Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
I am enjoying that chart, looks pretty spot on from where I am sitting.
Mentioned in a previous investor presentation and more importantly in the last RNS:
"Visual identification of bubbles in mud returns also offers circumstantial evidence of free helium gas in the sub-surface. However, it is important to note that this interval needs to be logged with wireline before a pay zone can be determined.“
Then in fact the probability of a sample or more importantly a successful flow test has increased.
“We move our first exploration well into our first discovery drill”.
With a big smile.
Also note, this interview was done on the Tuesday. He references ‘news from yesterday’. So casing will have set and they will be drilling down again now.
Would love to see an intraday RNS to wake this market up.
So they were casing the sidetrack, (a very sensible move), this would explain why we haven’t heard more about this exciting gas show, nailed on for a Monday RNS IMO, unless the show continues over a significant number of meters.
DP - the auction you refer to is not what was being referenced. L2 for the last few trading days has represented a strong book going into the last ten minutes of trade, often positive. Without the stock being in auction the book then flips and the gains are whipped out. I must admit, the volume has been fairly weak and no one trade represents any rational for neutralizing the book.
As pointed out this morning, you could sell stock on the offer, not a common theme. Bottom line, they are keeping the price within a trading range, awaiting further news.
As things stand, it is only down to significant personal restraint that I don’t buy more of these due to portfolio allocation. I have no doubt that in the next few weeks/months/years that Helium will be the new buzz word with large institutions positioning due to a significant supply squeeze.
While I recognize that I am late to the story, when looking at the size of the market opportunity and also taking carbon neutral production into consideration, knowing that the ESG funds have trillions of capital to deploy, the environment for what could be the next Saudi Arabia of Helium could be exactly where to place your chips prior to what is like to be exponential growth.
We all know that to date the company likes a Monday RNS, let’s see what happens today, as at some point a bit of market recognition with what the drill bit has achieved so far is not an unrealistic ask.
So I can sell larger chunks of stock right on the offer, hmmm.
Standard pattern for sure. News tomorrow or Monday for me, will change the game
It feels as if that once the churn has finished, with decent demand for stock that this will continue north in short order.
How big*
You simply can’t rule out news at any point at this stage IMO. Intraday is a strong possibility due to the price sensitivity of what could be disclosed.
I wouldn’t put it past them to cement casing following the penetration to depth of this recent gas show in order to protect the potential zone and secure the sidetrack, thoughts?
Just how this could this potential payzone be in the Red Sandstone, we must be in amongst it now. I will take my lead from the CEO and certainly share his enthusiasm.
OPEX is $70 mcf, according to a recent interview.
The valuation model is certainly encouraging, especially now that they have had gas shows in areas that were previously considered to contain inefficient seals. What has now been highlighted is that it doesn’t take much to create an effective seal and as such the benchmark for sealing the He has been significantly reduced and the potential resources should increase to reflect that over time.
As I have previously expressed, upcoming news/data from the recent gas show will in many instances take the market by surprise, and the significance of further gas shows between here at TD will only now contribute towards an elevated frequency of newsflow that will keep the market well informed.
Referring to the success of Desert Mountain Energy and it’s respective report of significant gas shows prior to running production casing should demonstrate yet another encouraging indication for HE1 as Monday’s significant update continues to highlight the benefit to shareholders as the company reports in real time. Gas shows at a depth that represented free helium gas in the subsurface is stopping just short of what should be an official gas discovery announcement. Probability of a recovery of gas to surface following wireline logging has only increased given the circumstances that surrounded this report.
These are extremely encouraging times as the stratigraphy continues to represent an active helium basin that could surpass even the most optimistic of expectations as the campaign evolves over time.
As early as tomorrow morning, further updates could be provided that would only serve to encourage investors to increase their exposure as we continue towards TD.
I look forward to a more detailed RNS of the most recent findings for discussion.
100% concur.
31 minutes onwards
https://youtu.be/mSRlSXVzjBE
Well worth the watch, references Helium One and Tanzania
https://www.wired.co.uk/article/huge-helium-reserve-discovered-in-tanzania
A culmination of many years of work.
Allowing for a drilling depth of 30m per 24 hours, even though I believe that given that they have already drilled to previous depth once before which could imply that they could pick up the speed when covering the same depth between 483m and 561m. Depending on how long they continue to see gas shows, which is likely to surpass 561m. I expect an RNS in the next few days that will fully identify the total length and He percentage of the show and then communicates to the market what will come next. (Wireline/cement)
In all honesty we could see multiple ‘gas shows’ between now and TD which will also be reportable, that’s what our CEO now expects given the benchmark for an effective seal has been drastically reduced.
My opinion is that if you were to own the stock during a drilling period given how this drill has been communicated to the market to date (gas show, wire line, flow/sample test), the last 800m was/is the time.
https://oilprice.com/Energy/Energy-General/Bezos-Branson-and-Musk-Scrambling-For-Supply-Of-This-Rare-Gas.amp.html?__twitter_impression=true
In the same way that governments and large corporations have secured strategic supply for lithium, I believe the same can be expected here.