HeLIX Exploration PLC (AIM:HEX) CEO Bo Sears joined Steve Darling from Proactive to share news regarding the company’s commercial helium discovery at the Darwin #1 well, part of the Rudyard Project in Montana. The well has confirmed significant helium production potential, marking a major milestone for the company.
Darwin #1 was perforated across 280 feet, testing a combined flow from the Souris, Red River, and Dry Creek reservoir horizons. The discovery revealed high-grade helium at 1.1% concentration in a nitrogen mix, with commercial flow rates sustained at 2,750 Mcf/d (thousand cubic feet per day) of raw gas through a 40/64” choke. The Absolute Open Flow (AOF) is estimated to be up to 5,000 Mcf/d.
According to Sears, the Rudyard field has the potential to support multiple production wells, each capable of generating pre-tax cash flow of approximately $4 million annually, based on a helium price of $500/Mcf. The company is set to fast-track low-cost production, leveraging the region’s favourable gas composition and existing infrastructure, including power, roads, and rail.
With two helium discoveries from two wells drilled in 2024 and additional drilling results pending, Helix Exploration is well-positioned to capitalise on its recent successes and expand its operations in the helium market.