No Operating RevenueAbsence of operating revenue across multiple years means the company cannot self-fund activities, increasing dependence on external capital. This is a durable constraint for explorers: without consistent cash-generative operations, project advancement and shareholder returns rely on successful asset exits or continued financing.
Widening Net LossesA sharp deterioration in profitability materially weakens the balance sheet and reduces equity, making future fundraises more dilutive and costly. Persistently rising losses constrain the firm's ability to finance exploration work, partner on favourable terms, or sustain multi-year projects without restructuring.
Consistent Cash BurnNegative operating and free cash flow year-after-year creates a structural funding requirement. Reliance on external financing raises execution risk, potential dilution, and timing uncertainty for advancing projects; it also limits the company's ability to capitalize on opportunities without partner funding.