The Helium One Global Ltd (LON: HE1) share price dropped 11.3% after announcing that its new CEO would give an update about the company’s future direction at the firm’s annual general meeting (AGM) scheduled for later today.
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Investors' adverse reaction was expected, given that the new CEO was appointed just six days ago after the previous CEO abruptly stepped down from his position. Luckily for the company, the new CEO, Lorna Blaisse, is a company insider who was previously the Principal Geologist.
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As I reported on Thursday, Lorna has over 17 years of experience in the exploration and appraisal of oil and gas projects across Africa. As an exploration geologist, Lorna has direct experience in rift basin geology due to her experience working on the Lake Albert Rift Basin in Uganda and the Termit Basin in Chad.
Therefore, the company is in good hands under the new CEO despite her sudden appointment. Helium One needed new leadership more than most investors might imagine, given the significant failure of its first drilling campaign, which did not yield any substantial helium resources.
The company cannot afford to come up empty once it commences the phase 2 drilling campaign, as it might lose investor backing and be forced to shut down its operations. Therefore, it makes sense for the firm to be led by an experienced geologist.
Helium One promised to post the CEO’s presentation on its website once the AGM is over, and many are looking forward to accessing the document later today. After Lorna’s appointment, the company’s non-executive Chairman said the following about her.
Ian Stalker, Non-Executive Chairman, commented:
“I would also like to welcome Lorna as CEO. She has extensive expertise in successfully delivering oil and gas exploration campaigns and, having been with the company for almost 2 years, an in-depth understanding and knowledge of our projects, which will greatly assist her and the team in delivering a successful drilling programme in 2023.”
*This is not investment advice.
The Helium One share price dropped 11.3% to trade at 5.10p, from Tuesday’s closing price of 5.75p.
YOUR CAPITAL IS AT RISK. 76% OF RETAIL CFD ACCOUNTS LOSE MONEY.
