Commencement of Seismic Campaign

RNS Number : 4883P

Helium One Group Ltd

18 February 2021

 

18 February 2021

Helium One Global Ltd

 Commencement of Seismic Campaign

Helium One (AIM: HE1) ("Helium One" or "the Company"), is pleased to announce the commencement of its infill seismic campaign with mobilisation of survey and line-clearing crews to its Rukwa project (100%) in Tanzania.

Highlights:

·  Commencement of 150km infill seismic campaign will provide improved resolution over identified drill targets

·  Mobilisation of survey and line clearing crews underway

·  Over 30 people to be active on site including local staff, surveyors, clearing crew and support staff

·Good co-operation between government departments, local communities and Helium One Management has allowed critical seismic work at Rukwa to be fast tracked by the company

·Results of high-resolution seismic survey are the final technical input prior to commencement of Helium One's maiden drilling campaign planned for 2^nd quarter 2021

The seismic campaign consists of approximately 150km of infill seismic acquisition targeting shallow trap structures identified from the interpretation of historic seismic and recent gravity gradient data.  The infill seismic data will provide improved resolution on identified trap structures and assist in placing of drill collars for exploration drilling.  The seismic campaign is fully permitted and benefits from community and governmental support.

Line surveying and line clearing crews, which mobilised today, will employ over 30 people in multiple crews to locate and clear lines for data acquisition.  The process, which may take up to a month to complete, will clear vegetation for the laying of seismic geophone nodes as well as providing access for vibroseis-trucks and support vehicles during data acquisition.

Helium One has worked extensively with local communities, regional and national government to ensure this critical seismic campaign has commenced within the project schedule.  This permits the Company to move forward with its plans for drilling at Rukwa, which will follow processing and interpretation of data from the seismic campaign.  While the project benefits from over 1,000 kilometres of historic seismic data, additional infill seismic over high priority targets will allow better delineation of trap structures and improved confidence over drill targeting.

 

David Minchin, Chief Executive Officer, commented:

"We are delighted to be progressing our Rukwa Helium Project with this next phase of exploration. It's an exciting time for the team at Helium One and for all our stakeholders, as this will be our largest on site mobilisation for several years.  Data gathered from infill seismic will prove invaluable in refining drill targets and improving our knowledge of potential trap structures, leading to what we hope will be a 'game changing' drilling campaign in Q2 2021.

"We look forward to continuing to work with local communities and government departments as we progress towards maiden exploration drilling.  Our thanks go to the various Tanzanian ministerial departments, regional, district and ward officials for all the co-operation we have received.  The broad range of support we have received from all levels of government and the local community bodes well for our planned drilling campaign later this year.

"Our work programme on the ground In Tanzania is timely and coincides with a significant growth in the Helium pricing as demand grows in critical areas.  The last six months has seen the average price of helium imported to China reach $375/Mcf as Chinese demand for helium in manufacturing of semi-conductors and fibre-optic cables grows at 6% CAGR and in MRI demand grows at 8% CAGR.  There is a requirement for a new source of primary helium to supporthigh value 'next-gen' technological, medical and industrial applications which Helium One has the capacity to fulfil as we seek to develop our globally significant Rukwa deposit."

Market Abuse Regulation (MAR) Disclosure

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.

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

Contact

David Minchin	Helium One Global Ltd	[phone]
James Biddle and Roland Cornish	Beaumont Cornish Ltd	[phone]
Lucy Williams	Peterhouse Capital Limited	[phone]
Callum Hill	Pello Capital	[phone]
Nick Elwes	Tavistock PR	[phone]

 

Notes to Editors

Helium One has identified a globally unique, large-scale, high-grade, primary helium project in Tanzania with the potential to become a strategic asset in resolving a supply-constrained market.

Helium One's assets are located within the rift basins on the margin of the Tanzanian Craton. Through Helium One's subsidiary companies Gogota (Tz) Limited, Stahamili (Tz) Limited and Njozi (Tz) Limited, the Company has secured 18 Prospecting Licences covering more than 4,512 km² in three distinct project areas: the Rukwa, Balangida and Eyasi projects. These are located near surface seeps with helium concentrations ranging up to 10.5% He by volume. 

The Rukwa Project is located within the Rukwa Rift Basin covering 3,448km² in south-west Tanzania.  The project is considered to be an advanced exploration project and the company has identified 21 prospects and 4 leads based on historical drilling, reprocessed seismic lines, high resolution gravity survey, and surface seeps analysis.

SRK Consulting have reported a 'Best Estimate' Un-risked Prospective Resource of 138 Bcf (2U/P50) for the Company's Rukwa Project, meaning that the project has potentially strategic global implications with the ability to significantly resolve helium supply/demand issues.

All Helium One's licences are held on a 100% equity basis and are in close proximity to the required infrastructure.

Helium One is listed on the AIM market of the London Stock Exchange with the ticker of HE1.

 

END

 

 

MSCDKOBKOBKDQBD