HeLIX Exploration PLC (AIM:HEX) chairman David Minchin joined Proactive's Stephen Gunnion with news that the company has upgraded its helium reserves and economic estimates for the Rudyard Project, in Montanta, and raised around £5 million through an equity issuance.
The proceeds are earmarked to support spending on a gas processing plant and to progress the Rudyard and Ingomar Dome projects.
Minchin said the decision to move forward with an equity raise comes after a detailed review of the economic model and terms of available debt finance.
Helix announced that consultant Aeon Petroleum Consultants Corp has calculated helium reserves of 355 million cubic feet in the northern dome of the Rudyard Project.
Over a 12.5-year project lifespan, Aeon estimates potential net revenue of $115.2 million and sets an asset valuation an NPV8 valuation of $77.9 million, assuming a helium price of $500 per thousand cubic feet (Mcf).
