Member Info for Blubay

We haven't seen the conditions of the deal but we do know all conditions need to be met by 31 October. If the drill permits are part of the conditions then securing them by 31 October is fine, if all the other conditions are met.

"Are you suggesting that BNL are putting the matter before their shareholders without permission to drill"

No they're putting the issuance of the new placement shares to their shareholders, from the recent capital raise. How they choose to spend the proceeds obviously then depends how the operations go, just as it does for HE1 who similarly already raised their side of the funds.

I think that's a fair point in terms of the due diligence

Your crystal ball is malfunctioning, neither of those visions is likely to happen.

Given the need to co-ordinate same day announcements with ASX time zones, and allowing for NOMAD scrutiny of RNS draft text in London (while allowing time for any leaks to be traded?), I'd say Monday RNS might be more likely of the two. Also early week news is more tradable than Friday afternoon news. Otherwise next Thursday for a conclusion date.

So possible ASX/RNS Monday to allow for any discussion of it at the conference session on Tuesday?

Lorna's panel session is Tuesday morning. No conference proceedings scheduled for Monday, so looks like both Friday and Monday are clear for any decisions still needed on the acquisition (after BNL's shareholder vote tomorrow). Wonder if Lorna will be taking a weekend sightseeing trip to Colorado?

...next week anyway

This includes ratification of commitment to the recent share placement to raise $3m to go forward with operations (i.e. it's subject to shareholder approval). Shouldn't be any problems but a positive milestone once it goes through.

https://www.bluestarhelium.com/wp-content/uploads/2024/09/61226449.pdf

"Funds raised from the Placement will enable the Company to advance helium development and exploration evaluation activities across its world-class Las Animas County acreage in Colorado, including the Galactica/Pegasus and Serenity Projects as well as the Company’s continued exploration and acquisition strategy"

No vote required specifically on HE1's acquisition of 50% interest in the project but it will be a green flag for it to go ahead Friday/Monday if all the other conditions have been agreed.

No law against syndicate trading or company PR unless there is sharing of insider information

Lorna is one of five panellists in a panel discussion called "Challenges Faced by Helium Start Ups", along with

Shaun Scott, Noble Helium

Chris Bakker, Avanti Helium

E. Will Gray II, New Era

Nicolas Pelissier, 45-8 Energy

https://www.gasworldconferences.com/conference/helium-super-summit-2024/#agenda

The conference discussion is about the challenges facing early stage startups in the helium sector, that’s what Lorna will be questioned about in that session. No doubt she’ll highlight the successes as well as the challenges. I wouldn’t underestimate the scale of opportunity in HE1’s prospective licence interests in Colorado. We’ll need to see more data from both projects to make any direct commercial comparisons, which will come in time. The amount of helium underground is not directly correlated with the amount of profit to be made (or factoring in any hydrogen versus CO2 opportunities).

The usual process is that an SPV would be established in TZ for the purposes of the project and the government would take a stake in that venture. The SPV should/must apply first to the TZ banks for any required loans and the TZ government has to agree the terms. Other contributory finance from the parent company or other companies is obviously also a possibility/likelihood that determines whether debt is needed.

Crypto shares, AI, gold, American main indexes at all time highs, it’s been a bumper year for profits so far.

High risk appetite doesn’t come close! I agree that it’s an investable proposition at the current price, and it was massively undervalued at 0.25p less than a year ago (since when I haven’t sold a single share). But surely no-one is mad enough to go ‘all-in’ on any AIM share, let alone an early stage exploration company without yet proven reserves or revenue? I mean, I’m very optimistic and hopefully not long to wait before some of the risks are removed one by one but we’re still a good distance from realising the potential returns. Surely if you wanted ‘big scores’ this year your golden basket would be filled with crypto shares or AI or gold or something? Each to their own strategy I suppose, your choice, but mind yourself. I can understand the reason for the daily rocket ramping now anyway!

Agreed

It would be great if she's in a position to talk about concluding the acquisition and becoming a new player in the US market at the event. Presumably the deal will get signed during her US trip, maybe on the Monday?

I'm quite sure they will be engaging in preliminary discussions with major banks and off takers if/once they're happy with the feasibility study, as the CEO clearly stated in her last interview. But that doesn't help the market until the company is in a position to present those facts to the market, which so far they have chosen not to do. I don't have any problem with that, in this situation it's probably prudent. They have already mentioned they'd want a CPR and I assume they're waiting for their own estimates to be independently validated before announcing them (due to the unique geology and complex modelling). It's incredibly unlikely there would be development operations in Rukwa this year. It's not even in their development plan at this stage as the ML award process and commissioning phase already takes them through to end of Q1 (see project GANTT chart). The operational focus for this quarter is on Colorado, they have the funds, they have the regulatory clearance, drill permits are imminent, multiple spud dates are piling up very soon. Colorado should be piping its first gas well before we see drills in the ground in Rukwa. Surely that's what the market will be looking at in the short term?

That's fine and none of us would be invested if we weren't optimistic for the future but your opinion or my opinion is completely irrelevant to the market. Until the company is in a position to publish a new CPR on Rukwa (or share any of their own modelling assumptions), which I'm sure they will, then the market cannot value the project. That's fine, Rukwa really isn't a concern for operations this year, Colorado is.

Research suggests 30-50% of AIM share placements tend to trade below placement price within the first month, and I'm erring on the upper side for early stage non-revenue companies like HE1.