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Huge news. This could go very well. Tiny m/cap of just over £5M. Obviously no placing needed to fund at least the first drill. The operator is the biggest oil producer in Angola and Angola is one of the top 3 oil producing countries in Africa. This is a drill into a previously producing oil field so there should be a pretty high chance of making a commercial discovery and going straight into production which could see a serious re-rate of many multiples from the current share price.

I missed Upland Resources recently which 5 bagged on drill news but this could be an opportunity I will not miss. CRCL is very under the radar at the moment but that can soon change.

I think that Noble Helium management have said there is a 100% success rate in the area - (I think that is in the East African Rift Valley) and that is over quite a lot of drills.

I've only just seen the Open Offer RNS and it looks like it has already closed on II. Not to worry. I shall scramble to buy more in the morning though I doubt they will be much cheaper than today's closing price.

There is still time for a pre-spud rise though not to the sort of levels seen in 2021. Dilution has put a stop to that. I make it there will be around 940 million shares in issue compared to 600 million 2 years ago.

ATB

The additional funds will allow HE1 to drill a second well this year.

I hope they will be testing a discovery from the first drill as well.

There it is. The missing link in the absurd share price drop over the last few weeks. Please don't insult me again. It was obvious, though a little later than expected.

The only good news in all of that 'we need more money to stay afloat' nonsense is that Mr Millholland has stepped down from his former roles. Oh and that the JV may possibly be sorted out by the time this cash runs out and they need some more. That will probably be enough to secure the next funding anyway.

The bottom line is that they just needed more funding and this will now take them through to the 1st Q of 2024 by which time the JV will 'possibly' be concluded and if not then they will then need some more funding.

I see the m/cap here is £107 Million already. It is probably better when results like this turn up when the m/cap is a few million.

It is ambiguous as ever, but I read it that they will now be financed into the 1st Q of 2024 by which time the JV (possibly) will be concluded.

"$8.5 million of liquidity ensures the Company is fully financed in to the first quarter of 2024 with the intention of reaching possible third party strategic Joint Venture (as defined below) agreement".

The wording leaves it open that the JV may not be concluded by that time (into the 1st Q of 2024) and when this cash runs out.

Pity they cannot do rigless testing which seems to be the more popular way these days and comes in a whole lot cheaper.

I prefer the theory that it was a sell - hence the drop - rather than the theory that it was a buy and we'd all better get in quick despite the drop which seems to signify that it was a sell.

In fact, 1.7 million is about 0.2% of the shares in issue.

No, not enough for a TR1. 3% of the current shares in issue comes in at 24.81 million shares - that's 24,810,000 - so that is a lot more than 1.7 million.

Personally, I have been cautious here ever since the talk of the roadshow emerged and I have been half-expecting a placing ever since but despite one not coming the share price has been just about falling ever since. With a small placing done and out of the way there would not be anything to hold the share price back. Inexperienced management maybe??

To be honest I think that HE1 should have done a small placing pre-spud - maybe for about £4M. Per-spud is the preferred time for a top-up placing and I think that maybe Lorna Blaisse is not experienced enough as a CEO to realise this. Not only would it have given HE1 some extra reserve funding in the event of cost overruns, etc. but it would have given the new management an opportunity to partake in the placing and at least show some commitment to the drill. It was also unfortunate that Ian Stalker, who would have no doubt taken a lot of extra shares in a placing, had mysteriously resigned and left.

In 2021, the share price rose quickly from 7p to 14p before a pullback for a placing at 10p before racing on up to 21p to 24p. The placing only increased the rise pre-spud. Even with the less favourable market conditions now than in 2021, I feel that this would have just risen far more with the threat of a placing out of the way. I firmly believe the worry of a placing is definitely what caused the share price to stall and fall back.

Yes, Skippysb01, well pointed out and that is the one difference that I keep forgetting - the 'Market is different to 2021 now'. The market is subdued and certainly not as buoyant as it was a couple of years ago.

However, I strongly disagree with your thinking that the share price will go up when the drill turns. That never happens in any oil or gas drill whatever the state of the market. Shareholders will derisk on or just before or just after spud and the wise will stay out until positive news comes out. And then it will either be a big rise on success or a big fall on failure with the difference being little more than a coin toss.

The facts regarding the pre-spud raise in 2021 are as follows:

22nd March 2021: start of rise from 7p. This was nearly 3 months before the spud date.

4th May: share price peaked at 24p. This was more than 5 weeks before spud.

14th June: spud with share price at 21p. This was nearly 3 months after the initial rise.

Unfortunately, none of this has been replicated this time and it is now looking like it is too late for most of the rise to happen as well. Even the spud SP of 21p which compares to a diluted SP of just over 15p looks unlikely at the moment.

The good news: if the drill is a disaster then no-one is going to be screaming about their huge paper losses.

The bad news: all those who have been complaining about being stuck in here at around the 21p level are still going to be stuck here unless the drill is a great success.

The only expectation here has been for a pre-spud rise to mimic what happened in 2021. Allowing for dilution the expectation would have been for a rise to between 15p and 17.5p. That so far hasn't happened.

Once the well spuds shareholders will derisk. That also happened in 2021. Then it is all down to what happens with the drill. Last time there were 'helium enriched gas shows' at a shallow level and this sent the share price upwards from around 18p to as high as 28p. Then, several weeks later, it was announced that the drill bit broke and they had to do a time-consuming sidetrack which on reaching TD turned out to be a bit of a washout.

All eyes will be on drill progress this time. Let's hope for a better result.

Blimey, back under 7p now. I wouldn't have predicted that - especially after yesterday's update ('incredibly exciting time' and all that). Oh well, I suppose people are already thinking about exiting before spud which is not going to help the share price upwards plus the enthusiasm all looks a bit lame these days.

Ignoring the pre-spud rise (which is all posters have been expecting and enthusing about so far) attention next will be on how the rig is going to perform in the difficult hole conditions that washed out the previous drills at Tai. Success is not a foregone conclusion. I personally will be sitting it out and watching progress. There will be plenty of opportunity to get in here if the drill reaches TD without mishap. Better safe than sorry I think.

i'm no expert and i am the first to admit it. i might even be a 'clueless chump' as you call me.

however, this is my post from 26th july which is on the board here if you scroll back for 7 pages:

"i'm out for now but i may well get back in later.

i made £235 on monday blundering through but recovered on tuesday/wednesday to exit with a £32,750 profit (all bought at around 1p on tuesday).

i certainly didn't nail either my buys or my sells but who cares - a profit is a profit. probably more to come here too!!!

atvb"

and as for being an 'expert' or a 'clueless chump' do you know what ****ed me off the most? i could have made over £60,000 on my just under 3% trade if i hadn't bottled it. and that was just an hour or two later. no worries, c'est la vie, and it was just a trade as i had never even heard of its a day or two earlier.

i'm always in hope of another monster profit here but it won't be from buying in at 1.75p or 2p or whatever and it certainly won't be from holding during suspension for months on end.

atb