Grand Gulf Energy receives drill permit for Jesse-2 helium project


Grand Gulf Energy has received approval of the Permit to Drill from the Utah Division of Oil, Gas and Mining (UDOGM) for the second pure-play helium well, Jesse-2, at the Red Helium project.

The company is now in a position to conduct drilling in early Q1 with advanced negotiations with multiple rig operators indicating availability.

The forthcoming drilling of the Jesse-2 well follows the highly encouraging Jesse discovery (Jesse 1A well) which included a >200 foot logged gross gas column (with 101 feet of independently audited net pay) and exceptional helium concentrations of up to 1% returned to surface, exceeding pre-drill expectation. The Jesse-1A well also encountered a productive and strongly pressured reservoir at 2,465 psi.

Jesse-2, located 1.5 miles east-south-east of the Jesse-1A discovery well, was selected as the best of three mature prioritised locations on the Jesse structure. The locations were derived from an extensive review of data from six historic wells and Jesse-1A including calibrated 2D seismic to target a structural high location on the Jesse feature to maximise the thickness of the gas pay zone.

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