Noble Helium Ltd (ASX:NHE, OTC:NBHEF, FRA:GN1) earlier this week outlined the technical rationale behind its Tanzania helium exploration strategy as Chairman of the Advisory Committee Simon Potter spoke with Proactive about the company’s upcoming drill campaign and broader opportunity.
Potter said he was drawn to Noble Helium through his long-standing professional relationship with founder Justin Wood, as well as his familiarity with East African geology. He said the company’s focus on Rift Valley rocks in Tanzania and its pursuit of “green helium” not associated with hydrocarbons made the opportunity compelling.
He told Proactive the project was “intriguing from a technical sense” and “intriguing from a commercial sense”, adding that helium was increasingly being described with words such as “strategic”, “technology” and “vital”.
A key catalyst for Noble Helium is the imminent drill programme. Potter said the company had access to a fit-for-purpose rig and had structured the programme around two firm wells, with two optional wells available afterwards. That would allow the company to assess results before deciding whether to proceed immediately with further drilling.
Potter said the immediate objective was “flawless execution” and the safe delivery of wells. He said Noble Helium would aim to obtain gas on logs, along with gas and fluid samples, which could be used by third parties for potential resource certification.
He also discussed the role of the advisory committee, which includes Geological Society of London president John Lewis and Oxford University geochemistry professor Chris Ballantyne. Potter said the committee had reviewed well sequencing, target validity, rig safety mechanisms, isotope analysis and gas chemistry, while also providing independent oversight and risk management.
Discussing the geology, Potter said the company had identified key components of a helium system in Tanzania, including source, migration pathways, structures and potential traps. He noted that seismic, gravity and geophysical analysis had identified AVO anomalies and gravity anomalies that could indicate lower-density contents within structures.
Looking ahead, Potter said Noble Helium’s west-side licences offered better access for initial exploration. However, he said the east side of the basin could represent a much larger opportunity if the system is proven, describing its potential as “absolutely massive”.
Interview highlights
- Simon Potter said Noble Helium’s Tanzania strategy is technically and commercially intriguing.
- The company is targeting green helium that is not associated with hydrocarbons.
- Potter highlighted helium’s growing strategic importance across technology and industrial uses.
- The advisory committee provides independent technical oversight, governance and risk management support.
- Noble Helium is preparing to drill two firm wells, with two optional wells available afterwards.
- The initial aim is safe execution, gas on logs, and gas and fluid sampling.
- Positive results could support third-party resource certification.
- Potter said the east side of the basin could offer “absolutely massive” potential if the system is proven.
Proactive: Welcome back to Proactive Investors. I’m Kerry Stevenson. I’ve asked Simon Potter, Chairman of the Advisory Committee for Noble Helium, to join us. Noble Helium is on the ASX under the code NHE and has four projects in Tanzania. Simon, as independent chairman of the advisory committee, what drew you to Noble Helium? What is your background, and why this company?
Simon Potter: I’ve worked with Justin Wood, the founder of Noble Helium, for 20 years. We stayed in touch, and he told me Noble Helium was looking in Tanzania. It is geography I am familiar with, having started work in Zambia and later explored in Uganda with Justin. Noble Helium is looking at Rift Valley rocks, similar to those we explored in Uganda, and the company is targeting green helium not associated with hydrocarbons. That is intriguing technically and commercially. Helium is increasingly described as strategic, technological and vital, and the market is fungible. When Dennis Donald asked me to formalise the relationship with the company, I was ready to say yes.
Proactive: What is the advisory committee, and how does it contribute?
Simon Potter: There are three permanent members: myself, John Lewis and Chris Ballantyne. John is president of the Geological Society in London and is leading the adaptation of hydrocarbon exploration methodologies to helium exploration. Chris is a professor of geochemistry and head of Earth Sciences at Oxford University, with expertise in gas and fluid migration and isotope analysis. The committee reviews well sequencing, target validity, rig safety mechanisms, isotope analysis, gas chemistry and, in the event of success, helium purification and separation. It provides independent oversight, challenges assumptions and adds governance and risk management support.
Proactive: For investors, how complex is helium exploration compared with LNG or hydrocarbons?
Simon Potter: It is not as though hydrocarbon expertise is left at the door. The process of evaluating whether a system is working is similar, but the evidence of success is different. In Tanzania, helium has been seen in wells and can be sampled bubbling up near lakes. A source exists, but helium requires the right release mechanism, including temperature and hydrogeology. Deep-seated faulting, such as that found in the Tanzanian Rift Valley, can allow gases and fluids to migrate into structures. Noble Helium has seismic and gravity analysis, AVO anomalies and gravity anomalies that indicate lower-density contents within structures, which is evidence of gas.
Proactive: You have reviewed the preparation for the drill programme. What gives you confidence?
Simon Potter: The rig is fit for purpose. Since the company does not expect hydrocarbons or an over-pressured system, it can use a more suitable and cheaper rig. Noble Helium has arranged two firm wells, with two optional wells after that. That gives the company the ability to drill two wells, review the results, and then either move straight into two more wells or take time to assess the data.
Proactive: You have worked alongside Noble Helium’s leadership. Where is the company headed, and should investors take notice?
Simon Potter: The company should not get ahead of itself. The rig is there, long-lead items have been ordered, and the objective is flawless execution and safe delivery of the wells. The target is gas on logs, along with gas and fluid samples. These are the measurements third-party companies will look for in resource certification. If the system is proven, or if indications are positive, Noble Helium’s licences on both the west and east sides of the basin could become important. The west side has better access, so exploration is starting there, but the east side contains the majority of the structures and has significant potential.
Proactive: Any final comments?
Simon Potter: Helium is increasingly associated with words such as strategic, technology and vital. That suggests a following wind for helium production.