2022-03-15 02:47 ET - News Release
Mr. Robert Price reports
TOTAL HELIUM ANNOUNCES FIRST SALES OF HELIUM AND METHANE
Total Helium Ltd. has started its first helium and methane sales, and has provided further updates on its operations at its project in western Kansas, where it aims to extend the Hugoton gas field, the largest conventional onshore natural gas and helium field in North America.
Helium and methane sales started from Miller 9D
Production well Miller 9D has been drilled and completed, including the submersible pump installation, and is connected to a sales pipeline.
During the dewatering process, the helium and methane amount has been steadily increasing from a beginning rate of 20,000 cubic feet per day to its current rate of 300,000 cubic feet per day. As the reservoir continues to dewater, the rate is expected to significantly increase in line with Total Helium's initial expectations and reservoir modelling.
Log analysis shows a total pay thickness of 143 feet with good porosity and permeability. Gas analysis from the well shows 0.58-per-cent-helium and 61.01-per-cent-methane concentrations alongside 3.09 gallons per thousand cubic feet of natural gas liquids present in the gas stream. The produced helium and methane are currently being sold at advantageous prices, $212 per thousand cubic feet for helium, current spot prices of greater than $5 per thousand cubic feet for methane and greater than $1.30 per gallon for propane.
First operational disposal well: Miller 9C
Miller 9C has been drilled and completed. The well is operational and receiving produced water from the Miller 9D well.
Completion of Boltz 35B
The production testing for the well is being conducted in two stages. As part of the first stage, the experimental lower zone was stimulated first. Total Helium is now preparing the stimulation of original target upper zones, which are similar to the Miller 9D well. The production from all zones is expected in the coming month.
Acreage update
Total Helium announces that it has acquired close to approximately 30,000 additional acres in western Kansas at its project area. The total acreage amount for Total Helium's lease position now equals approximately 115,000 acres. Total Helium expects to be able to drill and produce up to 180 wells on its acreage holding based on one well every 640 acres, with the possibility for additional infill wells.
Total Helium is a helium exploration, production and storage solution company which is drilling and producing its first wells in western Kansas, where it plans to extend the largest continuous conventional natural gas and helium field in North America, the Hugoton gas field. The company is also establishing underground helium storage facility with its industrial gas partner nearby existing North American helium infrastructure.