Member Info for jamesjohn

This guy has been doing this for a long time, he is in/out/in/out. He says he doesn't trust Andrew, I know for sure I don't trust a poster that ramps then de-ramps. If the results are good he will start to pump it up. Same pattern over and over again. I've been here a long time, I know his game.

There appears to be a lot of negativity on here, which I suppose is understandable when you consider QHE's past endeavours, but I am convinced they have the asset they say they have, and it is going to be more to do with how they access it.

I myself believe we have flowed helium at a low commercial flow rate. I think they have concluded that it is worth spending the extra cash on this well, to increase the flow rates and there by the commercial value. They must be reasonably confident that fracking stimulation will increase flow rates to a sufficient number that justify the extra spend.

We should know within the next week or two, what the data is and how they plan to move forward, regardless of the results.

I still think there are placing shares left, but we are getting closer, all imo. One good RNS should clear them quite qucikly, and away we go. It's also possible they may hold on to some.

If the well is commercial, even on the low side, then QHE shares should at at long last be sought after by current/new investors and oil and gas partners.

In answer to your question, and from memory...

I think if my sums are correct, 200/mcf/d of 2.76% helium will generate approx $1mil of revenue a year, based on $500/mcf.

Depends whether or not you think this is commercially viable for one well.

Sorry I didn't make myself clear enough. Obviously it will not open at .0305p if there is good news. What I was trying to say was that the placing shares will have a drag factor on the price in the first few hours, in other words it may stop it multi-bagging, but once cleared it should fly. Although it does depend on how good the news is, if it is very good news even the placing shres will struggle to hold it back.

We still need to clear those placing shares. Any good news should remove them, although it could take a few hours, but no news and we will probably bobble around the .03 to .035 for another week at least.

Yes Punter you were correct, I apologise, he just didn't mention that fact in the interview. However he does state this in the RNS of the 16 April.

I don't remember them saying the reason for testing the lower zone first was because it showed the greatest potential.

There is an interview dated the 2 April on the Quantum website, (1 minute 50 sec into it), under Media, in which Howard says you generally start with the lower zone and then work up. Unless it was mentioned sometime ago, but I can't find reference to it.

Yes the week ahead could define the years ahead for QHE.

Remember the first test has less data available compared to the second test in the upper zone, so in theory we have two chances from one well.

Yes thanks guys for taking time to post all the information, appreciated!

Just to clarify, I don't pretend to understand the term forward selling. I think the point that I was trying to make was, that I don't believe the shares were sold before Friday the 17 of April, the day of the RNS, but can be sold between the 17 April and the day the shares are admitted to AIM for trading on the 23 April. If that makes sense.

I'm not really a believer of that forward selling business, not convinced it happens, but we may find out in due course.

Interesting few weeks ahead!

Punter...I may be wrong, but I thought the upper level was the zone with the greatest potential. I remember Howard saying this was the main target and the lower level was speculative, and had not been included in the independent report but would add significant value to the volumes should it prove successful.

Anyway which ever way round it is, just one out of the two zones being commercial would be good.

On a side note, I have for sometime now. thought that Howard would like to develop these projects without a JV, the large placing suggests that it may be the case. However he may try for an off-take agreement of some kind. Time will tell, let's try and prove it is commercial first.

The data is correct.

However what revenue/year would you regard as commercial?

I have calculated revenue of approx $750k per year, based on those numbers, assuming $500/mcf.

They also believe that the flow rates will be higher!

If I remember correctly, Howard stated that there will be two tests in the Leadville, the lower one which is the first test, is speculative and has not been included in the independent report, therefore this will be a bonus if it comes in. The second test or perforation is the main target and is the one most expected to have the good results and was included in the independent report.

In my view the approvals are very important. They are usually very difficult to get. It has taken us more than a year so far and some take a lot longer. They sometimes never arrive due to environmental issues, NGO's etc.

Obviously a good 3d seismic result is important and the final testing of the well for helium and flow rates is the ultimate goal, but it will not matter how much helium or oil is down there, without permission to extract it the whole exercise becomes pointless.

So getting our first approval for the largest asset is fantastic. I think the Sagebrush approval is still a few weeks away, but hopeful it arrives sooner than that.

I think the completed 3d seismic report will be released before we get the Sagebrush approval. Hopefully the report will be completed next week.

As I have mentioned many times!

Paragraph three says "the relevant leases and the formal designated operatorship are both progressing with the BIA.

I also think this only applies to the Sagebrush approval, the Coyote Wash is all done, it just requires the sigh off, so we may receive this one first.

As far as I am aware the Ute have already given their approval, it is the BIA that we are waiting for.