The downside is dilution, to control dilution you need to be...

The downside is dilution, to control dilution you need to be able to pause work when capital is too expensive.  In WA for example you can apply for a retention license and wait for a better price environment.  In the DRC there’s no such luxury, you need to be very busy, there are always sharks waiting for an opening like a hiatus in development, and usually a local free carried partner who holds the cards that you need to keep happy.  Free carried partners could care less how many shares you need to issue to develop something in a depressed capital market.

Sometimes you can keep the local interests satisfied with small scale exploitation and bribery, however this unofficial type of arrangement doesn’t sit well with listed companies and directors bound by western law, particularly Australia that has taken a hard line on individuals involved in such “grey areas” overseas.

So burn rate is guaranteed to be high, ability to raise capital at a favourable price uncertain.