SASKATOON, SK, Sept. 9,
2024 /CNW/ - Royal Helium Ltd. (TSXV: RHC) (TSXV:
RHC.WT.A) (OTCQB: RHCCF) ("Royal Helium" or the
"Company") announces the commencement of a strategic
repositioning process and a series of leadership changes, with an
enhanced focus on maximizing long-term shareholder value.
Strategic Repositioning Process
In connection with the strategic repositioning process, the
Company has recently formed a Technical Committee comprised of
Martin Wood, industry expert
Brent Ziegler, and board member
Karl Kurz. The committee's primary
objective will be centered around the completion and operational
success of the Steveville project. Part of these efforts will
include a renewed approach towards disciplined capital allocation
and cost control.
David Young, the Company's Chief
Executive Officer, commented, "The inclusion of Karl and Brent on
the technical committee marks a pivotal advancement in steering our
plant towards a horizon of stable operations and enhanced
throughput. Together, their cumulative decades of expertise in
spearheading comparable ventures not only fortifies our technical
strategy but also ensures a seamless integration of on-site
activities, with executive oversight. This strategic alignment is
instrumental in driving shareholder value and optimizing our
collective interests towards peak operational excellence and
shareholder value."
Royal Helium has engaged Eight Capital as financial advisor to
assist with the strategic repositioning process and to help lead
value maximizing outcomes for all Royal Helium stakeholders. The
Company looks forward to providing regular communication to its
stakeholders as the strategic repositioning process progresses and
milestones are achieved.
Changes in Leadership
Effective immediately, Royal Helium announces the departure of
two original Board members, John
Pringle, the historical Chairman, and Sylvain Laberge have resigned from their Board
roles. The Company is pleased to announce that Martin Wood will be taking over as Chairman of
the Board.
"We are excited to have Martin assume the role as Chairman of
the Board. In recent weeks, Martin has been intimately involved and
has played an instrumental role in crucial corporate realignment
initiatives, including his role on the Company's recently formed
Technical Committee, focused on elevating helium facility
operations", comments David
Young.
Martin has more than 30 years' experience in the resource
industry as both a financier and operator, having served as CEO for
a publicly listed resource development company and more recently in
the roles of Chair, Deputy Chair and Senior Independent
Non-Executive Director for a number of resource focused public
companies.
Martin Wood states, "I am excited
to be part of the team leading the repositioning efforts at Royal
Helium, with a strategic focus on bringing the Steveville project
to full capacity and, in time, developing the other high quality
assets and revenue channels that exist within the Royal Helium
portfolio."
In addition to the changes in leadership, Royal Helium has
concluded an employee headcount overhaul, which it expects to
streamline operations and reduce corporate employee-related G&A
by more than 40%.
Corporate Update
In connection with its existing off-take agreement, the Company
continues to make deliveries of purified helium trailers from its
Steveville facility. Royal Helium has an offtake agreement with one
of the leading global helium consumers, second only to NASA. The
Company is excited to continue to improve its plant capabilities
and ramp up helium supply for this esteemed counterparty.
About Royal Helium Ltd.
Royal Helium is a production, infrastructure, and exploration
company with a primary focus on the development of helium and
associated gases. The Company's extensive footprint includes
prospective helium permits and leases across southern Saskatchewan and southeastern Alberta. Given the current and foreseeable
global undersupplied nature of this critical and non-renewable
product, Royal Helium is well positioned to be a leading North
American producer of this increasingly high value commodity.
Royal's helium reservoirs are carried primarily with nitrogen.
Nitrogen is not considered a greenhouse gas (GHG) and therefore the
plant has a low GHG footprint when compared to plants in other
jurisdictions that rely on large scale natural gas production for
helium extraction. Helium extracted from wells in Saskatchewan and Alberta can be up to 90% less carbon intensive
than helium extraction processes in other jurisdictions.
David Young
President and Chief Executive Officer
Royal Helium Ltd.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
INFORMATION
This news release includes certain statements that may be
deemed to be "forward-looking statements". All statements in news
this release, other than statements of historical facts, that
address events or developments that management of the Company
expects, are forward-looking statements. Although management
believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are
not guarantees of future performance, and actual results or
developments may differ materially from those in the
forward-looking statements. The Company undertakes no obligation to
update these forward-looking statements if management's beliefs,
estimates or opinions, or other factors, should change. Factors
that could cause actual results to differ materially from those in
forward-looking statements, include market prices, exploration and
development successes, continued availability of capital and
financing, and general economic, market or business conditions.
Please see the public filings of the Company at
www.sedar.com for further information.
Neither 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 news release.
SOURCE Royal Helium Ltd.