Blue Star has put the official stamp on its fourth exploration well in the Galactica/Pegasus field in Colorado’s Las Animas county as a high helium concentration discovery.

JXSN#4 intersected a 235.5ft (71.8m) gas column with 133.5ft of net pay across the Upper and Lower Lyons sands.

Importantly, comingled gas samples which are most representative of reservoir gas from the two sands, returned calculated air-free helium of 6.06% – nearly double the 3.14% helium content of the JXSN#2 discovery.

The result is encouraging for Blue Star Helium (ASX:BNL), which has seven proposed development wells now in advanced stages of permitting to follow-up on the four helium discoveries.

The well flowed at 124,600 cubic feet of gas to surface during drilling and sampling though no long-term flow testing and clean-up was attempted due to it being drilled only for structural, stratigraphic and helium compositional data. The well did however show the same shut-in pressures as the other JXSN discovery wells which flowed at 202 and 412 Mcfd.

Galactica/Pegasus shaping up for development

The latest result is in line with the three previous discovery wells at Galactica/Pegasus and lays the stage for the company to commence its development plans.

Managing director Trent Spry noted that the wells provide the structural and stratigraphic control and high helium reservoir gas composition for the planned offsetting development wells which are well advanced.

“The results of this well will be integrated into current resource update process for Galactica/Pegasus which is expected to culminate in the declaration of contingent resources for this field,” he added.

 

 

 

This article was developed in collaboration with Blue Star Helium, 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.

 

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