Helium One Global Ltd (AIM:HE1, OTCQB:HLOGF) described a ‘transformational’ year as it released its final results statement for the twelve months ended June 30 2021.
During the reporting period the exploration company advanced its flagship asset, the Rukwa project in Tanzania, which is deemed to have world class helium resource potential – in the period it completed the project’s first drill programme, encountered proof of helium in the system and gathered key data points.
At present, meanwhile, the company is now working to deliver its next phase of drilling which is slated for later this year. In December 2021, the company completed its Phase 2 seismic acquisition campaign.
The current phase of work is intended to define prospects for the 2022 drill programmes which, according to Helium One, will offer near and medium-term catalysts for share price growth.
“Helium remains in critical short supply and a new source of primary helium without associated hydrocarbon production is required to balance the market,” chairman Ian Stalker said in today’s statement.
“Helium One has the capacity to discover this new source and become a strategic player in resolving long term supply issues.”
Stalker noted that prospective estimates of the project’s resource potential (some 138bn cubic feet of helium) would be “sufficient to supply the entirety of global demand for over twenty years, or 10-15% of global demand for more than a century.”
David Minchin, Helium One chief executive, meanwhile, added: "I am delighted to have had the opportunity to be engaged with developing the exploration programme of a potential tier-one asset at Helium One.
"The company has now moved onto Phase II exploration, with the completion of a 220km 2D seismic campaign over the northern extensions of known structural highs that we believe act as a charge focus for helium migration.
“This data will be integrated with information from our Multispectral Satellite Spectroscopy study, Electrical Resistance Tomography survey, QEMSCAN results and Airborne Gravity Gradiometry data to deliver a portfolio of prospects for drill testing in 2022."
In terms of financial results, the pre-revenue exploration company reported a loss of US$5.15mln, including a US$2.27mln impairment related to the firm’s prior amalgamation with the Attis group.
Helium ended its financial year with US$28.5mln of net assets, up from US$7.78mln at the end of the prior year.
As of December 31, it had US$9.7mln of cash.