Company also Received DTC Eligibility
Approval
CALGARY,
AB, April 27, 2022 /CNW/ - First Helium
Inc. ("First Helium" or the "Company") (TSXV: HELI) (OTCQB:
FHELF) (FRA: 2MC), today announced that it has received cash
proceeds of approximately $1,200,000
for March light oil production from the 1-30 well and an additional
$485,000 in warrant exercise
proceeds. The Company also announced that it has become DTC
eligible in the U.S. which should expand market access for its U.S.
investors.
"Total cash proceeds of approximately $485,000 from the early exercise of warrants
along with cash flow from the 1-30 well continue to strengthen our
balance sheet and those funds will be deployed to ongoing helium
exploration activities at our Worsley Property and our Southern
Alberta Helium Fairway exploration land," said Ed Bereznicki, President & CEO of First
Helium. "The U.S. market for investment in helium projects is
potentially very large given that Nation's long-time position as a
leading global producer of helium. Achieving DTC eligibility
in the U.S. is an important step for the Company as it enables U.S.
investors to more readily trade the Company's common shares," added
Mr. Bereznicki.
Strong cash flow continued through the receipt of payments of
approximately $1,200,000 for light
oil volumes delivered during March from the "1-30" well
which is located on First Helium's 100% owned, 79,000
acre Worsley landholdings in Northern Alberta, Canada. The 1-30 well
was brought on-stream on January 23,
2022, and produced an average of approximately 430 barrels
per day ("bbls/d") of light oil during the month of March.
In addition, during the month of April, First Helium has
received proceeds of approximately $485,000 from the exercise of 970,000 warrants
with an exercise price of $0.50 per
warrant.
In an effort to broaden its potential investor base, First
Helium's common shares began trading in the U.S. Following
its upgrade to the OTCQB on March 14,
2022, the Company has now received DTC eligibility. Common
shares of the Company traded on the OTCQB can now be settled
electronically among member brokerage firms, greatly simplifying
the process of trading common shares of the Company in the U.S. and
facilitating the potential expansion of First Helium's investor
base.
ABOUT FIRST HELIUM
Led by a core Senior Executive Team with diverse and extensive
backgrounds in Oil & Gas Exploration and Operations, Mining,
Finance, and Capital Markets, First Helium seeks to be one of the
leading independent providers of helium gas in North America.
Building on its successful 15-25 helium discovery well at the
Worsley project, the Company has
identified numerous follow-up drill locations and acquired an
expansive infrastructure system to facilitate future exploration
and development of helium across its Worsley land base. Cash flow from its
successful 1-30 and 4-29 oil wells at Worsley will help support First Helium's
ongoing helium exploration and development growth strategy.
First Helium holds over 79,000 acres along the highly
prospective Worsley Trend in Northern
Alberta, and 276,000 acres in the Southern Alberta Helium
Fairway, near existing helium production. In addition to
continuing its ongoing exploration and development drilling at
Worsley, the Company has
identified a number of high impact helium exploration targets on
the prospective Southern Alberta Helium Fairway lands to set up a
second core exploration growth area for the Company.
For more information about the Company, please visit
www.firsthelium.com.
ON BEHALF OF THE BOARD OF DIRECTORS
Edward J. Bereznicki
President, CEO and Director
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX) accepts responsibility for the adequacy or accuracy of this
release.
FORWARD-LOOKING AND CAUTIONARY STATEMENTS
This news release contains certain statements or disclosures
relating to First Helium that are based on the expectations of its
management as well as assumptions made by and information currently
available to First Helium which may constitute forward-looking
statements or information ("forward-looking statements") under
applicable securities laws. All such statements and disclosures,
other than those of historical fact, which address activities,
events, outcomes, results, or developments that First Helium
anticipates or expects may or will occur in the future (in whole or
in part) should be considered forward-looking statements. In some
cases, forward-looking statements can be identified by the use of
the words "expect", "will" and similar expressions. In particular,
but without limiting the foregoing, this news release contains
forward-looking statements pertaining to the timing and rate of
production of the 4-29 and 1-30 discovery wells, respectively;
anticipated cash flows; the entering into of off-take marketing
arrangements; the use of funds and the Company's strategy. The
forward-looking statements contained in this news release reflect
several material factors and expectations and assumptions of First
Helium including, without limitation: that First Helium will
continue to conduct its operations in a manner consistent with past
operations; the general continuance of current or, where
applicable, assumed industry conditions; availability of debt
and/or equity sources to fund First Helium's capital and operating
requirements as needed; and certain cost assumptions.
Forward-looking statements are based on estimates and opinions
of management at the date the statements are made and are subject
to risks, uncertainties and assumptions, including those set out in
the Final Prospectus dated June 28,
2021 and filed under the Company's profile on SEDAR at
www.sedar.com. Readers are cautioned that actual results may
vary materially from the forward-looking statements made in this
news release. Risks that could cause actual events or results to
differ materially from those projected in forward-looking
statements include, but are not limited to, risks associated with
the oil and gas industry; the ability of First Helium to fund the
capital and operating expenses necessary to achieve its business
objectives; the impact of the COVID-19 pandemic on the business and
operations of First Helium; the state of financial markets;
increased costs and physical risks relating to climate change; loss
of key employees and those risks described in the Final Prospectus
dated June 28, 2021. First
Helium does not undertake any obligation to update forward looking
statements, except as required by applicable securities laws.
Investors should not place undue reliance on forward-looking
statements.
SOURCE First Helium Inc.