Helium One to acquire 50% stake in Blue Star Helium’s Colorado project

HeliumOne Global has signed a deal to acquire a 50% stake in Blue Star Helium’sGalactica-Pegasus project in Colorado to expand its geographic footprint in thehelium market.

Locatedin the helium fairway of Las Animas County, the Blue Star Helium site isprojected to produce both helium and carbon dioxide (CO2).

BlueStar Helium has previously confirmed that the Galactica project containsconfirmed discovery wells in the region flowing up to 6% helium and an averageof 3%.

Theinitial programme, which has been funded by a capital raise, will require thedrilling of six development wells, planned for Q4 2024. The initial wells areexpected to be onstream and producing in the first half of 2025.

Fulldevelopment of the programme for the Galactica project will require thedrilling and tie-back of 15 wells, as well as the commissioning of relevanthelium and CO2 processing equipment.

LornaBlaisse, CEO of Helium One, says she is excited to energy into the partnershipthat will allow the company to expand its global footprint in the heliumsector.

“Ourprimary projects in Tanzania remain our primary focus, but this developmentopportunity enables the company to potentially secure near-term cash flow toaid with progressing our Tanzanian asset.”

“Welook forward to working with Blue Star in this new partnership and aim to drawon our learnings from another proven helium play in order to extend ourknowledge to this new play as we advance towards producing assets.”

Source:gasworld