HeLIX Exploration PLC (AIM:HEX, OTCQB:HHEXF) has raised around £2.2 million through a placing, giving the AIM-listed helium explorer extra financial headroom as it moves from early production into broader commercialisation work in Montana.
The placing, priced at 25p, was run by Hannam & Partners through an accelerated bookbuild, and comprised 8.8 million new shares.
It provides an injection of capital that's designed to provide headroom for ongoing commercialisation and capacity expansion. Specifically, proceeds will be used as working capital and will support the Inez well re-entry and perforation programme.
The funding boost comes as Helix ramps activity across its near-term production portfolio in the “Montana Helium Fairway”, while the Inez re-entry and perforation spend is positioned as targeted field work to help progress development plans. The corporate cost allocation covers the day-to-day overheads of running the business as it transitions into a production-led phase.
Helix highlighted its flagship Rudyard Project in northern Montana, where it is taking advantage of existing infrastructure and low-cost processing. The company has previously outlined four production wells targeting helium/nitrogen gas in the Red River formations, with flows cited up to 3,800 Mcf/day at 1.2% helium, and has pointed to a field-life revenue potential range of $115–$220 million over 12.5 years.