22/12/2020 - 20:45

Blue Star poised to drill as US helium landholdings swell

22/12/2020 - 20:45

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Blue Star Helium has picked up significant additional acreage across two leading prospects and other prospective ground at its Las Animas helium project in the US as it champs at the bit to kick off a highly anticipated maiden drill campaign comprising three and up to five wells in early 2021. The company has more than doubled its lease holdings around the historic high-grade Model Dome helium field this year.

ASX-listed US helium play, Blue Star Helium has picked up significant additional acreage across two leading prospects and other prospective ground at its Las Animas helium project in Colorado as it champs at the bit to kick off a maiden drill campaign comprising at least three and possibly up to five wells next year.

The Perth-based company has been quietly expanding its lease holdings around the historic high-grade Model Dome helium field this year, with almost 33,000 acres of new leases recently secured for just US$470,250 at a US Government auction.

The latest ground package takes Blue Star’s combined Las Animas landholdings to approximately 215,000 gross or 160,000 net acres.

In addition to undertaking a mountain of technical analysis and carrying out on-site evaluation in preparation for the drilling program, Blue Star has more than doubled its overall project acreage position from 92,000 gross or 50,000 net acres since the start of the year.

In the process, the helium hopeful has snared a couple more solid-looking prospects, the Galactica and Pegasus prospects.

These prospect areas join Enterprise, Galileo and Voyager in Blue Star’s burgeoning portfolio of advanced helium prospects.

The company is now only awaiting final regulatory drilling permit approvals before it gears up to hit the site.

Blue Star Helium Managing Director, Joanne Kendrick said: “We’re looking forward to an incredibly active 2021 with our recent A$6 million placement ensuring we are well funded to deliver our maiden drilling campaign as well as additional strategic leasing acquisitions.”

Last month the company increased the prospective resources for its high-priority Enterprise and Galileo prospects by 16 per cent to a total of 3.5 billion cubic feet with net recoverable helium in the 2U/P50 category.

The upgrade followed an updated independent resource assessment carried out by North American-based energy consulting group, Sproule.

Blue Star is also eagerly awaiting the imminent results of an independent prospective helium resource review by Sproule of the Galactica and Pegasus prospects.

Potential well locations are being assessed at Enterprise, Galactica, Pegasus, Voyager and Galileo.

Model Dome produced helium gas at an exceptional grade of 8 per cent and is regarded as one of the US’s top three helium concentration fields.

 

Is your ASX-listed company doing something interesting? Contact: matt.birney@businessnews.com.au

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