Imperial Helium (TSXV: IHC) has completed drilling its first helium well. Located on the firms flagship Steveville property, the hole has reportedly been drilled, logged, and cased by the company as it works towards production on the property.
Drilling of the hole reportedly went as planned, with the hole cresting the Steveville structure as initially planned. Drilled to a total depth of 2,167.46 metres, preliminary data has indicated that the well has intersected a 152 metre section of the Beaverhill Lake Formation.
Furthermore, preliminary data collected on the well is reportedly in-line with initial expectations held by the company, with data being consistent with the historical Steveville blowout that the company was targeting. Production testing of the well is now to commence to determine the potential that the well holds.
“The preliminary results of this first appraisal well are tremendously encouraging and support management’s estimate of at least 1.1Bcf of recoverable helium from the Steveville structure. Shortly, we will commence production testing of IHC-Steveville-1 to appraise the reservoir quality and the deliverability potential last demonstrated by the Steveville blow-out. “
David Johnson, CEO
The company has also indicated that it is to begin drilling the second well in the near term, with the hole to offset the historic Steveville blowout.
Imperial Helium last traded at $0.32 on the TSX Venture.
FULL DISCLOSURE: Imperial Helium is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover Imperial Helium on The Deep Dive, with The Deep Dive having full editorial control. Additionally, the author personally holds shares of the company. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.
