Post by
Margin321 on May 23, 2024 5:52am
Some comments from someone who was on the well site visit
Here is a post from another board from another person who was on the site visit with me. Just to give you their take. I was there too and put a few comments in brackets. The site visit was to observe setting the well up for production and doing an initial venting of the well. The video that has been published was obtained on May 22 at that visit. The actual flow tests began today May 23 and will be done and results reported in two weeks.
Site visit was interesting if wet some issues with the packer slowed things down so we stood around in the rain for a few hours. [lots to watch]
Leaning toward drilling a step out well but no decision has been made.
Power is available 10 miles away and needs to be 3 phase low voltage.
Existing roads a single lane gravel. New roads will need to be constructed for operations [Forest service road, Only partly gravel, rest more primitive. Choices to upgrade that or build new shorter access road]
Currently planing to process/purify on site. [will purify, load onto trucks, then take to liquification facility, probably to be built in Duluth, about 2 hours away. From there easy to ship anywhere]
Hope to build and operate the plant in house for the foreseeable future. [rather than sell the project once proven and evaluated for resource size].
Estimate of 24 months from decision to plant operations
If liquefied He is produced it will be off site with better access to power and personnel
Mn governor signed a bill to push for development of regulations. Interm Jan 25. Final in 2026 some time.
Government Royalties set at 18%
Any questions regarding production were politely avoided
Some pressure test results in two weeks or so
Resource calculations end of July
And finally a fun fact. There is a new unused helium liquefaction plan in the state [New Prague MN] looking for a new home. Built for Russia but for now it is sitting in a warehouse [because of embargo related to Ukraine it cannot to sold to Russia do it is a bit stranded. Probably would cost 30 million. The processing/purification plant on site plus additional facilities and upgrades to road and infrastructue might cost 20-30 million - my guess ]