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Explorer Estimates 1.1 Billion Cubic Feet of Helium From Second Well Drilled at Alberta Property
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Auctus Advisors LLP commented in a research note that helium developer Imperial Helium Corp. obtained encouraging results from the second well drilled at its Steveville project. Auctus advised that pending receipt of the well flow rate data, it is maintaining its CA$1.00/share target price for IHC shares.

Analyst Stephane Foucaud of Auctus Advisors LLP wrote in a September 1 research note that Canadian exploration and development company Imperial Helium Corp. (IHC:TSX.V) has posted another encouraging result at the firm's second well drilled at its Steveville asset in Alberta.

Auctus Advisors indicated that drilling activity at the IHC-Steveville-2 well encountered a 133-meter thick reservoir section of the Beaverhill Lake Formation. The analyst stated further that "the depth and thickness of the gas saturated intervals calculated from logs are in-line with pre-drill estimates and are consistent with those identified in the IHC-Steveville-1 and the 13-22-020-12W4 wells (Steveville blowout)." The well reached a total depth of 1,959 meters and, as expected, was able to penetrate the crest of the structure.

Auctus commented that the positive results obtained from drilling at this second well provide a solid basis for its estimates of at least 1.1 billion cubic feet (bcf) of recoverable resources of helium.

Production testing is currently underway at the IHC-Steveville-1 well, and the company expects to announce that information shortly. It is hoped that the production data from IHC-Steveville-1 will boost confidence in the resource and confirm the field's deliverability and quality.

The company's exploration work at the IHC-Steveville-2 well was successfully drilled, cased, logged, and completed on schedule and within budget. The firm plans to commence production testing at IHC-Steveville-2 after it is finished with production testing at IHC-0Steveville-1, which is currently in process.

The analyst advised that once testing is completed at the IHC-Steveville-2 well, an independent third-party resources report is slated to be prepared for the entire Steveville property. Auctus stated that it expects that the report will be finished and published in Q4/21.

Auctus Advisors mentioned that Imperial Helium's shares continue to trade at a price that is well below its core net asset value (NAV) of CA$0.61 per share based upon a risked value of 1.1 bcf helium and very conservative performance forecasts of 5 million cubic feet per day (mmcf/d) from each of the two Steveville wells.

The analyst noted that if the production volumes were to increase to 10 mmcf/d per well, it would raise the NAV by CA$0.51 per share; and, similarly, at a level of 15 mmcf/d, it would increase core NAV further by an additional CA$0.41 per share.

Imperial Helium is based in Calgary, Alberta, Canada, and is focused on exploration and development of helium assets. While the company is now mostly prioritizing development of the Steveville Asset in Alberta, it continues to evaluate other opportunities throughout North America.

Auctus Advisors advised that it is reiterating its target price for Imperial Helium Corp. of CA$1.00 per share. The company's shares trade under the symbol IHC on the Toronto Stock Exchange and last closed for trading at CA$0.345/share on Tuesday, September 7, 2021.


1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Imperial Helium Corp. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
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Disclosures for Auctus Advisors, Imperial Helium Corp., September 1, 2021

Imperial Helium Corp. (“Imperial” or the “Company”) is a corporate client of Auctus Advisors LLP (“Auctus”). Auctus receives, and has received in the past 12 months, compensation for providing corporate broking and/or investment banking services to the Company, including the publication and dissemination of marketing material from time to time.

MiFID II Disclosures
This document, being paid for by a corporate issuer, is believed by Auctus to be an ‘acceptable minor non-monetary benefit’ as set out in Article 12 (3) of the Commission Delegated Act C(2016) 2031 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. It is produced solely in support of our corporate broking and corporate finance business. Auctus does not offer a secondary execution service in the UK.

The research analyst who prepared this research report was Stephane Foucaud, a partner of Auctus.

Not an offer to buy or sell
Under no circumstances is this note to be construed to be an offer to buy or sell or deal in any security and/or derivative instruments. It is not an initiation or an inducement to engage in investment activity under section 21 of the Financial Services and Markets Act 2000.

Auctus’ and related interests
The persons who produced this note may be partners, employees and/or associates of Auctus. Auctus and/or its employees and/or partners and associates may or may not hold shares, warrants, options, other derivative instruments or other financial interests in the Company and reserve the right to acquire, hold or dispose of such positions in the future and without prior notification to the Company or any other person.

Information purposes only
This document is intended to be for background information purposes only and should be treated as such. This note is furnished on the basis and understanding that Auctus is under no responsibility or liability whatsoever in respect thereof, whether to the Company or any other person.

Investment Risk Warning
The value of any potential investment made in relation to companies mentioned in this document may rise or fall and sums realised may be less than those originally invested. Any reference to past performance should not be construed as being a guide to future performance. Investment in small companies, and especially upstream oil & gas companies, carries a high degree of risk and investment in the companies or commodities mentioned in this document may be affected by related currency variations. Changes in the pricing of related currencies and or commodities mentioned in this document may have an adverse effect on the value, price or income of the investment.

Auctus (or its partners, officers or employees) may, to the extent permitted by law, own or have a position in the securities or financial instruments (including derivative instruments or any other rights pertaining thereto) of the Company or any related or other company referred to herein, and may add to or dispose of any such position or may make a market or act as principle in any transaction in such securities or financial instruments. Partners of Auctus may also be directors of the Company or any other of the companies mentioned in this note. Auctus may, from time to time, provide or solicit investment banking or other financial services to, for or from the Company or any other company referred to herein. Auctus (or its partners, officers or employees) may, to the extent permitted by law, act upon or use the information or opinions presented herein, or research or analysis on which they are based prior to the material being published.

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