Helix Exploration, the helium exploration and development company focused on helium deposits within the 'Montana Helium Fairway', has announced its unaudited interim results for the six month period ended 31 March 2025.
Chairman's statement
I am pleased to present the consolidated financial results for the six months ended 31 March 2025. The period under review has marked an important chapter in Helix Exploration's journey towards becoming a leading helium producer in North America.
Operations in Rudyard commenced within this period with the drilling of Darwin #1 in November 2024. Results from Darwin #1 exceeded Company expectations with raw gas flow rates of 2,750Mcf/day at 1.1% helium demonstrating potential for the Rudyard field to produce $4 million per well per year in pre-tax revenue.
With a commercial discovery proven, the Company accelerated development with the acquisition of a Xebec PSA processing plant, capable of producing up to 50,000Mcf helium a year, for only $500,000. A revised reserve resource statement increased the project helium resource by >30% and enabled the publication of an economic assessment demonstrating Net Revenue of $115 - $220 million over a 12.5 year life of mine.
Strengthened by an oversubscribed £5m fundraise in January 2025, the Company has been able to continue rapid development at Rudyard. In mid-March 2025, the Company acquired the Weil #1 well for $300k saving approximately $1 million in drilling cost. Further to this, at the end of the period Helix commenced drilling at Linda #1, completing and testing our third production well with flow rates of 3,850Mcf/day at 1.2% helium.
Subsequent to the period, Helix secured finance for a 4th and 5th production well from a £4.5m raise with cornerstone investment from an institutional family office with >£1Bn of assets. With a strong cash position, long term supportive shareholders, and near-term production, the Company is in a strong position to fulfil its strategic aim of becoming a disruptive new supplier of helium to the U.S. market.
The Helium market
The global helium market continues to experience robust demand growth, driven by critical applications in healthcare, semiconductors, and aerospace. With supply constraints persisting due to geopolitical challenges, the need for reliable, North American-based helium sources is as prevalent as ever. Helix is strategically positioned to meet this demand, offering a secure and scalable supply solution at critical time. This demand will only increase as technology advances, as Artificial Intelligence ("AI"), uses a substantial amount of helium.
Importantly, as a U.S.-based producer with access to existing, domestic infrastructure and near-term offtake potential, Helix is protected from many of the geopolitical and trade-related risks that impact other international players. We believe this will be a defining advantage in an increasingly security conscious global market.
Operations and Outlook
We have had a busy and exciting few months, recently announcing our dual listing on OTCQB Venture Market in the U.S, enhancing our visibility and accessibility to U.S. investors and providing a broader platform for engagement and liquidity. By enabling U.S. investors to trade during local market hours, we are also expanding our shareholder base at an important time in our growth as we transition from explorer to producer.
Drilling of our 4th and 5th production wells will commence imminently with potential to increase pre-tax cashflow to $20 million per year. We continue to be in commercial discussions around offtake opportunities, supporting our goal of delivering domestically produced helium directly to U.S. end users and mid-tier distributors. We have completed manufacturing of a membrane unit which is currently enroute from Germany, coupled with our existing PSA processing unit, secured last year for less than 10% of new-build cost, we have a clear path to early monetisation, healthy cash flow and scalable growth.
Since our IPO just over twelve months ago, Helix has made remarkable progress in executing our strategic vision and delivering value to our shareholders. This momentum reflects not only the quality of our assets but also the dedication and expertise of our management team. Our approach is simple: build scale efficiently, develop resources strategically, and deliver near-term cash flow. With first production approaching and a strengthened platform for continued growth, Helix is well-positioned to become a strategic new supplier of helium to the U.S. market.
David Minchin, Chairman
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Source: Helix Exploration
