REG - Helix Exploration - Clink #1 Operational Update

Helix ExplorationAnnouncement

03/09/2024 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240903:nRSC6161Ca&default-theme=true

RNS Number : 6161C  Helix Exploration PLC  03 September 2024

3 September 2024

Helix Exploration PLC

("Helix Exploration" or "Helix" or the "Company")

 

Clink #1 Operational Update

 

Helix Exploration, the helium exploration and development company focused on
helium deposits within the 'Montana Helium Fairway', provides an operational
update on the Clink #1 well at the Ingomar Dome Project where significant
shows of helium and hydrogen gas from the Amsden, Charles, and Flathead
sandstone formations have been encountered.

 

Activities at the Clink #1 well will pause for a period of circa one month
whilst mobilising a rig to set intermediate casing over the Mowry shale at
~2,100 feet.

 

The Clink #1 well reached Target Depth ("TD") of 8,030ft (~2,450m) at 11:15
MST on 23 August 2024.  While preparing the hole for wireline logging, the
rig encountered caving with the Mowry shale from ~2,100 feet onwards which
compromised the stability of the wellbore.  Stability issues in the Mowry
shale had not been seen in any surrounding wellbores, including Hillison #1.

 

The Mowry formation will require an intermediate 7" casing to be rotated
through the shale section, allowing the Company to re-enter and test the lower
parts of the well where a helium system has been identified.  Casing
operations will therefore require a different rig to handle 7" casing, which
may take approximately a month to source and mobilise. The Company remains
fully funded for operations, including mobilisation of a rig to insert
intermediate casing over the Mowry.

 

The well has been secured with a cement plug and retrievable packer until it
can be completed.  The Company will keep the market informed with a
definitive forward timeline as soon as possible.

 

Bo Sears, CEO of Helix Exploration, said:

 

"Although frustrating that the completion and appraisal of Clink #1 has been
delayed, we are very pleased with the results from the well to date.  The mud
log revealed reservoir quality strata with positive helium results. Clink #1
appears to be a good well with a bad shallow interval which has complicated
our completion.  However, the well proves the presence of helium within all
our target reservoir horizons.

 

"The Clink #1 well has also demonstrated the presence of geological hydrogen
within the deeper, Cambrian, sandstones.  Hydrogen grades increased towards
Total Depth, which was called at 8,030ft while apparently still in gas and
without reaching basement.

 

"The Company remains fully funded for operations, including mobilisation of a
rig to insert intermediate casing over the Mowry, and drilling of an appraisal
well at Rudyard.  We look forward to completing and testing the Clink #1 well
as soon as possible."

 

This announcement contains inside information for the purposes of the UK
Market Abuse Regulation and the Directors of the Company are responsible for
the release of this announcement.

 

Enquiries

 

Helix Exploration

 Bo Sears       via Camarco
 David Minchin  info@helixexploration.com (mailto:info@helixexploration.com)

Cairn - Nominated Adviser

 Liam Murray          +44 (0)20 7213 0880
 Ludovico Lazzaretti
 James Western

 

Hannam & Partners - Joint Broker

 Neil Passmore              +44 (0)20 7907 8502
 Andy Crispin
 Spencer Mignot

 SI Capital - Joint Broker
 Nick Emerson               +44 (0)14 8341 3500
 Renato Rufus
 Nick Briers

 

OAK Securities - Joint Broker

 Jerry Keen   +44 (0)20 3973 3678
 Henry Clark

Camarco - Financial PR

 Emily Hall     +44 (0)20 3757 4980
 Tilly Butcher  helixexploration@camarco.co.uk (mailto:helixexploration@camarco.co.uk)

 Billy Clegg

 

Notes to Editors

 

Helix Exploration is a helium exploration company focused on the exploration
and development of helium deposits within the 'Montana Helium Fairway'.
Founded by industry experts with extensive experience of helium systems in the
US, the Company's assets comprise of 52 leases over the Ingomar Dome; a large
closure of 16,512 acres with P50 unrisked gross prospective helium resource of
2.3Bcf and upside of 6.7Bcf. Historic drilling and/or testing has identified
gas in all target reservoir horizons.  The Company's second asset is 5,600
acres in Rudyard, Montana, where a helium discovery at up to 1.3%He has been
made within the closure from historic drilling adjacent to the leases.
Rudyard has P50 gross contingent helium resources of 482,000Mcf in two stacked
reservoirs with a further 112,000Mcf of gross prospective helium resource
within untested horizons.

 

Helix Exploration is focussed on drilling and early production at the Ingomar
Dome and Rudyard Projects.  An aggressive development timeline has seen
drilling commence in Q3 2024, with first helium production targeted for Q4
2025.  Helix is committed to open and transparent communication with
investors and the wider market as the project progresses through development.

 

The Company's Admission Document, and other information required pursuant to
AIM Rule 26, is available on the Company's website at
https://www.helixexploration.com/ (https://www.helixexploration.com/) .

 

 

Caution regarding forward looking statements

 

Certain statements in this announcement, are, or may be deemed to be, forward
looking statements. Forward looking statements are identified by their use of
terms and phrases such as ''believe'', ''could'', "should" ''envisage'',
''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect",
''will'' or the negative of those, variations or comparable expressions,
including references to assumptions. These forward-looking statements are not
based on historical facts but rather on the Directors' current expectations
and assumptions regarding the Company's future growth, results of operations,
performance, future capital and other expenditures (including the amount,
nature and sources of funding thereof), competitive advantages, business
prospects and opportunities. Such forward looking statements reflect the
Directors' current beliefs and assumptions and are based on information
currently available to the Directors.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDFFFIIASIFIIS