Helium One announces delay to drilling at Galactica

(Sharecast News) - Helium One Global, a helium exploration company with a 50% stake in the Galactica-Pegasus helium development project in Las Animas County, Colorado, announced a delay to the start of drilling at the Galactica site due to adverse weather conditions. The AIM-traded firm said the project is operated by Blue Star Helium, which is overseeing development activities.

It said severe weather had left the ground saturated, rendering it unsuitable for the construction of well sites and access roads.

Blue Star, along with its construction partners, was closely monitoring conditions and anticipated mobilising as soon as the ground stabilised.

Without additional snow or precipitation, construction could potentially begin before the end of 2024.

To avoid standby costs over the holiday period, Helium One said Blue Star had chosen to reschedule the start of drilling to mid-January.

Despite the delay, Helium One confirmed that the overall project development timeline was unchanged, with the start of production still targeted for the first half of 2025.

Engineering efforts related to carbon dioxide removal, purification and sale prior to helium processing via the IACX helium recovery unit were progressing, alongside the selection of a preferred power generation solution for the project.

At 0947 GMT, shares in Helium One Global were down 2.39% at 0.93p.

Reporting by Josh White for Sharecast.com.