REG - Pulsar Helium Inc. - 1st Quarter Results

Pulsar HeliumAnnouncement

27/02/2025 07:15

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250227:nRSa6260Ya&default-theme=true

RNS Number : 6260Y  Pulsar Helium Inc.  27 February 2025

THIS ANNOUNCEMENT AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR
INDIRECTLY, IN, INTO OR FROM THE UNITED STATES OF AMERICA, AUSTRALIA, JAPAN OR
THE REPUBLIC OF SOUTH AFRICA OR TO BE TRANSMITTED, DISTRIBUTED TO, OR SENT BY,
ANY NATIONAL OR RESIDENT OR CITIZEN OF ANY SUCH COUNTRIES OR ANY OTHER
JURISDICTION IN WHICH SUCH RELEASE, PUBLICATION OR DISTRIBUTION MAY CONTRAVENE
LOCAL SECURITIES LAWS OR REGULATIONS.

NEWS RELEASE | FEBRUARY 27, 2025 | CASCAIS, PORTUGAL

PULSAR ANNOUNCES FINANCIAL AND OPERATING RESULTS FOR THE FIRST QUARTER ENDED
DECEMBER 31, 2024

Pulsar Helium Inc. (AIM: PLSR, TSXV: PLSR, OTCQB: PSRHF) ("Pulsar" or the
"Company"), the helium project development company, is pleased to announce its
financial and operating results for the three months ended December 31, 2024
(the "Period").

Selected financial and operational information is outlined below and should be
read in conjunction with the Company's unaudited consolidated financial
statements and related management's discussion and analysis (the "MD&A")
for the Period, which are available on the Company's website at
www.pulsarhelium.com and at the following links:

•             Financial
Statements: http://www.rns-pdf.londonstockexchange.com/rns/6260Y_1-2025-2-27.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/6260Y_1-2025-2-27.pdf)

•
MD&A: http://www.rns-pdf.londonstockexchange.com/rns/6260Y_2-2025-2-27.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/6260Y_2-2025-2-27.pdf)

All figures are in US dollars ("US$") unless otherwise stated.

Operational Highlights

•             The deepening operation at the Jetstream #1 appraisal
well, reached its target depth of 5,100 feet on January 11, 2025. Initial data
supports the Company's interpreted larger helium-bearing reservoir zone with
multiple helium zones encountered throughout the deepening operation from
2,200 feet to 5,100 feet.

•            Mud log gas levels containing up to 7.24% helium were
encountered - these are likely to be contaminated by air and therefore it is
expected uncontaminated samples, once collected, will report a higher and
truer helium concentration.

•              Results of the October 2024 Topaz 2D seismic survey
showed a continuous reflective package at the helium-bearing interval
encountered at Jetstream #1, extending 1.5km to the west and 2km to the east
of the well.

•             The Company completed a drilling operation at the
Jetstream #2 appraisal well, reaching total depth of 5,638 feet (1,718 metres)
on February 1, 2025. Mud log data reported helium levels up to 3.5%, which
again was contaminated with air and uncontaminated samples, once collected,
are expected to report higher and truer levels.

•           On February 20, 2025, the Company announced that down-hole
testing equipment is scheduled to mobilise to site on February 24, 2025.  The
tools consist of an optical televiewer and LithoScanner, both of which will be
run on both the Jetstream #1 and #2 appraisal wells. These tests will further
refine the Company's understanding of the reservoir properties and production
potential.

•             In January 2025, the Company received the
interpretation of a passive seismic survey conducted at the Kap Tobin prospect
within the Tunu Project, Greenland.

Financial Highlights

•            On October 18, 2024, the Company's common shares
commenced trading (the "Admission") on the AIM market of the London Stock
Exchange plc ("AIM") under the symbol PLSR.

•              Concurrent with Admission, the Company completed of a
total gross funding of £5 million which included the £1.125 million
cornerstone investment completed in August 2024.

•          On December 30, 2024, the Company announced that it is
arranging a brokered private placement of up to 19,736,842 common shares of
the Company to select US based investors at a price of $0.38 per common share
to raise up to $7.5 million.

•               On January 9, 2025, the Company closed the first
tranche of the private placement raising $2 million through the issuance of
5,263,160 common shares at a purchase price of $0.38 per common share. The
first tranche includes participation from US institutional investors,
including University Bancorp, Inc. which now holds 4.99% of the issued and
outstanding common shares of the Company.

•            Net proceeds raised from the second tranche of the
private placement will, once closed, increase the Company's working capital
base, and enable the Company to accelerate its strategic plan for the
exploration and development of the Topaz project, including working towards a
final investment decision (FID) for the construction of a combined helium and
CO2 production facility.

Selected Financial Results for the Period

The loss for the three months ended December 31, 2024, was $3,748,175 compared
to $1,165,924 for the three months ended December 31, 2023.

The significant changes between the current period and the comparative period
are discussed below.

During the three months ended December 31, 2024, the Company paid or accrued
consulting fees of $160,400 (2023 - $102,634) primarily to executive officers
of the Company. The Company also paid or accrued director fees of $39,150
during the three months ended December 31, 2024 (2023 - $20,000). Increases
period over period are due to increases in fees effective June 1, 2024.

During the three months ended December 31, 2024, the Company recorded
exploration and evaluation expenditures of $1,046,631 (2023 - $403,281) as it
prepared to deepen Jetstream #1 and drill Jetstream #2 at the Topaz project as
described above.

Marketing and promotion expenses for the three months ended December 31, 2024
were $114,806 compared to $314,633 for the prior period. The Company was
listed for trading on the TSX-V in August 2023 and significantly increased its
advertising and investor awareness campaign since becoming a public company.
During the current period, the Company had fewer investor awareness campaigns
in place.

During the three months ended December 31, 2024, the Company recorded non-cash
share-based compensation of $183,493 (2023 - $Nil) on performance share units
vested during the period.

As described above, the Company's common shares commenced trading on the AIM
market of the London Stock Exchange plc on October 18, 2024. During the three
months ended December 31, 2024, the Company incurred listing fees of $376,627
towards this transaction.

Share purchase warrants issued in connection with unit offerings are recorded
as warrant liabilities as the currency denomination of the exercise price is
different from the functional currency of the Company. During the three months
ended December 31, 2024, the Company recorded a non-cash revaluation loss of
warrant liability of $1,430,571 (2023 - $172,606).

Outlook

•       The deepening of Jetstream #1 is a pivotal step in advancing
Pulsar's strategy to commercialise its helium discovery in the US.

•       Reservoir data from Jetstream #2 including porosity, permeability
and well connectivity will be utilised in the next iteration of

          resource estimation, production modelling, and further
appraisal well planning.

•        Down-hole wireline logs will be collected, and an optical
televiewer run at both Jetstream #1 and #2. Flow testing and pressure build-up
monitoring are planned for both wells in March 2025 following a post-drill
stabilisation period.

Thomas Abraham-James, President & CEO of Pulsar, commented: "We are
delighted to have completed the successful deepening of Jetstream #1 and the
spudding and completion of Jetstream #2 early this year. The multiple helium
zones encountered in Jetstream #1 reported up to 7.24% helium that were
diluted by air. Jetstream #2 successfully penetrated the entire interpreted
helium-bearing interval, and beyond. Mud log gas levels containing up to 3.5%
helium (diluted by atmospheric air) were encountered during drilling. Pulsar
management is encouraged by these results which support our belief in Topaz
being a material commercial helium discovery.

We look forward to completing the additional down-hole data gathering and
pressure build-up monitoring planned for March 2025. All these data will
provide information for the next iteration of resource estimating, production
modelling, and further appraisal well planning.

In October 2024, Pulsar dual listed on the AIM market of the London Stock
Exchange, simultaneously raising £5 million, including a £1.125 million
pre-AIM listing investment. This marked an exciting step for the Company,
which has enabled UK investors to join Pulsar on its journey aiming to become
a key supplier of helium, helping to address the global supply gap.

I look forward to sharing the data that we collect in the subsequent
operations, and revealing how it informs future developments and the
understanding of our project."

On behalf Pulsar Helium Inc.

"Thomas Abraham-James"

President, CEO and Director

Further Information:

Pulsar Helium Inc.

connect@pulsarhelium.com (mailto:connect@pulsarhelium.com)

+ 1 (218) 203-5301 (USA/Canada)

+44 (0) 2033 55 9889 (United Kingdom)

https://pulsarhelium.com (https://pulsarhelium.com)

https://ca.linkedin.com/company/pulsar-helium-inc
(https://ca.linkedin.com/company/pulsar-helium-inc) .

Strand Hanson Limited

(Nominated & Financial Adviser, and Joint Broker)

Ritchie Balmer / Rob Patrick / Richard Johnson

+44 (0) 207 409 3494

OAK Securities*

(Joint Broker)

Jerry Keen (Corporate Broking) / Henry Clarke (Institutional Sales) / Dillon
Anadkat (Corporate Advisory)

info@OAK-securities.com (mailto:info@OAK-securities.com)

+44 203 973 3678

BlytheRay Ltd

(Financial PR)

Megan Ray / Said Izagaren

+44 207 138 3204
 

pulsarhelium@blytheray.com (mailto:pulsarhelium@blytheray.com)

*OAK Securities is the trading name of Merlin Partners LLP, a firm
incorporated in the United Kingdom and regulated by the UK Financial Conduct
Authority.

About Pulsar Helium Inc.

Pulsar Helium Inc. is a publicly traded company listed on the AIM market of
the London Stock Exchange and the TSX Venture Exchange with the ticker PLSR,
as well as on the OTCQB with the ticker PSRHF. Pulsar's portfolio consists of
its flagship Topaz helium project in Minnesota, USA, and the Tunu helium
project in Greenland. Pulsar is the first mover in both locations with primary
helium occurrences not associated with the production of hydrocarbons
identified at each.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.

Qualified Person Signoff

In accordance with the AIM Note for Mining and Oil and Gas Companies, the
Company discloses that Thomas Abraham-James, President, CEO and Director of
the Company has reviewed the technical information contained herein. Mr.
Abraham-James has approximately 20 years in the mineral exploration industry,
is a Chartered Professional Fellow of the Australasian Institute of Mining and
Metallurgy (FAusIMM CP (Geo)), a Fellow of the Society of Economic Geologists
and a Fellow of the Geological Society of London.

Forward-Looking Statements

This news release and the interview contains forward-looking information
within the meaning of Canadian securities legislation (collectively,
"forward-looking statements") that relate to the Company's current
expectations and views of future events. Any statements that express, or
involve discussions as to, expectations, beliefs, plans, objectives,
assumptions or future events or performance (often, but not always, through
the use of words or phrases such as "will likely result", "are expected to",
"expects", "will continue", "is anticipated", "anticipates", "believes",
"estimated", "intends", "plans", "forecast", "projection", "strategy",
"objective" and "outlook") are not historical facts and may be forward-looking
statements. Forward-looking statements herein include, but are not limited to,
statements relating to the completion of the private placement, the
independent resource estimate for helium and CO2 at Topaz; the potential of
CO2 as a valuable by-product of the Company's future helium production; the
potential impact of deepening Jetstream #1 and the potential impact of such
deepening on the next iteration of the resource estimate; the potential impact
of the results of Jetstream #2; and the potential for future wells.
Forward-looking statements may involve estimates and are based upon
assumptions made by management of the Company, including, but not limited to,
the Company's capital cost estimates, management's expectations regarding the
availability of capital to fund the Company's future capital and operating
requirements and the ability to obtain all requisite regulatory approvals.

No reserves have been assigned in connection with the Company's property
interests to date, given their early stage of development. The future value of
the Company is therefore dependent on the success or otherwise of its
activities, which are principally directed toward the future exploration,
appraisal and development of its assets, and potential acquisition of property
interests in the future. Un-risked Contingent and Prospective Helium Volumes
have been defined at the Topaz Project. However, estimating helium volumes is
subject to significant uncertainties associated with technical data and the
interpretation of that data, future commodity prices, and development and
operating costs. There can be no guarantee that the Company will successfully
convert its helium volume to reserves and produce that estimated volume.
Estimates may alter significantly or become more uncertain when new
information becomes available due to for example, additional drilling or
production tests over the life of field. As estimates change, development and
production plans may also vary. Downward revision of helium volume estimates
may adversely affect the Company's operational or financial performance.

Helium volume estimates are expressions of judgement based on knowledge,
experience and industry practice. These estimates are imprecise and depend to
some extent on interpretations, which may ultimately prove to be inaccurate
and require adjustment or, even if valid when originally calculated, may alter
significantly when new information or techniques become available. As further
information becomes available through additional drilling and analysis the
estimates are likely to change. Any adjustments to volume could affect the
Company's exploration and development plans which may, in turn, affect the
Company's performance. The process of estimating helium resources is complex
and requires significant decisions and assumptions to be made in evaluating
the reliability of available geological, geophysical, engineering, and
economic date for each property. Different engineers may make different
estimates of resources, cash flows, or other variables based on the same
available data.

Forward-looking statements are subject to a number of risks and uncertainties,
many of which are beyond the Company's control, which could cause actual
results and events to differ materially from those that are disclosed in or
implied by such forward- looking statements. Such risks and uncertainties
include, but are not limited to, that Pulsar may be unsuccessful in drilling
commercially productive wells; the uncertainty of resource estimation;
operational risks in conducting exploration, including that drill costs may be
higher than estimates and the potential for delays in the commencement of
drilling; commodity prices; health, safety and environmental factors; and
other factors set forth above as well as under "Cautionary Note Regarding
Forward Looking Statements and Market and Industry Data" and "Risk Factors" in
the Final Prospectus dated July 31, 2023 filed on the Company's profile on
www.sedarplus.ca. Forward-looking statements contained in this news release
are as of the date of this news release, and the Company undertakes no
obligation to update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise, except as may be
required by law. New factors emerge from time to time, and it is not possible
for the Company to predict all of them or assess the impact of each such
factor or the extent to which any factor, or combination of factors, may cause
results to differ materially from those contained in any forward-looking
statement. No assurance can be given that the forward-looking statements
herein will prove to be correct and, accordingly, investors should not place
undue reliance on forward-looking statements. Any forward-looking statements
contained in this news release and interview are expressly qualified in their
entirety by this cautionary statement.

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  QRFZZGZZGNRGKZG