Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
While we wait was looking at the RNS 5/12/23 - very interesting comment - their distance interpretation demonstrates the sheer potential size - helium shows 3km away from the source.
"Itumbula prospect: revised well location and drilling programme
Following the positive drilling results from the Tai-3 well, and the increase in concentration of helium encountered in the fault and fractures close to Basement, the Company has subsequently reviewed the geology of the Itumbula prospect. It is bounded by a large, deep seated western fault which extends into the Basement source rock. It is this fault that is interpreted to be associated with the active surface helium seep 3km away.
With the results from Tai-1/-1A and Tai-3 suggesting that it is the migration of fluids that play a crucial role in liberating the helium out of the Basement source and along fractures and faults, the Company has now elected to target the western bounding fault at Itumbula as a primary target. Therefore, the Itumbula well has been designed to directly target this new fault play where the Company anticipates helium concentrations to be significantly elevated."
âWhat are the analyst and broker recommendations for Helium One Global?
The overall consensus recommendation for Helium One Global is Strong Buy. You can view the full broker recommendation list by unlocking its StockReport.â
https://www.stockopedia.com/share-prices/helium-one-global-LON:HE1/#
I'm not even sure "follow the money" is relevant here atm; HE1 is a traders paradise right now. Small spread - big volume makes it worthwhile. Not my scene though.
I also think we won't be waiting for Q3 to hear more. Hopefully that will catch out many.
Be good to hear an update on their current desktop work - from last RNS below: this should change the picture, hopefully materially to the upside.
"Resource estimates and subsurface modelling being progressed"
Https://www.thearmchairtrader.com/smallcap-round-up-dekel-agri-v-helium-one-ht-group
Just need to look at the 30/6/2023 accounts: Note 9:
"The tax rate used is a weighted average of the standard rate of corporation tax in the UK being 19% and Tanzania being 30%. No deferred tax asset has been recognised in view of the uncertainty over the timing of future taxable profits against which the losses may be offset.
The Company has unused tax losses of approximately $5,698,850 (2022: $5,122,914) to carry forward and set against future profits. "
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So they will not pay any corporation tax until they have used up $5.7M (at least) in brought forward losses. A nice buffer.
RNS " Hydrogen also flowed to surface during basement testing, at a concentration of 2.2% hydrogen, over thirty-seven thousand times above background levels".
There has been little discussion on the gold hydrogen find. Strange also that there has been no additional follow up comment at all - maybe they are waiting on further results?
Listen again what LB says from 3 min on re hydrogen - she talks about that will be looking to see if this can be monetised: not unlike Noble plans.
https://www.youtube.com/watch?v=VMkvHfmJupY
No short positions notified:
https://shorttracker.co.uk/company/VGG4392T1075/
Regardless shorting HE1 at this stage is very risky. One release of good news will burn anyone with a short open. Good.
Next news:
RNS 7/3/24:
âThe Company is currently advancing its subsurface modelling and updating its internal resource estimates in order to determine the best path towards the commercialisation of Itumbula.â
Could come anytime - remember LB said she wasnât waiting for postal sample results.
An informative post amongst the noise from seisprocessor.
"The low frequencies, 0-10Hz, missing from the seismic data can be added in from the well log data/synthetic seismogram. This is done by converting the time based data into the frequency domain and combining the data using a process called broadband seismic inversion.
So this needs to be done at Itumbula and Tai on the available data in order to better delineate the basement features and understand the resource estimates, and hopefully they are progressing this work quickly as I'm sure there is a lot of work going on in the background that we don't know about. "
RNS 7/3/2024 tells shareholders that they are doing exactly that right now - second para:
"The DST results from Itumbula West-1 well have demonstrated that the well has flowed the equivalent of 0.5 mmscfd of 4.7% helium (without any artificial lift) from the fractured Basement and faulted zone. These flow rates in a pure helium play, without the presence of hydrocarbons and carbon dioxide, indicate the uniqueness of this helium project.
The Company is currently advancing its subsurface modelling and updating its internal resource estimates in order to determine the best path towards the commercialisation of Itumbula."
When they know these crucial results they have to release them to the market. Looking forward to that, and hopefully the element of a very nice market surprise.
The drill purchase - in the latest unaudited interim accounts - is showing the cost at $2.5M.
Rig Acquisition
Following the extensive evaluation of rig options, and, in order to remain on the critical path to a Q3 2023 spud, the Company successfully completed the acquisition of the Epiroc Predator 220 drilling rig in July 2023 - an oil and gas type rig capable of drilling to depths in excess of 2,000m - and its subsequent mobilisation to the Rukwa site. This was a highly significant achievement for the Company as ownership of the rig provides the opportunity to move quickly into further operations without the additional cost of keeping a rig on standby or the challenge of mobilising another rig into the country.
While we wait for next update:
https://www.epiroc.com/en-cz/products/drill-rigs/well-drilling-rigs/predator-drilling-rig
Not so, I spend very little time. As you will see Iâve spent 4 weeks on this board thereabouts- those 62 numpties appeared in that timescale! As a new investor here I am interested in working out the dynamics and use the boards like this to gain further knowledge/insight. Filtering tool actually saves me much time scanning. Without it I wouldnât bother.
Ha - since adding HE1 to my investment portfolio here very recently, I already have 62 numpties on my filter list, thankfully. Spot most of them in zero time, one or two are more subtle but transparent in their aims. For sure weâll see more.
Block out the noise. Concentrate on the prize unfolding here. GLA genuine investors, unsurprisingly there are many.