Negative ProfitabilityDeep negative margins are a persistent structural weakness that undermine the firm's ability to self-fund development. If margins do not materially improve, profitability deficits will erode equity, limit reinvestment, and heighten reliance on external financing over the medium term.
Negative Operating And Free Cash FlowChronic cash outflows reduce operational resilience and force dependence on capital markets or partners. Over months this constrains exploration and development schedules, increases dilution risk, and raises the chance of project delays if new funding is not secured.
Exploration-Stage Revenue Model And Funding DependenceBusiness depends on successfully proving and monetizing reserves, a multi-stage process subject to technical, regulatory and commodity risks. Long-term value realization therefore hinges on capital access and execution, making the model vulnerable to funding shortfalls.