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Hi all, long time no type. Was wondering if anyone can advise if there have been any interviews on the recent results or movement at Rukwa? As far as I can see, there hasn't been anything since the mining licence was awarded in July.

So the "investors" can convert to shares @ 0.712p at any time in the next 12 months or HE1 can choose at the end to pay anything not converted in cash or shares at that price.

What constitutes a default as I really don't want to add another 12% to that?

If the shares do convert, that is an increase of 23% in our shares - to approx 7,327,262,741. That is not including the 1M retail offer.

So the Mcap would change from £52.95M to £52.2M. That £10M better get us producing in California because we really need to start bringing in money. We won't last long with this dilation. To increase the SP, the market would need to work over 20% harder compared to before. That was keeping us bouncing around 0.8 and 1p for about 9 months. So we now bounce between 0.65 and 0.8? And that's with confirmation of the ML. They better have some really good news or milestones coming up really soon.

Do they have a system that can extract the helium from the brine yet? Are they just going on a hunting expedition for more drill sites? Or are we going to see material results that will raise the SP?

It looks like the dates to note are End of September 2025 and 6 January 2026. Something to look forward to...

It is anticipated that binding documentation related to the Transaction will be agreed and an Admission Document published by the end September 2025.

The Company is required to make an acquisition, or acquisitions, which constitutes a reverse takeover under AIM Rule 14 (including seeking re-admission under the AIM Rules for Companies) by 6 January 2026.

Thanks guys (apart from Clumpet).

I haven't had much time to monitor this recently and the last presentation was in December. I wanted to make sure I hadn't missed any news, but those snippets are greatly appreciated.

And yes, I'm still invested (LTH)

Just wondering if we have been informed of the next steps required.

We will need funds, but before that, we will need to make sure any production unit can extract the gasses from the brine.

There may be some funds gained from the US in H1 2025, but it might be too near term for that.

The production facility will be expensive, but I would imagine banks will be involved for that.

What are the other near-term milestones we are waiting for? It has been a while since the last presentation but we are getting near the home straight.

On the day of the budget, it got a huge boost as hydrogen was mentioned. Since then people have probably read the accounts and RNS'. Never made a profit, previous owner was drip feeding huge share holding back into the market for years and has refused to provide more funding. They do not have a new source of funding yet. What's not to like?

Not rushing to anyone's defence McNol. I was on the train and saw that there was a disagreement about the shares in issue. I checked one of the latest RNS' and missed the paragraph mentioning the admission date. I wondered why LSE would have the data wrong so was interested enough to look. That was it.

Investors will have made their minds up about the company long ago. I was here from the start of HE1 and was invested in the company it reversed into.

America is funded, not looked at the current finances for Tz, but assume it is funded for what is required. The submission will hopefully be made this week, then we wait a few months for government approval (need to check how long). Funding will be from offtakers or bank loan and then we wait for the processing unit to be built.

Then we get rich.

I sit corrected.

I skimmed over the paragraph with the admission date.

Apologies all.

I would need to agree that the current shares in issue are 5.32b.

The shares from the recent fund raise are not yet admitted to the market.

Upon Admission, the Company's issued ordinary share capital will consist of 5,905,710,763 Ordinary Shares.

But current shares are 5.32b although the new shares are priced in to the current SP.

It's all the more impressive when you realise we are down less than 1% on the day, bless them

Blimey, I didn't think some late night musings would result in this. So, to clarify...

As demonstrated by the figures used, my calculations were for only the current well. I didn't think it was necessary to show that if one well might generate $1M/yr then 30 wells could be $30M/yr.

This was also not helped by me putting "... with 20/30 wells bringing in around $1M per year, ...", I meant each and I apologise if that was unclear.

I did later go on to say "Overall the time to pay off the expenditure will only be a few years when we have all the wells online if the averages are maintained". I hope that made it clear that I thought a Capex of $50M was well within our capabilities. I was definitely not talking down the results; although I am aware we have only 1 well to base the calculations from which will not be uniform over the entire basin.

My apologies if anyone felt misled or deceived. It was just some back of the envelope calculations to see what the lay of the land was. I also believe the 20/30 wells will be for Southern Rukwa and we will have more to come both here and in the other project areas.

Going back to the safety under my bridge now.

At ~$500/MCF, the income estimates would be:

500 x 0.834 = $417 per day for the natural flow. Or $152,205 for the year.

500 x 6.176 = $3,088 per day with artificial lift. Or $1,127,120 per year

There is no proper way to determine the price of helium, but many sources are saying that demand could double in the next 10 years. That being the case, with 20/30 wells bringing in around $1M per year, what value would the company have? Recent spot prices have been in the thousands in some regions.

Of course, we need to pay for the infrastructure and development of the wells, but there has not been any mention of Capex and Opex for about a year since the Aug/Sep 2023 presentation when they were raising money for Itambula. Things will probably have changed since then, but the modular plant setup (1,000sqm) had a Capex cost of $50M for producing 350,000Mcf/yr (150 wells?) with a plant Opex of around $15 per Mcf. The government holds 16% free carry which is a relatively small cost, and we will need to build a proper road from the facility to the highway. Overall the time to pay off the expenditure will only be a few years when we have all the wells online if the averages are maintained.

I'm not sure there will be a dilation to raise the funds required. The current SP has the company valued at £58.15M with 5.32Bn shares in issue.

If they are going to go into the production phase, they will be developing the field over a number of years. For full-scale development they will be drilling additional production wells, but first they will need to construct production facilities and infrastructure for processing of the gas. That could cost as much as the company is currently worth. Once the feasibility study is complete and the Mining licence application has been submitted and approved, they will be engaging with the larger banks and helium offtakers. I believe it is this "loan" that will finance the infrastructure development rather than the SP.

While the infrastructure is being built, we will hopefully be generating income from the Colorado investment. Then for each additional well we drill and tie in at either site, we will start earning more.

I have still to look at what the Capex and Opex will be overall, but the cost of Development wells can be between 60%-20% of an Exploration well. They will be utilising the water extracted, but i'm not sure if that means they can sell it if it's a byproduct of an industrial process.

I could be wrong - I definitely did not see that last raise coming. Just my take on the funding. Got to try to work out how much 6kscf/d could be worth now.

Has anyone done a comparison yet with what other producers are getting for flow rates from their wells?

It would be interesting to see how the extractions compare and what the SP impact was once they started producing.

Is the sector using finance or placings to get the money for the final distillation process?

But it hasn't gone down at all in the last 2 months...

My best performing share.

I'm hoping that the greater depth will impact the flow rate. More pressure providing increased extraction potential.

I don't think it was mentioned in the presentation, but do we know what they intend to do with the rig after the drilling and EWT?

I posted it about an hour ago.

https://www.youtube.com/watch?v=E63iORJMCEE

Lots of rumours going around just because there was a QA announced.

Previously advised drilling extension would take 2-3 days and EWT about 4-6 weeks. Some people thought the QA was going to announce something (but that has to be done in an RNS).

No chance of a JV being announced but some people were surprised by this. No idea what was said in the presentation, but about to find out. https://www.youtube.com/watch?v=E63iORJMCEE

No mention of a JV so shorters piling back in?

They had always said they were going to do this alone and once they had a commercial discovery (with flow rates) they would be able to get alternate sources of finance (loan).

No real news for at least 4 weeks, so price falls. Some old same old. The only concern i have is Sarah Cope being their advisor.