Stephan Bernstein, CEO of GreenRoc, details the PFS results for the new graphite processing plant. Watch the video here.
It wouldn't surprise me if sometime in the next couple of months the management here arrange some kind of US listing. Just looking back I see that according to the RNS dated 29th April HE1 secured a cross-trade facility and there is obviously even more reason for HEX to do the same.
The relevant RNS at the time from HE1 stated that "the Company's ordinary shares will cross-trade publicly on the US OTCQB Venture Market ("OTCQB")" with Dave Minchin adding "The Company is seeking to encourage the significant interest that our Rukwa project has generated internationally with the commencement of trading of our shares on the OTCBQ. The US has a significant interest in helium as a commodity and we hope that the visibility we gain will further broaden our shareholder base and increase shareholder demand in one of the major helium markets of the world."
For new arrivals here there have been numerous podcasts and presentations since IPO. One of the best ones that goes into everything including the production plans is on the link below.
https://www.youtube.com/watch?v=WPBVtIHacJM
ATB
The enthusiasm for Helium that saw HE1 valued at £125M around spud time in 2021 is still around. Unfortunately, HE1 drilled 3 duff wells before their success and what with the difficulty of securing a rig to operate in Tanzania not the mention the spiralling costs of operating in that part of Africa which led to numerous placings, much of the initial enthusiasm was lost.
(I calculated recently that HE1 have raised £42.9M so far, most of which was spent getting people and equipment to deepest Africa, not to mention the 3 failed drills).
Maybe that initial enthusiasm and valuation might return. Does anyone fancy £1 a share???
Let's hope they can sell some more of CSS and then they can pile the cash into their Roadside venture.
Their American partners are massive :
'Meadow is a real estate private equity manager based in New York and London with US$6.2 billion gross AUM. Meadow specialises in middle-market real estate transactions across all sub-sectors and risk profiles. Its partners have been responsible for the acquisition and ongoing asset management of over US$30 billion of real estate assets located in the United States, Europe and Asia. Meadow is now investing Fund VI.'
That might be a bit long-winded for some. In a nutshell the completed deal values ROAD's remaining holding in CSS at £46M. And this is not the main business and is targeted for disposal.
So the partial sale of CSS has already completed, with an improved sale price. This is good news as there was always a bit of a 'too good to be true' thing about it.
"Previously, CGV had agreed to purchase 952 shares in CSS at £6,302.53 per share, it has now agreed to purchase 1,000 shares at £7,500.00 per share, increasing the total consideration due to Roadside to £7.5 million. The Company is pleased to confirm that the £7.5 million consideration has been received by Roadside and is on account. The Transaction will complete on 3 May 2024 at which point the 1,000 CSS shares will be transferred to CGV. Post-completion of the Acquisition and the Transaction, Roadside's shareholding in CSS will reduce to 6,140 CSS shares, representing approximately 61.4% of CSS's enlarged issued share capital."
So ROAD now continues to hold 6140 shares at a sale price of £7,500 which I make a value of £46,050,000. Now one sale has gone through this has to now have some real value to ROAD. The current m/cap is less than £15M.
Nearly 30% up so far today and no sign of the buying pressure easing. But then this could easily 2 or 3 bag from the IPO price so that is hardly a surprise.
It was a very reasonably priced IPO, even cheap taking into account the drill-ready status, that it is considered to be an appraisal drill than an exploration well (which puts in alongside HE1 straight away), the experienced management and the ongoing enthusiasm for Helium. There is certainly plenty more upside now with more to come later nearer spud.
ATB
It might be wise for Georgina Energy to do their London IPO now so they can take advantage of that great pile of available funds that HEX didn't need. According to the article, Helium has already flowed very near to one of their drill prospects at 9% Helium, possibly the highest helium concentration ever drilled so far and much higher than the 4.7% recorded by HE1 in Tanzania. In Australia they have much the same drill costs as the US - ie. much cheaper than Tanzania.
Me, I'm buying in now ready for when they drill KON-16. There'll be oil there all right as it won't have been all extracted 40 or 50 years ago. And no slow and stupid Sonangol any more as CRCL will be the operator. Bring it on.
(Not really though).
As soon as the rest of these pre-IPO shares are sold then the share price should start to rerate upwards. I'm just surprised that they have held things up like they have.
HE1 back in the day was floated at 2.84p for a £14+ m/cap - higher than HEX - and HE1 quickly re-rated in the first week or two to over 8p. It then stayed in the 6.5p - 8p range for a few months before rising further to 20p as the rig was mobilised for their first drill.
We haven't even seen the equivalent first rise yet which could quite easily take the share price to between 20p and 30p.