Helium One Global Ltd (AIM:HE1, OTCQB:HLOGF) chief exective Lorna Blaisse said downhole well testing has "clearly confirmed" the presence of a producing helium province in the Rukwa Rift Basin in Tanzania.
Results from the Itumbula West-1 well achieved a high helium flow to the surface, with concentrations reaching up to 4.7%, a figure nearly nine thousand times above background levels. Additionally, hydrogen was detected at a concentration of 2.2%, significantly surpassing background levels as well.
"This drilling campaign has been a huge success for both the company and for Tanzania," said Blaisse.
Completion of the Itumbula West-1 well involved comprehensive wireline logging and drill stem testing (DST) operations. These processes were instrumental in identifying fault and fracture zones, aiding in the selection of optimal well test intervals. The findings from downhole fluid samples, analysed on-site, confirmed the presence of elevated helium levels, with further analyses planned through duplicate samples sent to a secondary laboratory.
The project encountered hot Basement fluids with temperatures exceeding 80°C across fault zones, indicative of a low enthalpy geothermal system and helium and hydrogen-prone intervals. Following these promising data, the well will be cased and suspended as Helium One Global evaluates the data to advance the project effectively.
CEO Blaisse said information yielded from the previous Tai-3 well provided invaluable additional subsurface information and how the helium system works.
"By applying these findings, we adjusted our well location at Itumbula, and this has certainly yielded the results we were hoping for and justified that decision," she told investors.
"Flowing helium to surface in such high concentrations is a huge milestone for the company and we will now fully evaluate these results and focus on advancing this project in the most effective way possible; one that will aim to achieve commerciality at the earliest opportunity."