Noble Helium to raise $14m

Perth-based Noble Helium plans to tap investors for $14 million to fund exploration at its helium assets in Tanzania.

The ASX-listed explorer told the market it was launching a $14 million placement with shares priced at 13 cents apiece, representing a 23.5 per cent discount to its last trading price.

The company said the funds would be used for appraisial and testing at its North Rukwa helium project in Tanzania.

Chief executive Justyn Wood said North Rukwa was a unique and prolific helium producing province.

“In parallel, we will continue to advance our commercial negotiations towards securing a leased plant and offtake agreement,” he said.

The company’s directors Mr Wood, Shaun Scott and Greg Columbus have agreed to subscribe for about $950,000 worth of shares under the placement.

Noble Helium’s share price closed the market down 14.7 per cent to last trade at 14.5 cents.