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- Blue Star Helium (BNL) announces an approval hearing date has been set for July 19 regarding four helium well applications at the Galactica and Pegasus prospects in Colorado
- The initial four-well drilling program will follow up on the recently announced helium discoveries which uncovered concentrations up to 3.14 per cent
- Subject to final permitting, Blue Star expects to drill all four wells across the two prospects in the second half of 2022
- Additionally, the “breakthrough success” of the BBB#1 exploratory water well at the Voyager prospect prompted the company to fastrack follow-up drilling campaigns
- BNL shares are up 3.33 per cent and trading at 3.1 cents at 12:52 pm AEST.
Blue Star Helium (BNL) has provided an update on its helium well permitting at its Galactica/Pegasus and Voyager helium prospects in Las Animas County, Colorado.
The company is planning a drilling program for four initial helium well locations at the Galactica and Pegasus prospects.
A date has been set by the Colorado Oil and Gas Conservation Commission (COGCC) for an approval hearing on July 19.
The company will lodge permits to drill in respect of each well after receiving approval at the hearing.
Blue Star expects the well locations may deliver rapid follow-up appraisal and targeted development of the helium discoveries announced last week at the Galactica and Pegasus prospects with helium concentrations up to 3.14 per cent.
Subject to final permitting, Blue Star expects to drill all four wells at Galactica/Pegasus in the second half of 2022.
Additionally, the company engaged consulting engineers, SIGIT, to commence a second front-end engineering and design (FEED) study for a facility located in the east servicing the Galactica, Pegasus and Serenity prospects.
Independent resource consultant Sproule has also been engaged to update the Galactica/Pegasus resource following the recent discoveries, with a declaration of at least contingent resources expected.
The Voyager prospect has also been fast tracked for development after the breakthrough success of the BBB#1 exploratory water well. BBB#1 returned a 134-feet gas column in the Lyons formation with a calculated air-free helium concentration of 8.8 per cent.
Two appraisal and development well locations, offsetting the BBB#1 helium discovery, have now been submitted, with a further three well location applications expected to be submitted in the next few weeks.
BNL shares were up 3.33 per cent and trading at 3.1 cents at 12:52 pm AEST.
