Blue Star Helium strikes gas in sixth Galactica development well

• Blue Star Helium has completed its six well development drilling program at its Galactica project in Colorado
• The State 9 well intersected 60 feet of high-quality, gas-saturated Lyons Sandstone and is being completed for production
• Well flowed gas strongly during drilling and at total depth with no water encountered in the Lyons Sandstone

Special Report: Blue Star Helium has completed the sixth and final well in its development drilling program at the Galactica helium project in Las Animas county, Colorado.

The State 9 well was drilled to a total depth of 1225 feet (373.38m) and intersected 60ft of high-quality, gas-saturated Lyons Sandstone from a depth of 1165ft.

It flowed gas strongly during drilling and at total depth with wireline logs confirming that no water was encountered during drilling of the target Lyons Sandstone.

Gas samples have been sent to the laboratory for analysis of helium and carbon dioxide concentrations.

Watch: Blue Star Helium shoots for more flow rate success at Galactica gas

Blue Star Helium (ASX:BNL) is completing the wellhead installation ahead of surface pressure readings, flow testing and further gas sampling.

Once testing is completed, State 9 will be completed as a potential producer ready for tie-in to production facilities.

The well was drilled in joint venture with Helium One, which is funding the first US$450,000 ($693,193) of its cost under the farm-in agreement.

A significant milestone

BNL managing director Trent Spry said the company had accomplished a significant milestone by completing the sixth and final development well.

“The State 9 well has shown robust flow post reaching total depth, underscoring the substantial production capabilities of the Lyons Sandstone and the resource potential within the Galactica project,” he added.

“All campaign data is now undergoing integration into our development planning.”

Helium has become indispensable in various high-tech industries. It is vital for semiconductor manufacturing, nuclear energy production, and developing solar panels.

It is also used to cool superconducting magnets in MRI machines.

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.