RE: The obvious14 Apr 2026 17:28
Sproule are notoriously conservative in their reports, and I have seen many of them! Under, rather than, over estimate is hopw they play it. Protects their reputation. You have to accept it although it doesn't mean the company's experts necessarily agree with them. In fact more often than not they don't and are proved right. That is certainly the case here with QHE, as you can see blow Re Porosity.
We think porosity could be almost double what Sproule estimate. That is before acidization as well!
The company have already stated they will use acid stimulation which is pretty standard procedure nowadays in these types of Wells and usually greatly enhances the flow. So I for one am looking forward to better figures than in the report. Possibly a lot better. This Well and everything about it is as good s it gets on AIM mining, the area it is located, the historical data, the new data and seismic, and didn't even have to drill it!
Porosity
In May 2025, Mosman released its internal estimate of contingent resources for Sagebrush, which indicated a higher best estimate of helium volumes (C2 of 305 MMscf gross, 205 MMscf net to Mosman). The subsequent Sproule ERCE audit has applied more conservative technical parameters, resulting in lower prospective figures.
The main difference is porosity. Mosman's internal analysis utilised an 8% porosity value, supported by in-house petrophysics and core data from analogue Leadville wells. Sproule ERCE applied a more conservative 4.6% "most likely" porosity, which has the effect of reducing calculated volumes. The Company believes this approach understates the contribution from dolomite intervals, vugs and fractures observed in other producing Leadville reservoirs.
While Sproule's conservative stance is in line with their reputation as a leading independent auditor, Mosman remains confident that real reservoir performance will prove stronger. The Company therefore regards the Sproule 2U case of 134 MMscf helium as a baseline from which to build and sees material potential to achieve or exceed these figures as production testing and 3D seismic data are integrated.
"Extended flow testing of Sagebrush-1, with acid stimulation to enhance productivity"