Helium One Global reports progress at Rukwa Project

10th Apr 2024 13:15

(Sharecast News) - Tanzania-focussed helium explorer Helium One reported progress and updated on strategic initiatives at its Rukwa Project in an update on Wednesday.

The AIM-traded company reported that the Itumbula West-1 extended well test remained on schedule, with expectations set for early in the third quarter.

It said it had also started an environmental and social impact assessment (ESIA) study, a pivotal step in the mining licence conversion process.

In another key development, Helium One announced the appointment of a production facilities management company to initiate a design study for a helium production plant at Rukwa.

"We are very pleased to be advancing into this next stage of the Rukwa Project - phase three," said chief executive officer Lorna Blaisse.

"Whilst we are preparing for the next operational phase, which includes the EWT at Itumbula West-1, we are growing the team to deliver the large amount of work that is continuing in the background and that will enable us to progress the project as quickly as possible."

Blaisse said the ESIA would form part of the feasibility study, to be submitted to the Mining Commission to convert the existing prospecting licences to mining licences.

"The newly-recruited team has already commenced this workstream, and we are grateful for the continued support from the government and the Mining Commission in Tanzania, as we move the project forward in the next phase of its development towards commercialisation."

At 1251 BST, shares in Helium One Global were down 6.26% at 1.38p.

Reporting by Josh White for Sharecast.com.