Blue Star Helium Ltd (ASX:BNL, OTC:BSNLF) has made further progress towards planned drilling of the Enterprise 16#1 exploration well in the US with the Colorado Oil and Gas Conservation Commission (COGCC) approving the Form 2A OGDP application.
The outcome of an uncontested COGCC hearing held overnight was the receipt of approval for Form 2A Oil and Gas Development Plan (OGDP) application for the well in Las Animas County, Colorado.
This allows Blue Star to submit its final permit to drill (Form 2), which is expected to be done in the next few days.
Blue Star understands that approval for the final permit to drill is typically received within 30 days of its submission.
Drill planning
The company has planning for execution of the drilling at Enterprise 16#1 well underway and drilling is expected to begin promptly after receipt of the approved final permit.
Blue Star Helium is an independent helium exploration and production company, headquartered in Australia, with operations and exploration in North America.
The company's strategy is to find and develop new supplies of low-cost, high-grade helium in North America.
About Helium
Helium is a unique industrial gas that exhibits characteristics both of a bulk, commodity gas and of a high-value specialty gas and is considered a 'high tech' strategic element.
Due to its unique chemical and physical qualities, helium is a vital element in the manufacture of MRIs and semiconductors and is critical for fibre optic cable manufacturing, hard disc manufacture and cooling, space exploration, rocketry, lifting and high-level science.
There is no way of manufacturing helium artificially and most of the world’s reserves have been derived as a byproduct of the extraction of natural hydrocarbon gas.