Unable to boot & constant reboots

Hi all.

I am still a newbie around, but i have a strange issue, that require more than Google-ing.

I have a Virtual machine with FreeBSD running Kace2000 Appliance (Dell). Its an old version - 7.0 i think, but worked like a charm.
I guess that after an improper shutdown of the physical server, the virtual machine got corrupted. Or its because of stucked Kernel/FreeBSD update. Still figuring out.

The issue:
- When the virtual machine starts normally - it ends up in screenshot1 and reboots. Thats a forever process.

-When i try to load another Kernel and manually assign Root partition i got screenshot2 issue.

I boot with a LiveCD, fsck says that all drives are good. Fstabshow is attached too. Gpart says that the file system is BSD.

I am guessing its stuck in FreeBSD update, but how can i prevent it ?

Thanks in advance.