Blue Star Helium’s State 9 Well Surges Past 360 Mcfd with 1.52% Helium
Blue Star Helium reports robust natural flow rates and high helium concentration from its State 9 well at the Galactica project, signaling a promising step toward commercial production.
- State 9 well achieves natural flow rates exceeding 360 Mcfd
- Helium concentration reaches up to 1.52% in gas samples
- Projected stabilized flow rates between 400 and 500 Mcfd, with potential up to 600 Mcfd
- High-quality, gas-saturated Lyons sandstone with strong permeability confirmed
- Independent engineering analysis supports favorable development outlook
Strong Flow Rates Confirm Reservoir Potential
Blue Star Helium Limited has unveiled encouraging results from its State 9 well at the Galactica helium project in Las Animas County, Colorado. The well demonstrated natural flow rates climbing beyond 360 thousand cubic feet per day (Mcfd) shortly after reaching total depth, a figure that compares favorably with previous wells in the area. This natural flow is a critical indicator of reservoir quality and production potential.
Helium Concentration and Gas Composition Insights
Gas analysis from State 9 revealed a helium concentration of up to 1.52%, alongside a significant carbon dioxide presence at 80.48%. While the helium content is promising for commercial extraction, the high CO2 concentration may necessitate additional processing considerations. Nitrogen was also detected, rounding out the gas composition profile essential for planning the next development stages.
Reservoir Quality and Engineering Validation
The Lyons Formation sandstone, where the well was drilled, was confirmed to be high-quality and gas-saturated, with permeability measurements ranging from 300 to 750 millidarcies (mD). Independent engineering studies have modeled stabilized flow rates constrained for production optimization between 400 and 500 Mcfd, with a maximum potential of 600 Mcfd. These figures suggest a robust reservoir capable of supporting initial commercial production.
Transitioning to Commercial Production
Blue Star’s Managing Director and CEO, Trent Spry, highlighted that State 9 marks the conclusion of the company’s initial drilling campaign for the year. The company is now poised to transition the Galactica project into its initial commercial production phase. This shift underscores the significance of the recent flow test results and the confidence in the reservoir’s capacity to deliver sustained helium output.
Looking Ahead – Development and Optimization
Development plans include the use of vacuum compression techniques to optimize wellhead pressures and maximize flow rates. The integration of data from multiple wells, including the JXSN discovery wells, provides a comprehensive understanding of the field’s eastern extent and supports strategic planning. As Blue Star advances, the focus will be on balancing production rates to maintain reservoir pressure and maximize recovery.
Bottom Line?
With State 9’s strong flow and helium content, Blue Star Helium is set to advance Galactica toward commercial production, but processing challenges remain.
Questions in the middle?
- How will the high CO2 concentration impact processing costs and timelines?
- What are the expected commercial production start dates following this drilling campaign?
- How will vacuum compression strategies influence long-term reservoir performance?
