Member Info for Blubay

It's not the highest share price in the past 12 months, it's the highest price paid by that bidder in the past 12 months. So, if the hypothetical bidder managed to accumulate 30% voting rights without paying more than say 1p for any tranche of shares then that would trigger a mandatory offer for the remaining 70%, at not less than 1p, for example.

Also there's the General Offer Requirement that an entity acquiring sufficient shares to trigger an offer is that their offer must be no less than the highest price they've paid for any shares in the company in the previous 12 months.

Why not pause at 6 wells, take 6 months income from early revenue, then reinvest next year in phase 2?

Exactly, that's the whole point of the framework agreement. It is not an HE1 project. It doesn't involve any HE1 shares. HE1 will be a shareholder in the new project operating company (hopefully a controlling share) and will receive a proportional share of its future profits. The new company will raise the project finance and issue shared equity as required.

For the hundredth time, HE1 are NOT going to fund Rukwa development from a capital share raise. Either they raise project finance or it doesn't happen. This is how all similar projects work, they are looking for/negotiating project finance. That finance will be extended to the new project company (SPV) not to HE1. It will be collateralised against future sales from the project not against HE1 shares. The only reason HE1 would raise share capital (after presenting the case and gaining shareholder permission) would be for smaller scale appraisal work to increase the value of the project or for working capital. We know they have cash in the bank for the latter and cash revenue expected this year from Colorado, so the only short term share raise case (with shareholder permission) would be for smaller initial phase work. It's utterly bonkers to suggest they would even think about share raising for the capex.

I imagine there are quite a few people who took profit from the 0.25p or 0.5p raise and held a free ride with the remainder for the longer term development (I know I did), and I imagine there are many people holding from 1p too, although there will be attrition selling over time if people were expecting quicker news.

Yes, my hunch would be get (a) done first, if possible using own funds from cash savings or early Colorado revenue or a TZ startup loan or goodwill from potential off taker etc, but being realistic all options have to be open.

Why would you report someone for that? It's perfectly legitimate discussion point compared to just shouting 'placing this week'. We all know forward selling goes on in the process of informal book building, but whether that is what's happened here over months is another question. It could just as easily be a strategy of quiet accumulation or simply 10% range trading. Or there simply is not enough demand volume to sustain a rising trend pending more significant news. We don't know, and there's no reason as yet to draw one conclusion or another. It's possible, are there other explanations, is it the most likely, is it imminent? No way of knowing.

The most likely scenarios might be, (a) test the artificial lift modelling at ITW-1 using a submersible pump, to prove up the estimated commercial flow rates there, (b) deepen the basement drill at Tai to validate the transferability of the modelling across the prospects, or/and (c) drill a new appraisal well based on the acquired subsurface data and modelling to improve on the initial discovery results. Each has different cost assumptions with potential to raise the value of the project prior to full development phases.

That would be my instinct but given they ran out of time on the prospecting licence and didn’t have time to ‘choose’ when to apply for the ML, they are in position where that can only be awarded by establishing the SPV under a framework agreement.

This provides a helpful summary explanation

https://www.clydeco.com/en/insights/2023/05/project-financing-the-development-of-a-mine-in-tan

Rodge - anyone who’s held since the 0.25p placing is 400% up currently and all the news from both projects has been excellent so far since then.

Colorado has medium term potential to net a similar annual net profit to Southern Rukwa, if fully developed (albeit over a shorter lifetime resource). If the average Colorado well flows 300 Mcfd at 2% helium then that’s equal to the predicted best flow for the Rukwa discovery well (6Mcfd helium) plus the CO2, with no deep drilling, no water, no major access costs. Jackson 4 is a bit under that on helium at the edge of field, but high on CO2 as expected, while State 16 in the central field looks very good. It’s not a side show, even though Rukwa remains the flagship project.

Looking very positive for the combined strategy of CO2 and helium processing from Galactica

https://www.bluestarhelium.com/wp-content/uploads/2025/04/61258281.pdf

There’s a lot in the example advice below that is of high significance to HE1’s Rukwa project and worth reading twice.

I think the local content regulations require the SPV to give the TZ banks option in the first instance for financing project loans and the government must approve the terms.

https://www.clydeco.com/en/insights/2023/05/project-financing-the-development-of-a-mine-in-tan

Colorado is not ‘small fry’, it will progress from 6 wells to 9 wells, to 15 wells and potentially towards 20-30 wells. The Galactica discovery wells are already flowing more helium per day than Itumbula is projected to, and with no water. The revenue may be currently limited to a 50% share but that’s likely in Rukwa too. The lifetime reserve estimates may be more limited than Rukwa but Colorado is likely to generate millions of dollars to HE1 for relatively less cost/risk.

There seems to be plenty of profit in the price range for the 1p buyers who are selling every time it hits 1.1p, rinse and repeat on each news cycle.

They’ve already done the feasibility studies over a period of 6 months, and testing the ITW-1 discovery well. All they need to do is appraise that well with a submersible pump to confirm the artificial lift claims. We already know how much the project costs, an estimated $100m and we know they aren’t planning to raise that from shares. And the TZ government can only increase their free carry shares in proportion to their public investment in facilitating the project.

That’s not how it works. Go back and check again.