Helix Exploration PLC (LSE:HEX) has agreed a conditional US$11 million acquisition of the Keyes Helium Complex in Oklahoma, one of only six operating helium liquefaction plants in the United States that is independent of the major industrial gas companies. The acquisition will enable Helix to liquefy helium produced from its Rudyard field, broaden access to international customers and generate additional revenue through third-party tolling services. The company said the asset has been acquired at an estimated 65% discount to replacement cost and already benefits from an established income stream.
To finance the transaction and accelerate development at the Rudyard project, Helix has launched an institutional placing to raise up to £16 million at 22 pence per share, alongside a retail offer targeting up to £1.6 million. The proceeds will fund the acquisition of the Keyes facility and the drilling of four additional production wells at Rudyard. Major shareholder Drachs Investments has indicated its intention to invest around £7 million and will receive board representation, highlighting continued investor backing as helium prices strengthen and supply remains constrained across key US production regions.
Helix Exploration’s outlook continues to be weighed down by its pre-revenue status, ongoing losses and increasing cash burn, although the company maintains a debt-free balance sheet. Strong technical momentum and an established upward share price trend provide some support, while valuation remains difficult to assess because of continued losses and the absence of a dividend.
More about Helix Exploration Plc
Helix Exploration PLC is a US-focused helium producer listed on AIM and the OTCQB market, currently producing raw helium from its Rudyard field. The company supplies helium to critical industries including medical imaging, semiconductor manufacturing, aerospace and other cryogenic applications, while positioning itself as an independent producer and liquefaction operator with integrated infrastructure.
Through the acquisition and operation of strategically located liquefaction facilities, Helix aims to expand its access to global helium markets while capturing higher-value pricing opportunities across North America and Asia. Its business model also includes providing tolling services for third-party producers and aggregating helium from multiple fields to benefit from tightening global supply and declining legacy US production.
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