Helium One Global Ltd Operational update (6245R)

TIDMHE1

RNS Number : 6245R

Helium One Global Ltd

30 October 2023

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as amended by The Market Abuse (Amendment) (EU Exit) Regulations 2019.

30 October 2023

Helium One Global Ltd

Operational update

Helium One Global (AIM: HE1), the primary helium explorer in Tanzania, provides the following update on the drilling of the Tai-3 well.

Highlights

-- Tai-3 well has successfully encountered helium shows whilst drilling in the Lake Bed Formation and the Karoo Group

-- The Basement reservoir target has come in deep to prognosis and is yet to be reached; this has extended the drilling period

-- Well depth is currently at 1,445m measured depth ("MD"), with well total depth ("TD") now expected to be at 1,550m MD

-- On Sunday 29(th) October, whilst drilling the final section, the rig encountered a mechanical and an electrical fault which resulted in a temporary rig shut down to allow for troubleshooting and repairs

-- Once drilling recommences, the Basement target should be reached quickly and this will be followed by a comprehensive wireline programme to fully evaluate the helium shows encountered whilst drilling

Details

The Tai-3 well has encountered helium shows whilst drilling in the Lake Bed Formation and the Lower Karoo Group. These measurements were made on the Micro Gas Chromatograph whilst drilling and have also been calibrated with the portable mass spectrometer to confirm the presence of helium in the mud gas.

The Company has not yet reached the third reservoir target of Basement and were hoping to reach well TD yesterday. The Basement target is now over 400m deeper than prognosed, but cuttings have indicated the presence of weathered metamorphic material, indicating that the well is now very close to the target interval.

On Sunday 29(th) October, whilst running back in hole following a drill bit change, there was a seal failure on the iron rough neck which is used to make and break connections of drill pipe. The Company is confident that this part can be replaced in-country but will require a few days to source and repair.

Following the component failure in the rig carrier on 4(th) October and prior to yesterday, the Predator 220 drilling rig had continued to perform well.

Once drilling has recommenced and has reached TD in Basement, the Company will then rig up for wireline operations and commence logging in order to gain additional information on reservoir characteristics, as well as to identify and sample any gas-bearing intervals. The Company will make further announcements in due course.

Lorna Blaisse, Chief Executive Officer, commented:

"We are pleased with the current results of Tai-3 with encouraging helium shows encountered in the Lake Beds and the Karoo. These initial results still need further evaluation to determine the full extent of what we have at Tai and where there may be gas-bearing intervals.

Whilst it's frustrating to have suffered another small setback with the rig, we are confident we will resolve these issues quickly so we can get back to drilling and target the remaining reservoir in the Basement."

For further information please visit the Company's website: www.helium-one.com

Contact

 
 Helium One Global Ltd                        [phone] 
  Lorna Blaisse, CEO                           3150 
 
 Liberum Capital Limited (Nominated 
  Adviser and Joint Broker) 
  Scott Mathieson 
  Ed Thomas                                   [phone] 
  Nikhil Varghese                              2000 
 
 Peterhouse Capital Limited (Joint Broker)    [phone] 
  Lucy Williams                                9792 
 
 Tavistock (Financial PR) 
  Nick Elwes                                  [phone] 
  Tara Vivian - Neal                           3150 
 

Notes to Editors

Helium One Global, the AIM-listed Tanzanian explorer, holds prospecting licences totalling more than 2,964km(2) across three distinct project areas, with the potential to become a strategic player in resolving a supply-constrained helium market.

The Rukwa, Balangida, and Eyasi projects are located within rift basins on the margin of the Tanzanian Craton in the north and southwest of the country. The assets lie near surface seeps with helium concentrations ranging up to 10.6% He by volume. All Helium One's licences are held on a 100% equity basis and are in close proximity to the required infrastructure.

The Company's flagship Rukwa Project is located within the Rukwa Rift Basin covering 1,900km(2) in south-west Tanzania. The project is considered to be an advanced exploration project with leads and prospects defined by a subsurface database including multispectral satellite spectroscopy, airborne gravity gradiometry, 2D seismic data, and QEMSCAN analysis. The Rukwa Project has been de-risked by the 2021 drilling campaign, which identified reservoir and seal with multiple prospective intervals from basin to near surface within a working helium system.

Helium One is listed on the AIM market of the London Stock Exchange with the ticker of HE1 and on the OTCQB in the United States with the ticker HLOGF.

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October 30, 2023 03:00 ET (07:00 GMT)