Helium One Global (HE1), the primary helium explorer in Tanzania, announce that the company has, alongside Noble Helium (ASX:NHE), entered into a Letter of Intent with Tunisian Drilling Contractor, SOFORI, for the provision of the Drillmec HH102 oil and gas rig for their drilling campaign at Rukwa. This rig share initiative, following on from the co-operation agreement, will enable the company to save significant costs on mob/demobilisation.HE1 said it was pleased to have entered into this LoI with SOFORI and Noble Helium. This is an encouraging step towards its proposed spud date of Q3 and is both timely and cost effective.
Comment: The run up to the proposed Q3 spud date should be a driver for the recent HE1 gentle share price recovery.
Avacta Group (AVCT), a life sciences company announced the opening on 5 April 2023 of the first two clinical investigator sites for the phase 1 clinical trial of AVA6000 under its US Investigational New Drug (IND) Application. The two sites, Memorial Sloan Kettering Cancer Center (MSK) in New York and Fred Hutch Cancer Center in Seattle, are now open for patient enrolment to ALS-6000-101. This is the first-in-human trial of AVA6000, Avacta’s lead pre|CISION™ drug candidate for the treatment of soft tissue sarcoma. AVCT said this timely opening of these two key US sites, under the expert direction of Dr Tap and Professor Cranmer, is a major milestone in Avacta’s entry strategy into the US with its promising AVA6000 pre|CISION™ lead programme.
Comment: We are witnessing an acceleration in the frequency of the newsflow from Avacta, something that could be a positive trigger for the shares given that they sit around a third down from their February peak.
Rockfire Resources (ROCK), the gold, base metal, and critical mineral exploration company, advised the market that ASX-listed Sunshine Gold Limited has provided an update of their exploration activities at Rockfire’s Lighthouse tenement in Queensland, Australia. Sunshine Gold Limited is farming into the Lighthouse tenement and has the option to earn a maximum 75% interest in the tenement by expenditure of AUD$2.2m over a 3-year period. ROCK said the discovery of an elevated cobalt sample is an interesting and exciting discovery, particularly with the increasing demand for cobalt. Cobalt is used in large quantities in battery storage of energy and the supply of cobalt as a raw material for future energy storage is a growing and important industry.
Comment: Rockfire is now firing in both cylinders in the sense that this year it is making significant progress both in Australia and Greece. This has already caused a decent turnaround in the share price since October, and it can be expected that sentiment towards the company will continue to improve.
Xtract Resources (XTR) announced the preliminary unaudited results for all alluvial and other hard rock mining contractors for the Manica Concession as well as production at Fair Bride, for the three-month period ended 31 December 2022. The company said alluvial production is now almost coming to an end which is coinciding with the ramp-up of production from the Fair Bride operation. Our income from Fair Bride will be well in excess of alluvial income, and it looks forward to the ramp-up proceeding to plan.
Comment: Xtract shares are currently factoring little of the production aspect of the company, a point which today’s news from Manica underlines.
Jersey Oil & Gas (JOG), an independent upstream oil and gas company, announced that it has agreed to farm-out a 50% interest in the Greater Buchan Area licences to NEO Energy. JOG said it was delighted to announce this transaction with NEO Energy, a well-funded industry heavyweight and the fifth largest producer in the UKCS. The farm-out marks a major value creation moment for JOG, a significant de-risking of the GBA development programme.
Comment: We have seen a glorious week for shares of JOG, and it may be that today’s news means that it is just as pleasant to arrive as it is to travel.
Parkmead (PMG), the independent energy group, announced the commencement of gas production from its new LDS-01 discovery in the Netherlands. The LDS-01 structure was successfully drilled around the end of 2022. The well has been tied into the neighbouring commercial gas production infrastructure in just a few weeks, demonstrating again the operational efficiency of Parkmead’s low-cost assets onshore the Netherlands, where operating costs are less than $9 per barrel equivalent. The company said this new discovery is in its initial clean up period, and early flow rates suggest that Parkmead will benefit from a material increase in daily net production.
Comment: Parkmead shares have been so beaten up in recent sessions suggests that the “material increase in daily net production, could at least provide a temporary excuse for a rebound.
Zakmir.com is a purely journalistic website – Zak Mir is a member of the National Union of Journalists. There is no intention here of providing financial advice. It is recommended you seek an independent professional opinion before deciding whether or not to take any action with regard to anything written or said here.