Boss Energy Faces Funding Pressure as Cash Reserves Halve in Quarter

Quarterly Cash Flow Overview

Boss Energy Limited’s latest quarterly cash flow report for the period ending 30 June 2025 reveals a significant drawdown on its cash reserves. The company recorded a net cash outflow of AUD 7.7 million from operating activities, reflecting ongoing costs associated with exploration, production, and corporate overheads. This operating cash burn, combined with substantial investing outflows, has materially reduced the company’s liquidity position.

Investing and Financing Activities

Investing activities during the quarter accounted for a cash outflow of AUD 16.9 million, primarily related to exploration and evaluation expenditures as well as property, plant, and equipment investments. Notably, Boss Energy did not raise any new capital or financing during the quarter, with financing activities showing a minor net cash outflow of AUD 38,000. This absence of fresh funding places greater emphasis on the company’s existing cash reserves to sustain operations.

Liquidity and Funding Outlook

At quarter end, Boss Energy held unrestricted cash and cash equivalents of AUD 36.5 million, down sharply from AUD 63.8 million at the previous quarter’s close. The company also maintains a restricted environmental bond of AUD 13.5 million, which is not available for operational use. Based on current cash outflows, management estimates the company’s funding runway to be approximately 4.8 quarters, providing a moderate buffer but underscoring the need for prudent cash management or potential future capital raising.

Related Party Payments and Governance

Payments to related parties, including executive directors and non-executive directors, amounted to AUD 553,000 for the quarter. These payments primarily covered salaries, superannuation, and director fees, consistent with standard corporate governance practices. The company’s board has authorised the release of this report, affirming compliance with relevant accounting standards and disclosure requirements.

Looking Ahead

While Boss Energy’s cash position remains sufficient for the near term, the ongoing cash burn and lack of new financing highlight the importance of monitoring upcoming quarterly reports for signs of operational progress or capital strategy adjustments. Investors will be keen to see how the company balances its exploration ambitions with financial sustainability in the months ahead.