Persistent Negative Operating Cash FlowRecurring negative operating and free cash flow represents a durable drain on resources. Continued cash burn forces reliance on external financing, increases dilution risk, and can constrain sustained exploration and permitting programs critical to advancing assets toward monetization.
No Revenue; Ongoing LossesThe absence of operating revenue and persistent losses mean the business lacks internally generated funding. Over months this undermines return metrics and raises the bar for successful project milestones or transactions needed to justify further investment and sustain operations.
Reliance On Capital Markets For FundingDependence on equity and corporate financings makes the company vulnerable to capital-market cycles. If markets tighten or investor appetite for explorers wanes, raising required funds for drilling, permitting, or technical studies could be delayed or dilutive, impeding project advancement.