Imperial Helium (TSXV: IHC) this morning had a major announcement in terms of the development of its assets. The company has begun lease and road construction at its flagship Steveville Helium Property, as it begins the development of its main asset.
Perhaps more importantly, the company this morning announced that it has received the permits and approvals required to enable the commencement of drilling operations. The company is set to target its initial well, referred to as well 102/03-01-020-12W4M. The well was the target of a historic blowout in 1940.
The initial well is set to be drilled to a total depth of 2,047 metres, with the company working to first confirm helium concentrations and flow rates of the well. Work on the well is to begin “as soon as practicable.” The well historically recorded 6 MMCf/d of non-burnable gas, consisting of 87% nitrogen and 0.63% helium, with the structure itself later confirmed by four subsequent wells drilled.
“We are excited to be commencing field operations on the first well in June as planned. With the achievement of this first milestone, the Company is well positioned to complete production testing and an independent resource assessment of the Steveville asset during the fourth quarter of 2021.”
David Johnson, CEO
Imperial Helium last traded at $0.33 on the TSX Venture.
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