Helium One Global Ltd (AIM:HE1, OTCQB:HLOGF) told investors it has the green light for its planned drilling at the Galactica-Pegasus project in Las Animas County, Colorado.
Colorado’s Energy and Carbon Management Commission (ECMC) has approved permits for the drilling of five additional helium development wells at the project.
The new wells will form part of the initial gas gathering system alongside the State-16 well, which was been suspended ahead of the tie-in to production.
Drilling operations are scheduled to begin in the fourth quarter of 2024.
The State-16 well, drilled in June 2024, is estimated to produce 250–350 thousand standard cubic feet per day (Mscf/d), with a helium concentration of 1.9%.
The Galactica-Pegasus now has 15 approved helium development well locations, including the five just permitted.
"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,” chief executive Lorna Blaisse said in a statement.