model exposes shareholders to dilution risk and to capital market conditions; it limits autonomous long-term growth absent successful exploration outcomes.