Panmure Liberum said Helium One Global Ltd latest flow testing at its ITW-1 well in Tanzania has pushed the Rukwa story firmly back into the spotlight, after an Electrical Submersible Pump (ESP) lifted production rates to levels the broker argues could be “commercial” in a broader multi-well development.
In its note, the broker reiterated a 'Buy' rating and held its 3.22p target price, pointing to a test window running from 26 January to 14 February that delivered average flow of around 15 kbwpd and peaks above 16.4 kbwpd.
Helium concentrations averaged 5.4%, with peaks of 9.2%, which Panmure Liberum said came in ahead of the assumptions in the 2025 competent person’s report.
The broker also flagged what it described as encouraging reservoir behaviour. It said the reservoir “repressurises quickly”, which it viewed as a positive indicator for reservoir support and the potential for wider connectivity. The note added that management believes helium concentrations are higher in the basement interval, with some dilution from Karoo interval fluids.
With further studies and additional drilling still required to understand the basement fracture network and the interaction of helium-enriched fluids, Panmure Liberum said the company’s decision to kick off a farm-out process makes strategic sense, as a partner could help fund and accelerate the next phase at Rukwa. In the nearer term, it expects attention to swing back toward Helium One’s Galactica Pegasus project in Colorado, where development is continuing following first helium gas production at the end of 2025 and work advances toward bringing both helium and CO₂ streams online.