Helium One says drilling underway on Colorado well
Published: 07:15 19 Feb 2025 GMT
Helium One Global Ltd (AIM:HE1, OTCQB:HLOGF) has announced that drilling has begun at the Jackson-31 well, part of the Galactica helium project in Colorado.
The company, which holds a 50% stake in the project, confirmed that early work is progressing, with equipment in place and preparations underway to drill deeper.
Jackson-31 is targeting the Lyons sandstone formation, a known gas reservoir, and the results from this well are expected to provide key data on the field’s helium potential.
Once drilling reaches its planned depth, tests will measure gas flow and pressure to estimate how much helium the well can produce. If successful, Jackson-31 will be connected to production facilities.
The Galactica project is part of a larger helium development discovered by Blue Star Helium in 2022.
Previous wells in the area have delivered strong helium concentrations of up to 6.1%, with gas flows ranging from 125,000 to over 400,000 cubic feet per day.
The most recent well, State-16, drilled last year, showed promising production potential, with independent experts estimating sustained output between 250,000 and 350,000 cubic feet per day at 1.9% helium purity.
For Helium One, the results will help shape the next steps for development. The project sits alongside the Red Rocks helium project, operated by a third party, further underscoring the region’s commercial potential.
Blue Star is also working on plans for gas purification and processing, including CO₂ removal and helium recovery technology, to refine the product before sale.
Helium is in high demand for its use in medical imaging, semiconductor manufacturing, and space exploration, and new sources are increasingly valuable.
The Galactica project’s success could put Helium One, whose flagship project is in Tanzania, in a strong position as it looks to establish itself as a key player in the helium industry.
