REG - Helium One Global Ld - Galactica-Pegasus Project Update

Helium One GlobalAnnouncement

15/11/2024 07:00

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RNS Number : 4110M  Helium One Global Ltd  15 November 2024

15 November 2024

 

 

Helium One Global Ltd

("Helium One" or "the Company")

 

Galactica-Pegasus Project Update

Helium One Global (AIM: HE1), the primary helium explorer in Tanzania, is
pleased to provide the following update on the Galactica-Pegasus project
in Las Animas County, Colorado, USA ("the Galactica Project") operated by
Blue Star Helium (ASX: BNL) ("Blue Star"). The Company completed a Farm-in
Agreement with Blue Star on 4 November 2024.

Highlights

·    Colorado Energy and Carbon Management Commission ("ECMC") has
approved permits to drill five additional helium development wells at the
Galactica/Pegasus project

·    The five additional wells, together with the successful State 16
well, which is suspended ahead of tie-in to production, are expected to form
part of the initial gas gathering into the Galactica helium production
facility

·    Drilling planned to start Q4 2024

 

Lorna Blaisse, Chief Executive Officer, commented:

"These approvals enable the drilling phase to commence, and we very much look
forward to entering this partnership with the Blue Star team and starting this
exciting drilling programme this quarter."

 

Galactica-Pegasus drilling permits approved

The Colorado ECMC has granted permits to drill five additional helium
development wells (Jackson-27 SWSE, Jackson-31 SENW, Jackson-29 SWNW,
Jackson-2 L4 and Jackson-4 L4) at the Galactica/Pegasus project.  Drilling is
planned to start this quarter.

These wells are located on Galactical Pegasus OGDP I (see RNS release dated
17 October 2024, Five Additional Helium Well Locations Approved
Galactica-Pegasus). The wells are shown on the map below.

The newly approved wells are located to the south and southwest of the
successful State-16 development well, which is suspended for tie into
production, and are expected, together with State-16, to form part of the
initial gas gathering into the Galactica helium production facility which Blue
Star is developing with the Company.

Currently, Blue Star has one completed development well waiting for tie-in to
production and an inventory of fifteen helium development well locations
approved at Galactica/Pegasus including Form 2 approvals for the drilling for
eight development wells including those the subject of this announcement plus
State-09, -35 and -36 helium development wells.

Historic Galactica/Pegasus previous drilling

Blue Star had a successful exploration campaign at the Galactica and Pegasus
prospects (JXSN wells) followed by the first successful development well,
State16 which was drilled in June 2024.

Independent engineering consultants advised Blue Star that State-16 is capable
of a maximum rate of 441 thousand standard cubic feet per day ("Mscf/d") with
more stabilised rates constrained for production optimisation projected to be
between 250 Mscf/d and 350 Mscf/d.  The well tested 1.9% helium and logs
identified 96+ feet of gas column in the Lyons Sandstone.

Four wells (JXSN#1 - JXSN#4) drilled across the two prospects resulted in four
discoveries with gas bearing columns of up to 230 feet and helium content up
to 6% and flow rates as high as 412 Mscf/d.

The third-party owned Red Rocks helium project adjoins Blue Star's Galactica
project (see map above). Red Rocks produces raw gas into an IACX-operated
helium recovery plant and sells helium gas into the market.  Development and
operation of Red Rocks further supports the positive outlook for the Galactica
project.

 

 

For further information please visit the Company's website: www.helium-one.com
(http://www.helium-one.com)

 

Contact

 Helium One Global Ltd                                         +44 20 7920 3150

 Lorna Blaisse, CEO

 Graham Jacobs, Finance and Commercial Director

 Panmure Liberum Limited (Nominated Adviser and Joint Broker)  +44 20 3100 2000

 Scott Mathieson

 Nikhil Varghese

 Zeus Capital Limited (Joint Broker)                           +44 20 3829 5000

 Simon Johnson

 Louisa Waddell

 Tavistock (Financial PR)                                      +44 20 7920 3150

 Nick Elwes

 Tara Vivian-Neal

 

 

Notes to Editors

Helium One Global, the AIM-listed Tanzanian explorer, holds prospecting
licences across two distinct project areas, with the potential to become a
strategic player in resolving a supply-constrained helium market.

The Rukwa and Eyasi projects are located within rift basins on the margin of
the Tanzanian Craton in the north and southwest of the country. These assets
lie near surface seeps with helium concentrations ranging up to 10.4% helium
by volume. All Helium One's licences are held on a 100% equity basis.

The Company's flagship southern Rukwa Project is located within the southern
Rukwa Rift Basin covering 1,664km(2) in south-west Tanzania.  This project is
considered to be entering an appraisal stage following the success of the
2023/24 exploration drilling campaign, which proved a helium discovery at
Itumbula West-1 and, following an extended well test, successfully flowed 5.5%
helium continually to surface in Q3 2024.

Following the success of the extended well test, the Company has now flowed
significant quantities of helium to surface and has filed a Mining Licence
application with the Mining Commission of the Tanzanian Government.

The Company also owns a 50% working interest in the Galactica-Pegasus helium
development project in Las Animas County, Colorado, USA. This project is
operated by Blue Star Helium Ltd (ASX: BNL).

Helium One is listed on the AIM market of the London Stock Exchange with the
ticker of HE1 and on the OTCQB in the United States with the ticker HLOGF.

 

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