Persistent Negative Cash FlowConsistent negative operating and free cash flow creates ongoing funding needs, raising dilution and financing risk. Over 2–6 months this structural cash burn constrains ability to ramp drilling programs internally and increases dependence on equity raises or partner funding, pressuring strategy execution.
Continued Loss-making OperationsPersistent operating losses mean the business cannot self-fund growth or development, eroding returns and limiting reinvestment. Over time, sustained negative earnings threaten equity cushions and require recurrent capital markets access, raising structural risk for project advancement.
Very Low Or Absent RevenueMinimal or zero revenue limits the company's ability to demonstrate commercial traction or generate cash from operations. This structural lack of recurring revenue increases project dependency on successful exploration outcomes or third‑party transactions to realize value.