'Although it’s frustrating not to have been able to immediately test the well and obtain a raw gas composition, we are targeting being in a position to test the well in coming weeks. “Gas monitoring of the well will continue while a testing procedure designed to isolate the water and test the upper part of the Lyons is established. “This has resulted in an increase to the gas column seen in the Enterprise structure to approximately 78 feet, which can be applied across the field as currently mapped. “The top of the Lyons formation and the gas water contact at the Enterprise 16#1 location have come in structurally lower than at Hill#2, but within the range of broader pre-drill mapping confidence levels. “We are highly encouraged to have encountered high-quality Lyons reservoir with gas interpreted on logs in our first exploration well in the play,” Blue Star managing director and CEO Trent Spry said. Although a less likely scenario given the proximity of the wells, this alternative will be considered as the well data is integrated and the mapping in the area is updated.

It could also mean that the two GWCs seen in the Hill#2 and Enterprise 16#1 wells represent contacts in two different structures. This results in a structural gas column of approximately 78 feet, calculated from the top of the Lyons formation at Hill#2, the highest penetration on the structure, to the GWC at Enterprise 16#1, the lowest interpreted GWC on the structure. The top of the Lyons and the interpreted gas water contact (GWC) in the Enterprise 16#1 well are structurally below the equivalent depths in the Hill#2 water well.īNL's current interpretation is that the new GWC seen in the Enterprise 16#1 well replaces the interpreted GWC in the Hill#2 water well as the structural GWC across the Enterprise structure. The company is designing a new well testing procedure, with targeted implementation in coming weeks, notwithstanding the invasion of the reservoir and fluid in the well bore. Some helium gas was observed during drilling but subsequent water invasion of the top part of the Lyons formation, where gas is interpreted from logs, prevented testing to obtain a gas sample for compositional analysis. The new GWC seen in Enterprise 16#1 equates to a 78-foot structural gas column, increased from the 29-foot gas column previously interpreted in the Hill#2 water well. The well has now been suspended for future gas sampling, fluid level, pressure monitoring and testing.Ī new, deeper gas water contact (GWC) has been discovered for the Enterprise structure, along with a 13-foot gas column in the high-quality Lyons formation. The well has been drilled to a total depth of 1,250 feet and hit a potential helium zone in the targeted Lyons sandstone formation. Blue Star Helium Ltd (ASX:BNL, OTC:BSNLF) continues to make strong progress at the fully owned maiden helium exploration well, Enterprise 16#1, in Las Animas County, Colorado.Īfter successfully completing the drilling phase of its helium exploration, the company has run wireline logs.

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