No Revenue And Persistent LossesAbsence of operating revenue means the business model is pre-revenue and reliant on external capital or asset transactions. Persistent losses erode shareholder equity over time and create execution risk: without a clear path to resource monetization, sustaining operations depends on continued financing and successful project milestones.
Negative Free Cash Flow / Cash BurnNegative free cash flow shows the company cannot yet self-fund investment and exploration. Ongoing cash burn increases probability of dilution or debt financing, constrains the pace of project advancement, and creates execution risk if capital markets tighten or investor appetite wanes.
Weak Returns On EquityA negative ROE indicates the company is destroying shareholder capital rather than creating it. Over months this weak profitability can deplete equity, reduce financial flexibility, and impair the company’s ability to co-fund projects or secure favorable JV terms, hampering long-term growth prospects.