HyTerra has picked Murfin to start drilling from 16 September. Pic: Getty Images
HyTerra selects contractor for hydrogen, helium drilling at Nemaha
Energy
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- HyTerra selects Murfin Drilling Company to drill hydrogen, helium wells at Nemaha
- Murfin is an experienced drill contractor that has drilled over 20,000 wells
- Planned wells will drill deeper than historical wells to test predicted primary targets with better potential
Special Report: HyTerra is yet another step closer to unlocking the potential of its Nemaha natural hydrogen and helium field after selecting Murfin Drilling Company as its drill contractor.
Murfin was founded in 1926 and is one of the leading drill companies in the US Midwest with the drilling of more than 20,000 wells under its belt.
It has been contracted by HyTerra (ASX:HYT) to start drilling operations on or before September 16.
To date, the company has received permits to drill for the Sue Duroche 3 and Blythe 13-20 wells though more permits to drill are being prepared for other hydrogen and helium prospects.
HYT is also developing drilling plans for the two well locations and has received vendor bids for the main operational services to update well cost estimates.
Should the company find naturally occurring hydrogen – also known as white hydrogen – in commercial quantities at the 12,720 acre Nemaha project, it is likely to be able to find offtakers as it sits within a major industrial and manufacturing hub between Kansas City and Wichita.
That hub produces over 35% of the US’ ammonia, which is a compound of hydrogen and nitrogen.
“Murfin are widely recognised as the largest drilling and well services contractor in Kansas and we are very pleased to be working with a top-tier partner,” executive director Avon McIntyre said.
“The historical hydrogen and helium occurrences only tested the upper parts of the prognosed hydrogen and helium system and therefore we need to drill deeper into the rocks below which we predict are the primary targets with better geological properties for hydrogen and helium.”
Well objectives
Blythe 13-20 is intended to confirm the hydrogen occurrence observed in the Scott 1 well in Morris County that was drilled in 1982 and reported up to 56% hydrogen.
It will be drilled deeper into untested formations, including fractured Precambrian Basement rocks.
Of particular interest is the Pre-Pennsylvanian sedimentary section within which multiple reservoir and seal rocks are present and are proven to be effective traps across Central and Southern US.
The fractured basement section in this well may also be prospective for helium, a rare and valuable gas that commands a premium price thanks to its often irreplaceable uses in semiconductor manufacturing, nuclear energy production, solar panels, optic fibre and the cooling of superconducting magnets in MRI scanning machines.
Meanwhile, Sue Duroche 3 will seek to confirm historical hydrogen and helium observed in Sue Duroche 2, which was drilled in 2009. It will test the deeper potential of the fractured Precambrian Basement at this location.
This article was developed in collaboration with HyTerra, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
