Negative Cash FlowPersistent negative operating and free cash flow forces reliance on external financing to sustain exploration programs. Over multiple quarters this increases dilution risk, can truncate drilling schedules if funding gaps appear, and constrains the company’s ability to advance projects consistently.
Pre-revenue & Persistent LossesWith no operating revenues and sizable recurring losses, the company lacks internal cash generation to reach development milestones. This structural weakness means long-term project progression and commercialization depend on capital markets or partners rather than operating cash flow.
Volatile/Negative Equity HistoryA history of negative equity reflects past dilution and accumulated losses, weakening the capital base. This can make future financings more dilutive or costly, reduce bargaining power in JV/farm-out negotiations, and heighten execution risk for multi-stage exploration programs.