Pulsar Helium Inc. (TSX-V: PLSR): High pressure at Jetstream #3
• Jetstream #3 has intersected two gas-bearing intervals at ~523 meters and 621 meters depth, with bottom-hole pressure estimated at ~960 psi at 661 meters. For comparison, Jetstream #1 and #2 recorded bottom-hole pressures of just 185–205 psi. Gas bubbling was observed in the drilling mud returns at surface during pipe connections, indicating active gas influx from the formation during drilling.• The elevated pressure encountered at Jetstream #3 is highly encouraging, as it suggests the potential for significantly higher flow rates and improved recovery compared to Jetstream #1 and #2. Based on these results, the well may be considered for testing.
• Jetstream #3 is located ~950 meters northeast of Jetstream #1. The presence of gas at similar depths across all three wells supports the interpretation of consistent geology throughout the targeted area. Upcoming logging—potentially as early as next week—and seismic acquisition will further refine geological understanding. The well is targeting a planned total depth of ~1,067 meters.
• Separately, Pulsar has signed a non-binding term sheet to acquire 100% of Hybrid Hydrogen in exchange for US$80,000 in shares. Hybrid Hydrogen’s key asset is a lease covering ~6,742 acres of mineral rights in Michigan’s Upper Peninsula, focused on non-hydrocarbon gases.
• The geological setting shows strong parallels with Pulsar’s Topaz project in Minnesota, where historical iron and copper mining encountered non-hydrocarbon gases—suggesting potential for helium and other inert gases.
• The potential acquisition offers strategic upside and additional running room for Pulsar’s U.S. portfolio. We maintain our target price of £0.80 per share.
Michigan acreage
The Michigan lease sits within an ancient sedimentary basin underlain by crystalline basement rocks—geologically analogous to the Archaean basement proven to host helium accumulations at Pulsar’s Topaz project. Pulsar plans to leverage its technical expertise in helium migration modelling, subsurface structural mapping, and seal/trap identification to evaluate the prospectivity of the acreage. The term sheet includes a 60-day exclusivity period, secured by a US$20,000 fee, to complete due diligence and finalize definitive agreements. There is also potential to expand the leasehold materially beyond the initial 6,742 acres. The licence has four years remaining on its initial term, with minimal requirements for geological and surface data acquisition.
Valuation
Our unrisked NAV for Pulsar is £2.10/sh with a ReNAV of £0.77/sh.
Auctus Advisors is a specialist Equity Capital Markets and Advisory business with a focus in the Energy Sector.
The partners have complementary skill sets, with decades of experience across Equity Capital Markets, Investment Banking and the Energy industry. We have worked at Société Générale, Canaccord Capital, BMO Capital Markets and Schlumberger. Most recently we have worked together for many years at GMP FirstEnergy.
Auctus has been set up at the beginning of a new decade in which we see significant opportunities in the Energy space. Globally, demand for energy is at record levels and continues to grow. Conversely, investment in traditional energy sources has been severely constrained. We believe this imbalance creates opportunities for both companies and investors.
Auctus provides Corporate Broking, Equity Research and Investment Banking services.
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