Blue Star Helium Ltd (ASX:BNL, OTC:BSNLF) has delivered positive news after the Colorado Oil and Gas Conservation Commission (COGCC) approved the Oil and Gas Development Plan (OGDP) relating to two proposed helium development wells (BBB 33 and BBB 34) at the Voyager Project in Las Animas County.
The approval will enable BNL to submit the final Form 2s in respect of the two wells, which the company will then drill as offset development wells to the BBB#1 helium discovery.
BBB 33 and BBB 34 are expected to produce into the planned Voyager processing facility and are targeted for first helium product gas output during the second half of 2023.
The location of these initial development wells at Voyager is shown below.
Permitting continues to progress
The table below outlines the current status of BNL’s helium development well-permitting activities in Las Animas.
Why BNL is chasing helium
BNL is an independent helium exploration and production company, with a strategy to find and develop new supplies of low-cost, high-grade helium in North America.
Due to its unique chemical and physical qualities, helium is a vital element in the manufacture of MRIs and semiconductors and is critical for fibre optic cable manufacturing, hard disc manufacture and cooling, space exploration, rocketry, lifting and high-level science.
There is no way of manufacturing helium artificially and most of the world’s reserves have been derived as a byproduct of the extraction of natural hydrocarbon gas.