Helium One reports progress at Colorado helium project

Published 01/04/2025, 07:10
Helium One reports progress at Colorado helium project

DENVER - Helium One Global Ltd (LON:HE1H) (AIM: HE1) has announced encouraging flow testing and gas sampling results from its Jackson-4 well, part of the Galactica-Pegasus helium development project in Colorado, USA. The company, which holds a 50% working interest in the project, detailed that the well has demonstrated increasing natural gas flow rates, reaching approximately 190 thousand cubic feet per day (Mcfd).

The well, which reached a total depth (TD) of 1,260 feet, encountered the Lyons Sandstone Formation at 1,198 feet. Notably, no water was encountered during drilling, and wireline logs confirmed the penetrated reservoir to be high-quality and gas saturated. Post-testing pressure build-up suggests high permeability and good reservoir communication.

Projected stabilized flow rates are expected to be between 250 to 350 Mcfd for production optimization, with a maximum potential rate of 450 Mcfd. Initial laboratory analysis of gas samples from the well showed helium concentrations up to 1.18% and 85.93% CO2, which aligns with the company’s expectations. The high CO2 concentration is particularly significant for the project’s beverage-grade CO2 production, which requires consistent CO2 feed for optimal plant throughput.

An independent engineering analysis compared results from the Jackson-4 well with data from other wells in the project and adjacent developments. It concluded that calculated permeabilities suggest initial flow rates at 6 pounds per square inch absolute (psia) wellhead pressure of 334 to 780 Mcfd. The analysis also indicated that for a well with 405 millidarcies (mD) permeability, stabilized initial flow rates constrained for production would be 250 to 350 Mcfd, with a maximum of 441 Mcfd.

The Jackson-4 well’s natural flow rate compares favorably to the State-16 well, which showed a sustained natural flow rate of 150 Mcfd. Given the higher natural flow at Jackson-4, the projected potential stabilized flow rates are expected to be on the higher end of the range.

Helium One Global Ltd is also involved in helium exploration in Tanzania, holding prospecting licenses in two project areas. The company’s success in the 2023/24 exploration drilling campaign at its Rukwa Project led to a helium discovery, and a Mining License application was accepted in March 2025.

This update is based on a press release statement from Helium One Global Ltd and reflects the company’s ongoing developments in helium exploration and production.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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