Post by
BigSchlick on Nov 20, 2023 12:13am
Sedar filings
After reading through sedar filings from November 10 i understand the following:
1. Future operations to be funded through helium pre purchase payments and equity or debt financing
2. 6 mile pipeline has been purged and is "running smoothly" with 9 wells currently connected. Current flow rates not stated. 10 more wells already drilled and 5 more coming via Butler LLC drilling company
3. Helisium project in Kansas is advancing "methodically". Project entails a helium storage cavern. Project consists of 86,000 acres of oil and gas leases in Kansas/Colorado. 2 wells have also been drilled but are currently offline
4. $500,000 line of credit established which is guaranteed by a shareholder. Over $400,000 drawn as of Sept 31, 2023
So the company has the tools it needs to be profitable. Plenty of wells drilled and connected, pipeline running smoothly to Rangers helium recovery unit and an offtake agreement for everything it can produce from first 10 wells. All infrastructure is in place.
Some sort of financing will be needed soon as the company is low on capital. Let's see what the management and current wells can produce. The market has written these guys off but the fact of the matter is that total helium, even with there setbacks due to the flooding, is still way ahead of most small cap helium exploration companies.