Blue Star Helium Limited’s on-site preparation for the Voyager development processing facility is making progress, with the company’s earth works contractor currently working on the site preparation necessary for the IACX helium recovery unit to be deployed at Voyager in Colorado.
The site requires a substantial pad and part of the site will also serve as a base of operations for ongoing helium exploration and development.
We are pleased to have partnered with a nearby mineral leaseholder and surface owner for the needed base gravel.
Additionally, road access work including heavy vehicle upgrades is progressing well.
In November 2021, the BBB#1 well tested the Voyager prospect and encountered a calculated air-free gas concentration of 8.8 per cent helium in a 134ft gas column in the Lyons formation.
Voyager is located only nine kilometres from the historic Model Dome analogue production which produces a similar high helium gas composition, averaging 8 per cent concentration.
A significant independent contingent resource of 2C 643 million cubic feet (MMcf) helium net to Blue Star has been declared.
It is expected that Voyager will ultimately utilise a 20 well development inventory to maximise the contingent resource.
A midstream solution has been selected for gas processing where IACX will provide gas processing services via an owned and operated helium recovery plant.
Total field and plant operating cost is highly attractive at around US$100-120 per million cubic feet of helium product gas (full capacity) with targeted helium production of 38 MMcf in first full capacity year.
Discussions for distributor and end user relationships are in progress.