Helix Exploration Reports Positive Drilling Results and Strong Cash Position in Annual Report
Why we think this is good
Helix Exploration has demonstrated significant progress since its IPO, with positive drilling results from two wells and a strong cash position. The successful discovery of economic helium at Darwin #1 and identification of high-grade helium and hydrogen at Clink #1 are promising developments. The company's robust financial position, with £4.96 million cash at year-end and an additional £5 million raised post-period, provides a solid foundation for future operations. However, as an early-stage exploration company, Helix is yet to generate revenue and reported an operating loss, which is typical for the sector but tempers the overall positive sentiment.
Key Points
- Successful IPO in April 2024, raising £7.5 million
- Acquisition of Rudyard Project in June 2024
- Two wells drilled and tested with positive results
- Darwin #1 proved an economic helium discovery
- Clink #1 identified high-grade helium and hydrogen
- Strong cash position of £4.96 million as of 30 September 2024
- Additional £5 million raised in January 2025 (post-period)
- Targeting first production and positive cash-flow in 2025
- Operating loss of £2.165 million for the period
Summary
Helix Exploration's annual report highlights significant progress since its IPO in April 2024. Key developments include:
- Successful drilling of two wells with positive results
- Economic helium discovery at Darwin #1
- High-grade helium and hydrogen identified at Clink #1
- Strong cash position of £4.96 million as of 30 September 2024
- Additional £5 million raised post-period
The company is fast-tracking development of the Rudyard Project, targeting first production in 2025. While still pre-revenue with an operating loss of £2.165 million, Helix's progress in exploration and strong financial position provide a solid foundation for future growth in the promising helium market.