Last checked at 8 Jan 2024 07:00
08 January 2024
Helium One Global Ltd
("Helium One" or "the Company")
Itumbula West-1 Commencement of Drilling
Helium One Global (AIM: HE1), the primary helium explorer in Tanzania, is pleased to announce that drilling at the Itumbula West-1 well commenced on 06 January 2024.
Highlights
· Drilling has commenced at the Itumbula West-1 well
· Targeting two major fault zones and the Karoo Group
· Geolog undertaking mudlogging whilst drilling to monitor helium gas shows
· Portable mass spectrometer and field pressure-volume-temperature specialist on site to measure and validate helium gas shows as well as downhole samples
· Downhole reservoir testing equipment has been mobilised internationally to perform open hole well testing and fully evaluate the fault zones
· Baker Hughes, energy technology company, continue to provide third party services for wireline, fluids and cementing
· Part relinquishment of Prospecting Licence ("PL") 10704/2015 in the Balangida Rift Basin, following an internal license review completed earlier last year, now ratified by Tanzanian Government
Background and further information
Following the successful instalment of the new iron rough neck and completion of the hydraulic repairs, the Itumbula West-1 well was successfully spudded on 06 January 2024. The Company is currently cementing the 20" conductor ahead of drilling the 17.5" hole section.
Following the drilling of the Tai-3 well and acquisition of valuable data, the two primary objectives of this well are to target and evaluate the fault system as well as the conventional Karoo play, both of which are anticipated to yield helium. Therefore, in addition to the conventional mudlogging and wireline procedures that were undertaken on Tai-3, the Company also aims to perform an open hole well test in both the fault zones and Karoo targets on Itumbula West-1. Whilst drilling, the Company will be measuring gas shows using Geolog's mudlogging services and a portable mass spectrometer.
Once the wireline logs have been run and evaluated, the Company will also have the option to take downhole samples under reservoir conditions using Baker Hughes' Reservoir Characterisation Instrument tool. The Company will be able to transfer and evaluate these samples onsite, as well as sending duplicate samples for laboratory analyses at a leading noble gas laboratory.
The whole process from spud to completion of logs and well testing is expected to take approximately four to five weeks.
The Company continues to engage with the University of Dar es Salaam, who have appointed a member of staff from their Department of Geosciences to be involved with this well in order to gain valuable experience in what continues to be a flagship project in Tanzania.
Licence update
Following a license review early last year, the Company applied for a part relinquishment of PL 10704/2015 in the Balangida Rift Basin. The 125km2 area selected for relinquishment was based on the following:
· area with no, or poorly, defined exploration leads; and
· area on outcropping basement i.e. no sediment fill and therefore deemed to be non-prospective
This part relinquishment has recently been ratified by the Tanzania Mining Commission and the area retained is based upon the following criteria:
· a prospective area supported by gravity-magnetic data, known surface helium seeps, multispectral satellite spectroscopy data and soil gas surveys
Helium One now holds a PL footprint in the Balangida Rift Basin totalling 134km2. All other PLs remain unchanged. Total area of PLs now held by Helium One Global is 2,840km2 .
Lorna Blaisse, Chief Executive Officer, commented:
"We are delighted to have spudded the Itumbula West-1 well. This prospect demonstrates the potential to yield some positive results and, having the ability to both drill and test a fault play, provides us with every opportunity of giving it the best chance of a successful outcome. We look forward to making further announcements in due course as we drill, log and test the well."
For further information please visit the Company's website: www.helium-one.com
Contact
Helium One Global Ltd Lorna Blaisse, CEO | +44 20 7920 3150 |
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Liberum Capital Limited (Nominated Adviser and Joint Broker) Scott Mathieson Ed Thomas Nikhil Varghese | +44 20 3100 2000 |
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Peterhouse Capital Limited (Joint Broker) Lucy Williams | +44 20 7220 9792 |
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Tavistock (Financial PR) Nick Elwes Tara Vivian - Neal | +44 20 7920 3150
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Notes to Editors
Helium One Global, the AIM-listed Tanzanian explorer, holds prospecting licences totalling more than 2,840km2 across three distinct project areas, with the potential to become a strategic player in resolving a supply-constrained helium market.
The Rukwa, Balangida, and Eyasi projects are located within rift basins on the margin of the Tanzanian Craton in the north and southwest of the country. The assets lie near surface seeps with helium concentrations ranging up to 10.6% He by volume. All Helium One's licences are held on a 100% equity basis and are in close proximity to the required infrastructure.
The Company's flagship Rukwa Project is located within the Rukwa Rift Basin covering 1,900km2 in south-west Tanzania. The project is considered to be an advanced exploration project with leads and prospects defined by a subsurface database including multispectral satellite spectroscopy, airborne gravity gradiometry, 2D seismic data, and QEMSCAN analysis. The Rukwa Project has been de-risked by the 2021 drilling campaign, which identified reservoir and seal with multiple prospective intervals from basin to near surface within a working helium system.
Helium One is listed on the AIM market of the London Stock Exchange with the ticker of HE1 and on the OTCQB in the United States with the ticker HLOGF.