Business
Update on the Helios Two Transaction
Update on the Helios Two Transaction.
About this update from Chill Brands Group Plc
[{"type":"text","content":"\n \nRNS Number : 7452D Highlands Natural Resources PLC 11 July 2016 \n\n11 July 2016\n \nThis announcement contains inside information.\n \nHighlands Natural Resources plc ('Highlands' or 'the Company')\nUpdate on the Helios Two Transaction\n \nOn 15 June 2016, Highlands, the London listed natural resources company, announced that it had reached a heads of terms with London listed Opera Investments Plc (\"Opera\") whereby Opera proposed to acquire all of the issued share capital of Highland's subsidiary, Highlands Helium Development Limited, the owner of Highlands' Helios Two natural gas and helium project in Montana, USA (\"Helios Two\").\n \nHighlands announces that there is mutual agreement between Opera and Highlands to terminate the Acquisition. Highlands now plans to develop Helios Two itself and expects to provide shareholders with further updates in the coming weeks. The directors of Highlands wish the team at Opera well as it seeks further acquisition opportunities.\n \nHelios Two Development Plan\n \nHighlands has developed a two-phase development plan for Helios Two which is designed to first achieve proof of concept and secondly achieve self-sustaining revenue and cashflow.\n \nPhase One\n \nThe first phase of the Helios Two project will be to achieve proof of concept and then establish requisite operating and marketing infrastructure. Highlands plans to develop Helios Two using a three-well pattern (a \"Trident\") consisting of two production wells paired to a single injection well. Phase One entails drilling and completion of the first Trident wells in order to establish concentrations and flow rates for natural gas, helium, water and other produced volumes. \n \nPending successful completion of the first Trident wells, Highlands proposes to install the separation, handling and midstream transportation infrastructure required to scale up operations. Highlands is in discussions with third parties regarding their potential involvement in this process. \n \nPhase One is designed to be a fast-paced and capital-light program geared towards expeditiously establishing proof of concept and establishing critical infrastructure for expansion. \n \nPhase Two\n \nBuilding on the groundwork laid in Phase One, Highlands will complete further Tridents i...