NHE Noble unmoved today so bugger all impact from the HE1 helium and hydrogen shows..
NHE hasn't encountered hydrogen I believe thus far
NHE shareholders themselves well aware bullish statements from NHE management of a potential discovery are offset in shareholder sentiment when samples at the lab are not free gas but from saturated zones as I understand it..
NHE hope to drill mid year and drill a gas cap where they think there is about 15m of a free gas zone..
If HE1 make a free gas discovery with results in the next few weeks that at a guess will be bullish for NHE and will increase sentiment they'll succeed getting free gas themselves mid year..
The NHE share price was strong for awhile given their bullish announcements of a potential discovery however once it was clear they didn't have a free gas sample for a conventional discovery it dropped..
It mid year when they hope to re-visit a 15m gas cap and get a free gas sample and flow test for..
All NHE samples at the are from saturated zones.. The market will want proof they can commercialise from saturated water zones with a small pilot plant.. Uni studies on the process for awhile till then maybe..
For HE1 in my opinion it could rocket if a decent zone of free gas easily to extract once proven with a flow test it'll do well..
But if mostly saturated with water etc.. HE1 will not do as well unless they find a way to commefcialize an unconventional type of a discovery
Mate that a crypto coin not actual helium gas
Bear in mind much fewer shares on issue when it was about 10p 6 months ago..
I think there is usually a costly process to produce hydrogen.. "Also called renewable hydrogen, green hydrogen is obtained by electrolysis of water."
Just being able to extract it out of the ground ss a gas would be a fair bit cheaper potentially
@MickR GHY might also be relevant with their recent well hitting hydrogen and helium.. Upto 86% hydrogen and 6.8% helium but the helium maybe was in a water zone
Flow testing it sometime soon for GHY and maybe one to compare to as both GHY and HE1 becomes clearer with more results to hand..
https://hotcopper.com.au/asx/ghy/discussion/
They know there is helium already from the springs etc..
What is new is the hydrogen so that has been discovered..
Time will tell if either the helium and/or hydrogen are free gas for a conventional discovery or saturated with water for an unconventional discovery if its possible to extract commercially in a saturated state
Could be kind of similar to GHY Gold Hydrogen listed on the ASX that encountered hydrogen and helium in a recent well but yet to flow test.
HNT - Helium is a crypto
NHE won't be testing their potential 10m - 15m gas cap of free gas till mid year. In the meantime NHE lab results due in about two weeks to confirm helium concentration and saturation levels..
So appears NHE has to wait till mid year in hopes of a free gas helium discovery..
In the meantime working with a university on theoretical potential in regards to saturated zone and whether it's viable commercially to extract.. In my opinion the market will have its doubts until when and if NHE can prove an extraction concept from saturated zones with a pilot plant
New NHE investor presentation released on the ASX just now
https://www.asx.com.au/markets/company/NHE
Topac mate Renergen is only at pilot plant stage with a baby sized plant.. They'll hit the big time in the 2026-2027 time frame with Phase Two which is about 10 to 15 times larger and enough for about 8% of global helium demand.. If they sort out their NASDAQ listing etc.. soon to complete financing then start construction of Phase 2 that'll be a major catalyst for it. Then Phase 2 they plan to sell 50% to the spot market with a helium depot in Texas etc.. Noting the US is the largest helium market..
Itumbula mentioned in this old Bloomberg article..Samples being taken from water?
https://www.bloomberg.com/news/features/2019-08-28/we-re-running-out-of-helium-and-helium-one-might-have-a-fix
Https://edition.cnn.com/2024/01/04/africa/renergen-helium-south-africa-spc-intl/index.html
As per the start of this thread Renergen drill costs are substantially less than HE1?
This article gives an aerial view of a Renergen well and mentions most are only 1,000 to 1,500 feet deep..
One issue for HE1 and NHE appears to be the cost of drilling.. So anything short of a proven commercial discovery and then proven up reserves mean more drilling is needed at their high costs and hence dilution of shareholders as funds are raised to drill?
NHE Noble were talking up their drill as looking like a discovery.. However reality set in and NHE don't have an official discovery thus far..
NHE have samples awaiting lab results but those are only from saturated zones?
So NHE
1. Didn't get a sample from a free gas zone so risk when they return they'll have technical issues and still not be able to get a "free gas" sample in order to declare a conventional gas discovery?
2. Lab testing of saturated zone samples could be declared an "unconventional discovery" but the jury is out on whether they can extract helium from saturated zones.. The market will want proof they can do it I reckon not talk of doing a research project with the Uni of Qld to look into it
Sorry meant 0.47p
"£10k at 4p average
£10k at 0.25 top up
Average 2.125p - you need 9bags to b/e - NO chance"
No mate not even one bag to breakeven at 4.7p
ie 4250000 x 4.7p = £20k
But not sure it'll get there before drill results which are pretty binary here in my opinion
Blue Star - BNL are about to start drilling now in Colardo weather permitting given its winter there.. So they might have some costs out already or soon on what these new drills will cost them
Not sure just seems HE1 exploration drilling costs are high versus Renergen. Must be some sort of explanation however for the type of rigs being used and depth of wells etc.. ?
Renergen coukd drill maybe 200 wells for €40m ? HE1 is barely about to drill 3 or 4 wells for that amount of money? Some huge discrepancy there unless I'm off the mark here..
See the latest Renergen quarterly activities announcement.. 8 wells spudded at cost of total cost so far of 13.4m ZAR = £570,000 or £71,250 per well so far.. So maybe let's say £200,000 for each well once complete or more or less who knows??
Renergen doing like 200 wells for their Phase 2 as flow rates not that high but still at 3% avg.. But cost per Renergen well seems low versus HE1 well costs??
Then Renergen has another zone it hit with much higher flow rates and 12% they hit back in 2019 for later expansion potential beyond its Phase 2
https://www.asx.com.au/markets/company/RLT
https://m.engineeringnews.co.za/article/renergens-free-state-project-shows-game-changing-potential-for-domestic-power-2019-12-16