Helix Exploration PLC (AIM:HEX, OTCQB:HHEXF) has reported positive results from wireline logging at its Inez-1 well in the Rudyard Field, ahead of more detailed testing next month.
The company announced that logging and casing operations were now complete, after the well encountered 140 ft of reservoir, in the Souris and Red River formations.
Gas indicators were seen throughout the section based on neutron-density porosity crossover, it added.
Wireline data shows a strong correlation with the Linda-1 production well, which is located two miles to the north.
Well testing is expected to start in early August.
Bo Sears, CEO of Helix Exploration, described the wireline data as "extremely encouraging".
He added: "Importantly, the wireline characteristics are similar to Linda-1, which is located two miles to the north in the same Field. While log correlation does not guarantee similar test outcomes, it provides a basis for further testing ahead of planned flow and gas composition testing at Inez-1.”
At the same time, Helix reported construction progress at its plant site in Montana, where membranes and skid units are ready for testing.
Groundworks are nearly complete and cement pouring for the pad is due to begin, it added.