Pulsar Helium Inc (LON:PLSR) has taken a significant step forward in its development journey, securing a US$4 million project finance facility that underlines both the maturity and quality of its Topaz asset. In a research note dated 24 March 2025, Auctus Advisors LLP raised its target price on the company to £0.85 per share, highlighting reduced equity dilution and strong forward momentum.
Analyst Stephane Foucaud of Auctus commented on the funding milestone, stating: “Accessing project finance at this stage underscores its value, as such funding is typically only available closer to FID.” This early-stage access to non-dilutive capital, with the facility maturing in March 2026 and bearing an annual interest of 12%, reflects market confidence in the asset’s commercial viability.
The financing arrives alongside news that Pulsar has significantly reduced its equity requirements. Instead of the previously anticipated US$7.5 million equity raise, the company has raised around US$2.4 million, preserving shareholder value. This, according to Auctus, prompted the uplift in the target price.
Operational progress continues as Pulsar gears up for flow testing of its Jetstream #1 and #2 wells, with tests set to begin around 29 March. Each well is scheduled to be tested over a two-week period—an important phase for gauging future production capabilities.
Valuation analysis remains compelling. With assumed flow rates of 0.75 mmcf/d and helium concentration at 12.5%, Jetstream #1 alone could deliver US$22 million in first-year revenue—remarkable given that development well costs are estimated below US$2 million. The CO₂ resources at Topaz are also expected to enhance project economics.
Foucaud reinforced the investment case, noting the substantial upside embedded in the company’s assets. Auctus calculates an unrisked NAV of approximately £2.45 per share, while its risked NAV (ReNAV) stands at £0.82 per share, assuming Pulsar secures access to the state lands currently under negotiation.
On a Final Note
Pulsar Helium’s strategic use of project finance, reduced equity dilution, and approaching operational catalysts are all aligning to bolster investor confidence. With strong fundamentals and continued execution, the company remains one to watch in the helium exploration space.
