Surf Air Mobility

Helium Evolution Announces Filing of Third Quarter 2022 Financial and Operating Results

22 November 2022

CALGARY, Alberta, Nov. 22, 2022 (GLOBE NEWSWIRE) -- Helium Evolution Incorporated (TSXV:HEVI) ("HEVI" or the "Company"), a Canadian-based helium exploration and production company focused on developing assets in southern Saskatchewan, today announced the filing of our unaudited financial results for the three and nine- month periods ended September 30, 2022, along with a corporate update on activities that have occurred subsequent to the end of the period.

For complete details of the condensed interim consolidated financial statements and the associated management’s discussion and analysis, please refer to the Company’s filing on SEDAR (

Three & Nine Months Ended September 30, 2022 Highlights

 Three months ended 

Tabular amounts in thousands of
Canadian Dollars, except share and
per share amounts

September 30,

September 30,
Nine months
30, 2022
Period ended
September 30,
Net loss3,8472386,8431,023
Net loss per share, basic and diluted0.
Working capital9,2713209,271320
Total assets13,64434113,644341
Total liabilities6252162521
Weighted average shares outstanding    
Basic and diluted196,033,97431,102,44972,453,53822,596,717

1The weighted average number of common shares outstanding is not increased for outstanding stock options and warrants when the effect is anti-dilutive.
2 From the period of incorporation on January 14, 2021 to September 30, 2021

During the third quarter of 2022, HEVI continued to execute on its focused strategy of developing its 5.5 million acres of helium rights in southern Saskatchewan, to ultimately produce and sell helium, generate cash flow and drive positive returns for shareholders. HEVI drilled two 100% operated wells in June and July at McCord, resulting in capital expenditures of $3.8 million for the third quarter, primarily allocated to drilling followed by requisite downhole abandonment activities since initial results did not return sufficient quantities of helium to warrant production testing. With strong helium indications in the area, as well as the expanded and enhanced farm-out agreement (the “Amended Farmout Agreement”) with North American Helium (“NAH”) announced October 21, 2022, HEVI maintains a very positive near and longer-term outlook for its asset base. The Company retained ongoing financial flexibility with positive working capital of $9.3 million at the end of the quarter plus $1.5 million of tubing and casing in inventory, of which $0.5 million was sold subsequent to quarter end.

The Company was also pleased to bolster the strength of its internal management team during the quarter with the appointment of Ms. Kristi Kunec as Chief Financial Officer, effective September 12th, 2022. Ms. Kunec brings over 15 years of financial experience with strong acumen in corporate finance, organizational planning and financial reporting for high-growth resource companies.


On October 21, 2022, through the Amended Farmout Agreement, HEVI and NAH expanded and accelerated their previous farmout agreement, providing the Company with numerous significant benefits, which include:

  • An acceleration of drilling as NAH will drill the first two test wells on HEVI lands in Q4/22 and a third test well in the first half 2023;
  • Preservation of capital as costs to drill the test wells will be funded 100% by NAH while HEVI retains a 20% working interest;
  • Based on success with the first three test wells, NAH commits to expeditiously drill development wells on the earned farmout blocks, subject to surface access and regulatory approvals;
  • NAH will select a fourth and fifth test well location by June 30, 2023, with both wells to be spud by the first quarter of 2024;
  • New seismic option and seismic review option agreements will give NAH the option to increase the number of exploration wells to be drilled by approximately 60%, from five to up to eight;
  • At no cost, HEVI has received NAH’s proprietary seismic recently used to drill three successful NAH wells; and
  • HEVI retains a 20% working interest in any successful wells with no up-front capital costs and the ability to participate in future development wells at the same 20% interest level.

On November 9th, HEVI confirmed that NAH had spud its first test well (the “First Test Well”) on farmout lands within Block 1 at its Mankota, Saskatchewan area. On November 21st, HEVI announced that NAH had informed the Company that the open hole portion of the First Test Well would be abandoned, but that NAH was electing to suspend the cased hole portion of the well to afford optionality and the ability to re-enter it at a later date, potentially to drill a sidetrack to another target. NAH is expected to spud its second test well (the “Second Test Well”) in mid-December. In tandem with ongoing developments under the NAH Amended Farmout Agreement, HEVI is also continuing to advance the selection of its own 100% operated future drilling targets, and are undertaking numerous initiatives designed to support ongoing technical work, including geological and geophysical modelling, shooting of proprietary 2D seismic, seismic reprocessing and interpretation and well log integration. The Company also recently acquired approximately 360km of 2D seismic data, with plans to purchase additional 2D seismic over the next six to nine months.

Relative to other helium peers, HEVI remains very well positioned and pleased with how far it has advanced on the journey to realize production and cash flow. The Company looks forward to benefitting from the continued exploration and development of its asset base by NAH, which affords HEVI extensive data and expertise while preserving capital and enabling the Company to pursue drilling and development of its 100% owned targets in the future.

Stay Connected to Helium Evolution
Shareholders and other parties interested in learning more about the Helium Evolution opportunity are encouraged to visit the Company’s website, which includes an updated corporate presentation, and are invited to follow the Company on LinkedIn and Twitter for ongoing corporate updates and helium industry information. Helium Evolution also provides an extensive, commissioned ‘deep-dive’ research report prepared by a third party whose background includes serving as a research analyst for several bank-owned and independent investment dealers. In addition to recent media articles, HEVI maintains a profile on the Investing News Network platform, where further information, editorial pieces and industry reviews are available.

About Helium Evolution Incorporated

Helium Evolution is a Canadian-based helium exploration and production company holding the largest helium land rights position in North America among publicly-traded companies, focused on developing assets in southern Saskatchewan. The Company has over five million acres of land under permit near proven discoveries of economic helium concentrations which will support scaling the exploration and development efforts across its land base. HEVI’s management and board are executing a differentiated strategy to become a leading supplier of sustainably-produced helium for the growing global helium market, offering a compelling opportunity for investors.

For further information, please contact:

Greg Robb, President & CEO
Kristi Kunec, CFO
Phone: 1-587-330-2459
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Cindy Gray, Investor RelationsThis email address is being protected from spambots. You need JavaScript enabled to view it. | 1-403-705-5076

Statement Regarding Forward-Looking Information

This news release contains statements that constitute "forward-looking statements." Such forward looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "potential" and similar expressions, or that events or conditions "will," "would," "may," "could" or "should" occur.

Forward-looking statements in this document include statements regarding the Company's expectations regarding the Company’s expectations regarding the Company’s and NAH’s exploration and drilling plans, the Company’s ability to identify future exploration and drilling targets, including the purchase of 2D seismic and activities related to the Amended Farmout Agreement, increasing shareholder value, the Company’s ability to preserve capital, , drilling timeline of the Second Test Well and any future NAH drills, the purchase of additional seismic and other statements that are not historical facts. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors and risks include, among others: NAH may be unsuccessful in drilling commercially productive wells, NAH may defer the drilling of the Second Test Well and subsequent wells; the Company may choose to defer, accelerate or abandon its drilling plans; new laws or regulations and/or unforeseen events could adversely affect the Company’s business and results of operations; stock markets have experienced volatility that often has been unrelated to the performance of companies and such volatility may adversely affect the price of the Company's securities regardless of its operating performance; risks generally associated with the exploration for and production of resources; the uncertainty of estimates and projections relating to expenses; constraint in the availability of services; commodity price and exchange rate fluctuations; the current COVID-19 pandemic; adverse weather or break-up conditions; and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures.

When relying on forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and risks other uncertainties and potential events. The Company has assumed that the material factors referred to in the previous paragraphs will not cause such forward-looking statements and information to differ materially from actual results or events. However, the list of these factors is not exhaustive and is subject to change and there can be no assurance that such assumptions will reflect the actual outcome of such items or factors. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement. The forward-looking statements contained in this press release are made as of the date of this press release. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

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.

Sign Up To Get Daily Green Stock News In Your Inbox

Please review our Disclaimer and Privacy Policy before subscribing.



Pond Technologies

Pond Technologies has developed a proprietary system that can profitably transform CO2 into valuable products. The company's carbon business focuses on absorbing greenhouse gas emissions, transforming these into...



LithiumBank Resources

LithiumBank Resources is creating an opportunity to participate in the future of clean-tech energy. The company's strategy is to acquire claims in known lithium high grade hot spots with existing wells and infrastructure...