RENERGEN LIMITED
Incorporated in the Republic of South Africa
(Registration number: 2014/195093/06)
JSE Share code: REN
A2X Share code: REN
ISIN: ZAE000202610
LEI: 378900B1512179F35A69
Australian Business Number (ABN): 93 998 352 675
ASX Share code: RLT
("Renergen" or "the Company")
ANNOUNCEMENT REGARDING SHARE PRICE VOLATILITY
The Company would like to reinforce the following facts to address various news articles and
social media posts.
* The Phase 1 plant is producing LNG from its wells and is selling this LNG to its
customers.
* The Phase 1 plant is liquifying pure helium sourced from its wells. Regarding the
customer container, we are working out the best logistics solution to minimise time
frames and aim to be in a position to give an update in this regard in due course.
* The cold box is at temperature and liquefying helium as it should, the concentration of
helium in the wells is as originally planned for current wells.
* The cooling of the helium Iso-container remains ongoing, during this process pure
liquid helium produced from our wells is used to cool down the container. As the liquid
is introduced into the container, the liquid flashes (changes phase) into gaseous helium
and is re-entrained back into the helium module. The cycles repeat until the container
reaches temperature and is able to maintain liquid into the container and at this time
we cannot forecast when this will be achieved.
* The reason for an extended cool-down of this container is that our facility is currently
operating below nameplate capacity. The efficiency will be improved through the
additional drilling of wells to feed the facility and reach nameplate capacity, at which
point we overcome the physics constraints and inefficiencies of small-scale
liquefaction.
* At present, we entrain approximately 75 kg per day of helium into the system, and will
increase toward nameplate as additional wells are tied in and operating efficiency is
gained.
* Our liquid helium achieves purity of a minimum of 99.999% as verified by two
independent facilities, namely NECSA Laboratories a Subsidiary of NECSA South
African Nuclear Energy Corporation and Air Products.
* Our Helium expert remains in dialogue with the operations team and has advised that
our current cooldown for the ambient container is correct and the length of time to cool
this container down is normal given the current production rate but has indicated that
his preference for Tetra4 would always be to fill a cold container given our current
production capacity. Unfortunately, a cold container was not available during this
period.
* The Company is engaging with various parties to increase the number of wells feeding
the plant, to get the Phase 1 plant to nameplate. These discussions are progressing
well, with suppliers looking to entrench themselves further into the business with
Phase 2 in mind.
* As mentioned in the quarterly announcement released on 31 December 2024, the
Company has the ability to draw down on funding to the extent required.
* Shareholders are advised that the Company has not entered any business rescue
discussions.
Renergen cautions shareholders against making investment decisions based on speculation
and should rather base their decisions on formal communication from the Company.
Johannesburg
10 January 2025
Authorised by: Stefano Marani
Chief Executive Officer
Designated Advisor
PSG Capital
For all media relations, please contact:
investorrelations@renergen.co.za
For all US investors and media relations, please contact:
Georg Venturatos / Patrick Hall - Gateway Group, (949) 574-3860
Ren@gateway-grp.com
Date: 10-01-2025 03:45:00
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