Helium One Global Ltd (AIM:HE1, OTCQB:HLOGF) told investors that it has confirmed free gas at the Jackson-2 well, at the Galactica project in Colorado.
The well was drilled down to a total depth of 1,232ft, and flowed naturally during drilling and at total depth.
Wireline logs identified 73ft of gas-saturated sands with porosity of 22–26% in the Upper Lyons Sandstone Formation. No water was found during drilling. Gas samples have been taken for helium and CO2 analysis.
The well head is being installed to enable pressure readings, further sampling and flow testing.
"This has been a very successful development campaign to date, and Jackson-2 is the fifth well to have been drilled,” chief executive Lorna Blaisse said in a statement.
“Based on these wells coming in as expected, with consistently good flow rates and helium concentrations across the Galactica project, we will continue with the campaign and drill the sixth and final well of this campaign at State-9, which is expected to commence shortly.”
Blue Star Helium, Helium One’s partner and the project operator, will now determine timings for the next phase, which will include the installation of processing facilities and the tie-in of newly drilled wells.