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Their mcap is so low that they desperately need to boost their own SP if they’re ever going to raise new capital to survive. I wouldn’t be surprised if they eventually have to relinquish the project to an HE1 takeover.

If this effect is replicated over time across the other wells it could represent an increase of 30% helium concentration.

“New samples from the State 16 well show a helium concentration of 2.17%, representing a

material increase from the previously reported non air-corrected average of 1.65%.”

https://www.bluestarhelium.com/wp-content/uploads/2025/03/61254361.pdf

No way of knowing, it wouldn’t be surprising to see a share consolidation, maybe in conjunction with a capital raise, timed at some key moment of strategic transformation for the company in the future, don’t imagine that happening very soon but who knows.

I don't understand how this is relevant. HE1 contracted with different companies on different drill projects. SLB are a major contractor in the field, so it's no surprise they tendered to provide services on the Itumbula drill last year but I don't understand how that informs anything about future developments?

Punter - “ 6,176 scf/d of helium”

So if that’s an estimate of best optimised flow per well then maybe just do the maths on that basis, for each well? And compare that with the flow rates in Colorado, and consider the potential cost differences etc. Bavk if an envelope obviously, but a baseline for expectation management?

I’m very optimistic about the company’s future, I would just avoid making any get rich quick assumptions. There have been so many cases here of people making wild predictions about the NAV, income or share price and then others being disappointed when evidence of real progress doesn’t live up to the imaginary. I’ll be happy if HE1’s share in the Rukwa project returns at least the same annual net value per well as their share in the Colorado project (could be more, which would be a bonus). I can imagine both projects returning at least $10m profit a year in time, hopefully more. I can imagine HE1 acquiring other projects and becoming a major player, one step at a time. I may be wrong.

I mean, just for the sake of argument, if I could invest $100m and return $100m net profit to my company over a ten year licence ($10m a year), after covering costs, loans and profit sharing, I’d be very pleased with the outcome. So I’m not sure why a moderate investment project (under $100m) requires an assumption of billion dollar assets, although of course that’s possible too.

Assume the project cost is somewhere near/under $100m, as stated by the company (if it were more it would be an SML offer not ML anyway), and assume that the feasibility study was presented to demonstrate ‘positive economics for the company’ on that basis, as stated. All you can conclude easily is that projected income to the company exceeds total cost. You’re speculating that end market value of total gas exceeds project cost by 1000x, but I’ve no idea how you reach that conclusion, or what it means for the company’s projected share of annualised net profit. Is it just wishful thinking or do you have some working assumptions?

“ 1 billion pound recoverable helium is my guess”

Honestly, it’s pointless to speculate like that without any evidence at all, and even then it’s largely meaningless without knowing the recovery cost and timescale.

The bcf NAV doesn’t mean much once a company progresses past the exploration stage. Explorers always use inflated ballpark estimates to boost share price and raise capital. At this stage we need estimates of recoverable and contingent resources, costs of extraction, projected annual revenue.

Looks like a typical phishing post to me, like the ones that ask what everyone’s stop or target prices are. There are billions of shares in issue here, and there will be a huge range of trading and investment positions. There are people here invested for different lengths of time at different averages. Binding think you’ll get any coherent answer. Anyone with a ‘long term’ view is presumably thinking about the company’s transition from explorer to producer, and to positive cash balance from commercial revenue. So I guess that might be a more than 12 month time frame, which on AIM is basically infinity. Other people will be hoping to ‘sell on news’, like the TZ mining licence award or confirmation of scale of discovery or announcement of financing, or just anytime the price spikes to whatever personal target they have in mind.

News of drilling the five additional wells is largely confirmatory (there’s more risk of a snag dropping the price than a progress report raising it) but the cumulative impact of fulfilling the plan on time and within budget becomes increasing positive at each stage. Hopefully that pulls the base price slowly up. I think the well test results are more significant though. We do need to know that the commercial side of the plan is holding up, not just the engineering side. If Jackson-31 comes in richer than State-16 then happy days. Ultimately, bringing any gas to market with first revenues by the summer will be the big milestone.

The fund raising and acquisition deal covered all of HE1’s anticipated costs, which include all the wells drilled (if that goes to plan) and their share of the infrastructure costs. The project is fully cash funded into production in H1 this year (if all goes to plan).

Just to avoid any confusion, there’s not a cat in hell’s chance of HE1 funding a $100m development programme (twice the current mcap of the company) by a share placing on AIM. The company have already made it clear how they would like to approach the financing, via some mix of bank loans and shared equity in the project (such as JV, farm in to the SPV etc). They could choose to raise a smaller amount on the market, for example to increase the value of the Rukwa asset through appraisal, or to leverage some kind of staged development (as in Colorado) but that’s unlikely given the very different scale/cost of processing required.

I’m not sure what you mean. Of course they will be recompensed as they will earn income from the project in proportion to their ownership of the project (in similar way that BNL earn 50% from retaining half ownership of the Colorado project, while HE1 earns 50% by financing the development wells).

“What does this mean formation of a new company and shareholder agreement?”

This is the normal protocol in TZ, or many other situations. A new company will be formed in TZ to operate the Southern Rukwa project. Both HE1 and the government will have a share (HE1 will probably hope to maintain a controlling share). This new company will negotiate finance to develop the project, giving first option to the TZ national banks (gov also has to approve the financing terms). Any JV or farm in partner would participate in this new company, in the same way that HE1 farms 50% of the Galactica project (via its operating company) but has no share stake in BNL. This structure ring fences the ‘project’ from HE1 as a parent company. It’s a llsona requirement of TZ local content law.

It did rocket up 30% and is still about 18% up on the day

There was never any possibility of the FS being ‘published’. It’s not a public document. There are key facts within it that will need to be communicated to the market but I suspect that won’t happen until the company’s internal modelling can be independently validated in a CPR.

Not so much shorters as profit takers. Lots of people have been hanging on for months for news of the ML, and ‘sell on news’ is what usually happens, especially on AIM. There was a 20-30% profit to be made this morning for anyone trading long. That’s at least double the return many trade news for.