Helium One Global Ltd has completed its farm-in agreement for the Galactica-Pegasus project in Las Animas County, Colorado, USA.
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The company will earn a 50% interest by paying $1.5 million cash to operator Blue Star Helium, which discovered the field in 2022, and funding the drilling of six development wells.
Operations are expected to start during Q4 2024, subject to approval, with first helium in H1 2025.
Helium One raised £6.43m in August for the transaction.
“We’re very pleased to have completed this agreement with Blue Star and anticipate positive results from the upcoming development wells as the project advances into the production phase,” said chief executive Lorna Blaisse.
“This project provides Helium One with the opportunity to diversify its helium portfolio and benefit from production and revenue from first helium gas in H1 2025.”
Ms Blaisse added that the company awaited approval for a mining licence for its southern Rukwa helium project, encompassing the Itumbula and Tai areas, in Tanzania.