Solo Reins Back Helium Ambition

Solo Oil, the UK-based Tanzania gas explorer, has cancelled a shareholders meeting at which it was to have sought authority to raise cash to double its stake to 20% in Helium One, a company that has made a helium discovery in western Tanzania.

Solo's board said May 23 it will instead focus on its existing investments, including its 25% stake in the Ntorya gas condensate discovery in Tanzania, the UK Horse Hill oil find and its initial 10% stake in Helium One. Of the latter which it agreed to buy in March, Solo insisted this is "a core investment ...with significant potential upside" and that it would continue to play an important role in supporting Helium One with its plans in Tanzania.

Solo's board said it expects shortly to publish 2016 accounts and its annual report, and to call an AGM at which it would outline future investment plans. Solo's main asset is a 7.175% stake in the gas-producing Kiliwani North field, which is producing less than originally expected. Both that and Ntorya are on the Tanzanian coast, a long way from Helium One's operations.

Mark Smedley