Helium One Global Ltd (AIM:HE1, OTCQB:HLOGF) said drilling at its Galactica-Pegasus development project in Colorado, US, has been suspended until the New Year due to severe weather conditions.
Operator Blue Star Helium Ltd (ASX:BNL, OTC:BSNLF) said ground conditions currently won’t allow construction of well sites or access to roads at Galactica locations.
Assuming the weather allows, Blue Star has rescheduled the start of drilling for mid-January to avoid standby costs over the Christmas period.
Helium One, which has a 50% interest in the Galactica project, added it does not expect the delay to the start of drilling to affect the overall project development timeline or targeted production commencement, which remains for the first half of 2025.
Work is advancing on the engineering related to CO2 removal, purification and sale prior to helium processing via the IACX helium recovery unit, Helium One added.