LONDON (ShareCast) - (Sharecast News) - Helium One confirmed the presence of free gas at the State-9 development well on Tuesday - part of the Galactica-Pegasus helium project in Colorado, where it holds a 50% working interest.
The AIM-traded firm said the well was successfully drilled to a total depth of 1,225 feet, encountering 60 feet of gas-saturated, high-quality sandstone in the Upper Lyons Sandstone Formation.

Wireline logging confirmed free gas, and no water was encountered during drilling.

The well flowed naturally both during drilling and at total depth, indicating good reservoir communication.

Early gas samples were collected for laboratory analysis of helium and carbon dioxide concentrations, although initial readings would require correction due to air-drilling contamination.

The well head was now being installed in preparation for surface pressure monitoring and full flow testing.

If successful, State-9 was expected to be completed and tied into production infrastructure, with the drilling rig since demobilised.

The company said the Galactica project, jointly developed with Blue Star Helium, is part of a broader helium development in the region.

Under the farm-in agreement, Helium One was funding the first $0.45m of the well.

The company said results from State-9 supported the potential commercialisation of the project, located adjacent to the third-party owned Red Rocks helium development.

At 1357 BST, shares in Helium One Global were down 1.54% at 0.82p.

Reporting by Josh White for Sharecast.com.

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