In a news release, Saskatoon-based Royal Helium Ltd. (RHC:TSX.V) announced that "Climax-2 has been successfully drilled to a total depth of 2,611 meters and that it has selected the target completion intervals for both the Climax-1 and Climax-2 helium exploration wells."
The firm advised that the work it is carrying out to complete and test the Climax-1 and Climax-2 targets involves sequential perforation and production testing of prospective helium bearing zones. Royal Helium indicated that the project scope includes drilling of about 70 meters at Climax-1 and approximately 68 meters at Climax-2, each which span multiple structural zones.
Royal Helium's President and CEO Andrew Davidson commented, "The initial results and interpretation of the well logs at Climax-1 and Climax-2 have shown a number of zones that we will be testing. The programming for the testing phase at Climax is moving ahead quickly now that the zones of interest have been selected but given the significant scope of the test intervals at both Climax-1 and Climax-2, it is anticipated that testing will extend beyond two weeks once underway".
The firm stated that both the Climax-1 and Climax-2 wells were drilled into the Precambrian basement lying at the base of the Deadwood Formation. The company explained that "the Deadwood is a sand and shale sequence that is known to produce helium in Saskatchewan." The firm added that the first three wells drilled are designed to target previously identified separate areas of a large structural trap near the center of the Climax land block.
The company stated that after reaching total depth on February 9, 2021, at the Climax-2 target, it will now deploy the Savanna 419 drilling rig to commence work at the Climax-3 location.
Royal Helium noted that it holds permits, leases and application for greater than 400,000 hectares of prospective helium lands, making it one of the biggest helium leaseholders in North America.
[NLINSERT]Disclosure:
1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Royal Helium. Click here for important disclosures about sponsor fees. As of the date of this article, an affiliate of Streetwise Reports has a consulting relationship with Royal Helium. Please click here for more information.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Royal Helium, a company mentioned in this article.
