GGE to hit total depth at its helium well within a month

This morning our 2021 Catalyst Hunter Pick of the Year Grand Gulf Energy (ASX: GGE) put out a drilling update at its Jesse-2 helium well.

In today’s update, GGE confirmed that the well had now reached total depth for the first phase of drilling down to a depth of 3,135 feet (955m).

Next, GGE will start drilling down to the anticipated total depth for the well of 8,150 feet (~2,500m), GGE expects this next stage of drilling to take ~1 month to complete.

With Jesse-2 GGE is following up on the company’s helium discovery from last year.

The ultimate aim for Jesse-2 is to produce a commercially viable flow rate that warrants putting GGE’s helium discovery into production.

GGE has already delivered:

• ✅ A proven helium structure: A >61m gross gas column (with ~31m of independently audited net pay)
• ✅ Commercial helium grades: Helium grades of up to 1% returned to surface (higher than our 0.4% expectation)

For GGE to deliver a commercial helium project it needs:

• 🔄 Commercially viable flow rate: GGE’s Jesse-2 well is being drilled with this goal in mind.

What's next for GGE?

We will be tracking the drill program closely as the company starts drilling to its intended total depth.

Between now and total depth being reached, we expect to see GGE put out similar announcements to last year's drill program - highlighting helium concentrations with respect to background levels.

After this, it will be all about avoiding the water table at its well and the results from the flow test.