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Blue Star Helium’s (ASX:BNL) partner secures rig for maiden Serenity helium well, Colarado

ASX News, Energy
ASX:BNL      MCAP $15.53M
10 June 2022 12:06 (AEST)

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Blue Star Helium’s (BNL) exploration partner Vecta Oil and Gas has secured a rig to begin drilling the maiden Serenity helium well in Las Animas County, Colorado.

The Sammons 315310C well is the first of four approved in the Area of Mutual Interest between BNL, which holds a 50 per cent non-operated interest, Prospero Oil and Gas, which holds a non-operated interest of 25 per cent, and operator Vecta Oil and Gas which has a 25 per cent interest.

Last month, Vecta received the final approval to begin drilling and has now contracted a rig to spud the well in the week starting June 27.

According to Blue Star, the well authorisation for expenditure, prognosis and plan has also been received.

The well is testing the Serenity prospect, which is situated southeast of Blue Star’s Galactica and Pegasus prospects, where the company has revealed three discoveries.

The maiden well will target both the upper and lower Lyons formation, up-dip from an historic well.

The top Lyons formation is expected to be similar to recent wells at Galactica and Pegasus.

Further details on the expected timing of drilling will be released once the well has been spudded.

In February, three follow up appraisal and development locations were approved and the final permits to drill will be submitted upon success at the initial Sammons well.

Blue Star shares were up 3.7 per cent, trading at 2.8 cents at 12:05 pm AEST.

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