Past year: ▼ 50%(0.10c – 0.30c AUD)
Each one in plain English, with the numbers worked through for a shareholder.
18 Aug 2023joint venture update▲ GoodMajor
Valence signed a Surface Land Use Agreement for the Jesse-3 well-pad, keeping the Q4 2023 spud on track. Grand Gulf also received a non-binding farm-in proposal from an unnamed US oil and gas company for Red Helium; no binding deal is guaranteed.
14 Aug 2023material agreement▲ GoodMajor
Valence signed a non-binding heads of agreement with TSX-V-listed Sage Potash. Sage would contribute the greater of US$1m or one third of shared costs to Jesse-3, in return for a potash core, with a 50/50 split on a later 3D seismic survey. It depends on due diligence and approvals.
8 Aug 2023admin correction▼ Bad
After discussions with ASX, Grand Gulf retracted the in-ground value in its 7 August presentation. ASX rules bar forecast financial information derived from prospective resources. Investors are told not to rely on that figure.
7 Aug 2023investor presentation● Neutral
August 2023 Red Helium presentation repeats known facts: 12.7 Bcf prospective resource, Jesse-1A re-completion in Q3/Q4 and Jesse-3 spud in Q4 2023. It also carried a US$6B in-ground value that Grand Gulf retracted the next day.
22 June 2023resource reserve update▲ GoodMajor
Sproule-reviewed estimate adds a McCracken gross P50 prospective helium resource of 1.8 BCF (1.3 BCF net to Valence), lifting the project total to 12.7 BCF from 10.9 BCF. These are unrisked, undiscovered volumes, with Jesse-3 positioned to test them.
8 June 2023drilling scheduled● Neutral
Jesse-3 location chosen on a seismic high 1,300 ft from the old Redd-1 well, potentially up to 70 ft higher than Jesse-1A, with McCracken Sandstone as a secondary target. Permit approval takes 60-70 days, so spud is planned for Q3/Q4 2023.
2 June 2023other▲ Good
Independent engineer Blade Energy Partners modelled Jesse-1A's upper Leadville as potentially flowing 5 MMscfd or more of raw gas after isolation and stimulation. A workover under US$1m is proposed after Jesse-3. This is modelling, not a flow test; it follows Jesse-1A's earlier water-ingress problem.
24 Apr 2023drilling result● NeutralMajor
Jesse-2 reached total depth with a 192 ft gross gas column, flowing gas to surface at up to 0.9% helium with no water, confirming the Jesse discovery. But only 23 ft net pay and lower secondary porosity than Jesse-1A; well suspended. Valence interest rises to 77.5%.
13 Apr 2023drilling progress report● Neutral
Jesse-2 has cemented 7-inch casing across the roughly 1,900 ft Paradox salt into the top of the Leadville, on schedule. Drilling and testing of the primary Leadville target is next. No reservoir result yet.
11 Apr 2023drilling progress report▲ Good
Jesse-2 drilled through the roughly 1,900 ft Paradox salt and reached the top of the Leadville target, in line with prediction, with elevated helium shows throughout. It is now setting 7-inch casing before drilling and testing the Leadville. No reservoir result yet.
6 Apr 2023regulatory community update▲ Good
A third Jesse drill permit was approved by Utah regulators, allowing a follow-on development well if Jesse-2 succeeds. Helium shows in the salt section now reach about 71 times background. Reservoir entry is expected the following week.
3 Apr 2023drilling progress report▲ Good
Jesse-2 is drilling at 7,050 ft in the salt seal. Gas analysis shows several zones with helium above background, up to 15 times at 6,308 ft. The company says these are not commercial targets but suggest a working helium system.
29 Mar 2023drilling progress report● Neutral
Jesse-2 reached the top of the Paradox Formation salt seal at 5,928 ft, in line with the geological prediction. The rig is tripping to change the drilling assembly before drilling on towards the Leadville target. Drilling is described as on schedule.
24 Mar 2023capital raising announcement● NeutralMajor
Placement of 113.6m shares at 2.2c raises A$2.5m, with 1-for-2 attaching options at 5c for 3 years plus 28.4m options to lead managers Euroz Hartleys and CPS. Funds are for working capital and long-lead production equipment, if Jesse-2 succeeds. Jesse-2 is drilling the intermediate section.
What it means for a shareholder
114m new shares at A$0.022 to raise about A$2.5m. That's 6.8% dilution: every existing holder's slice gets 6.8% smaller. If you held A$1,000 of shares (45,455 at the issue price), your slice goes from 0.00294% to 0.00274% of the company. To keep it you'd need 3,339 more shares - about A$73 at the issue price.
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22 Mar 2023other● Neutral
The ASX temporarily paused trading in Grand Gulf shares on 22 March 2023 pending a further announcement. The notice gave no reason for the pause.
21 Mar 2023drilling progress report● Neutral
Jesse-2 reached 3,135 ft, the end of the surface hole section, and is running 9.625-inch casing. Drilling is described as on schedule, with about a month still expected to the 8,150 ft target depth.
15 Mar 2023drilling spud▲ GoodMajor
Jesse-2 helium well spudded on 14 March 2023, two days after the 12 March target. Aim is 8,150 ft in the Leadville Dolomite, about a month of drilling. This is the second well under the Valence earn-in, following the Jesse-1A discovery.
10 Mar 2023drilling progress report● Neutral
Aztec 1099 rig mobilised on 9 March 2023 for Jesse-2. Long lead items bought, site complete and surface conductor installed, with spud still targeted for 12 March. No new results.
10 Mar 2023half year report● Neutral
Half-year to 31 December 2022 loss was A$1.02m, versus A$9.77m a year earlier, when a large Valence impairment was booked. Recaps the Jesse-1A discovery, 70% Valence interest and Jesse-2 preparations. Directors call the group in a sound financial position.
7 Mar 2023drilling scheduled● Neutral
Jesse-2 spud set for 12 March 2023. Site construction is complete, the conductor rig mobilised on 6 March, and the drill rig is to move in later that week after an 8 March pre-spud meeting.
3 Mar 2023drilling progress report● Neutral
Jesse-2 site works due to finish this weekend, with a conductor rig to install an 80-foot surface conductor next week. Mid-March spud unchanged.
1 Mar 2023drilling progress report● Neutral
Jesse-2 site construction is over 70% complete and the mid-March spud is unchanged. No new results.
27 Feb 2023drilling scheduled● Neutral
Jesse-2 spud now guided for mid-March 2023, with long lead items bought, rig contracted and site over 50% built. This firms up the Q1 timing after the earlier slip from late Q4 2022.
24 Jan 2023contract award▲ Good
Aztec Well Servicing contracted to drill Jesse-2; it drilled Jesse-1A within schedule and budget. Spud remains on schedule for the current quarter. Contract value is not disclosed.
20 Jan 2023director officer appointment▲ Good
Todd Gentles, with over 40 years' drilling experience including 15 years at the neighbouring Doe Canyon field, appointed Drilling Superintendent for Red Helium. Previous superintendent Doug Frederick moves to a consulting role.
17 Jan 2023drilling progress report● Neutral
Well pad construction began at Jesse-2, expected to take about three weeks. Spud is still said to be on schedule for the current quarter. No new results.
9 Jan 2023material agreement▲ GoodMajor
The Paradox gas sales and processing agreement, first signed March 2022, now covers Jesse-2. Terms stay at an 80/20 revenue split favouring Grand Gulf, plus standard tariffs. It gives a route to sales only if the well succeeds.
5 Jan 2023regulatory community update▲ GoodMajor
Utah regulator approved the permit to drill Jesse-2, 1.5 miles from the Jesse-1A discovery. Spud is targeted for Q1 2023, in line with the earlier late Q4/early Q1 guidance. It will stay above the gas/water contact, using managed pressure drilling.
7 Dec 2022other● Neutral
Invitation to a shareholder webinar with MD Dane Lance on 8 December 2022 about the Red Helium project. No new information.
29 Nov 2022investor presentation● Neutral
November presentation repeats the Jesse story. It shows net cash of A$7.1m at 30 September 2022 and 1,546m shares, with US$3.0m of earn-in payments remaining. Jesse-2 timing now late Q4 2022 or early Q1 2023, a slight slip.
