RCS - Pulsar Helium Inc. - Pulsar Announces Helium Flowing to Surface

Baker Hughes CoAnnouncement

06/06/2024 12:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240606:nRSF3140Ra&default-theme=true

RNS Number : 3140R  Pulsar Helium Inc.  06 June 2024

NEWS RELEASE | JUNE 6, 2024 | VANCOUVER BC

PULSAR ANNOUNCES HELIUM FLOWING TO SURFACE AT JETSTREAM #1 IN MINNESOTA

Pulsar Helium Inc. (TSXV:PLSR & OTCQB:PSRHF) ("Pulsar" or the "Company")
is pleased to announce the safe and timely completion of logging, completion,
and flow testing activities at the Jetstream #1 appraisal well* at its
flagship Topaz helium project. A summary of the results is as follows:

•             Helium and associated gases flowed to surface
naturally in a free gas phase,

•             Flow testing after clean up recorded a maximum
rate of 821 thousand cubic feet per day (Mcf/d),

•             New laboratory results from produced gas confirm
concentrations between 8.7 - 14.5% helium,

•             CO2 concentrations exceeding 70% have the
potential to contribute to project economics,

•             Vertical Seismic Profile (VSP) and wireline
optical televiewer data was collected, and

•             In-fill Airborne Gravity Gradiometry (AGG) survey
flown.

Pulsar President and CEO, Thomas Abraham-James, stated: "The results of the
Jetstream #1 flow test and laboratory analysis confirm a major new helium
discovery, putting Topaz in the top tier of global primary helium projects.
The comprehensive dataset acquired will give the Company the assurance it
needs to fast track activities and realize Topaz's commercial potential. The
data will be analyzed by Sproule for their updated resource estimate, along
with recommendations for future appraisal and development planning at Topaz.
This is the first dedicated helium well drilled in Minnesota, and all data
gathered indicates that this is not an isolated occurrence with the
helium-bearing zone likely to extend laterally and at depth."

Proposed future work

The Jetstream #1 appraisal well was designed to replicate the original 2011
discovery at LOD-6. This was successful and the existing seismic data suggests
that the helium-bearing zone persists at depth, up to an additional kilometer
(3,281 feet). Future work programs are proposed to consist of deepening
Jetstream #1 to assess this potential, in conjunction with drilling a nearby
step-out well and conducting a 3D seismic survey to define the structural
extent of the resource.

Flow Testing

Completion and initial flow testing activities have been finalized at the
Jetstream #1 appraisal well. The flow test program included five flow tests of
both natural flow and under wellhead compression from the open-hole section of
the well (between 503-671 meters (1,650-2,200 feet) depth). Each test lasted
approximately six hours in duration with pressure build-ups of 18 hours
between natural flow tests and approximately six days until the start of the
compression tests.

The flow test with well site compression reached a maximum absolute open flow
of 821 Mcf/d at a flowing tubing head pressure of 20 psi on a 1 inch choke.
Results during natural flow climbed to a peak of 150 Mcf/d with 34 psi flowing
tubing head pressure on a 1 inch choke with the rate still on incline at the
six-hour shut-in mark. Step rate and choked tests were also acquired to help
understand reservoir production parameters which will be announced in due
course.

* In the State of Minnesota, the regulatory term is 'exploratory boring'.

Following well tests, tubing head pressure built up rapidly to near pre-flow
conditions. There was evidence of introduced drilling fluid interference
during the testing process, specifically in follow-up flows. Preliminary
analysis indicates this is easily mitigated until these fluids are recovered
during an early production clean-up flow period.

Laboratory Analysis

Gas samples were collected throughout the flow testing operations and were
distributed to Isotech Laboratory, the Woods Hole Oceanographic Institute, and
Caltech Noble Gas Lab. The results from Isotech have been received with up to
14.5% helium measured, prior to any atmospheric contamination correction. An
average of 9.9% helium was derived across 21 samples. Associated major gases
include CO2 content of up to 71%, nitrogen up to 24%, and hydrocarbons
constituting <5% of the total gas content. Gas isotope analysis will take
place later in June for detailed gas chemistry investigation.

Resource Update

All data obtained from the Jetstream #1 well, in conjunction with seismic,
gravity and magnetic data is being assessed by Sproule International Limited
for an updated resource estimate to the Topaz project, contingent and
prospective resource calculations. Further updates on this will be provided in
due course.

Logging / Data Acquisition

Data acquired during the recent activities includes both downhole and broader
site data, as follows:

•        An optical televiewer was run through the open hole portion of
the Jetstream #1 by Inner Earth Technologies. Preliminary interpretation of
the high-resolution image data confirms a series of fractures within the
open-hole section of the well across a 19 meter (62 foot) gross interval.

•       A downhole vertical seismic profile (VSP) was acquired at
Jetstream #1 by Baker Hughes and their partner SAExploration. The VSP gathers
data on acoustic rock properties and provides a seismic image at the well
location for depth correlation to future seismic imaging. In conjunction with
the VSP, SAExploration conducted a series of seismic sweeps in the vicinity of
Jetstream #1 to facilitate the design of future seismic acquisition.

•             Xcalibur MPH (Canada) Ltd acquired an in-fill
FALCON Airborne Gravity Gradiometry (AGG) and magnetic survey over the Topaz
project area in May. The survey increases the data density for the FALCON
survey acquired in 2022 to provide a higher resolution dataset to enhance the
subsurface imaging.

The Company will provide a further update on independent evaluations of the
Jetstream #1 well data as additional material information is received. Data
acquired during the past three weeks will assist with understanding of the
Topaz resource, future potential production performance, facility design, and
regional work program planning.

About Pulsar Helium Inc.

Pulsar Helium Inc. is a publicly traded company listed on the TSX Venture
Exchange with the ticker PLSR and on the OTCQB with the ticker PSRHF. Pulsar's
portfolio consists of its flagship Topaz helium project in Minnesota, USA,
that has been drilled and flowed up to 14.5% helium, USA and the Tunu helium
project in Greenland. Pulsar is the first mover in both locations with primary
helium occurrences not associated with the production of hydrocarbons
identified at each. For further information visit https://pulsarhelium.com,
follow us on X https://twitter.com/pulsarhelium?lang=en and LinkedIn
https://ca.linkedin.com/company/pulsar-helium-inc.

On behalf Pulsar Helium Inc.

"Thomas Abraham-James"

President, CEO and Director

Further Information:

Thomas Abraham-James President,

CEO and Director Pulsar Helium Inc.

connect@pulsarhelium.com (mailto:connect@pulsarhelium.com)

+ 1 (604) 599-0310

Neither TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.

Forward Looking Statements

This news release contains forward-looking statements and forward-looking
information within the meaning of Canadian securities legislation
(collectively, "forward-looking statements") that relate to the Company's
current expectations and views of future events. Any statements that express,
or involve discussions as to, expectations, beliefs, plans, objectives,
assumptions or future events or performance (often, but not always, through
the use of words or phrases such as "will likely result", "are expected to",
"expects", "will continue", "is anticipated", "anticipates", "believes",
"estimated", "intends", "plans", "forecast", "projection", "strategy",
"objective" and "outlook") are not historical facts and may be forward-looking
statements and may involve estimates, assumptions and uncertainties which
could cause actual results or outcomes to differ materially from those
expressed in such forward-looking statements.  No assurance can be given that
these expectations will prove to be correct and such forward-looking
statements included in this news release should not be unduly relied upon.
These statements speak only as of the date of this news release.

No reserves have been assigned in connection with the Company's property
interests to date, given their early stage of development. The future value of
the Company is therefore dependent on the success or otherwise of its
activities, which are principally directed toward the future exploration,
appraisal and development of its assets, and potential acquisition of property
interests in the future. Un-risked Contingent and Prospective Helium Volumes
have been defined at the Topaz Project. However, estimating helium volumes is
subject to significant uncertainties associated with technical data and the
interpretation of that data, future commodity prices, and development and
operating costs. There can be no guarantee that the Company will successfully
convert its helium volume to reserves and produce that estimated volume.
Estimates may alter significantly or become more uncertain when new
information becomes available due to for example, additional drilling or
production tests over the life of field. As estimates change, development and
production plans may also vary. Downward revision of helium volume estimates
may adversely affect the Company's operational or financial performance.

Helium volume estimates are expressions of judgement based on knowledge,
experience and industry practice. These estimates are imprecise and depend to
some extent on interpretations, which may ultimately prove to be inaccurate
and require adjustment or, even if valid when originally calculated, may alter
significantly when new information or techniques become available. As further
information becomes available through additional drilling and analysis the
estimates are likely to change. Any adjustments to volume could affect the
Company's exploration and development plans which may, in turn, affect the
Company's performance. The process of estimating helium resources is complex
and requires significant decisions and assumptions to be made in evaluating
the reliability of available geological, geophysical, engineering, and
economic date for each property. Different engineers may make different
estimates of resources, cash flows, or other variables based on the same
available data.

Forward-looking statements are based on a number of assumptions and are
subject to a number of risks and uncertainties, many of which are beyond the
Company's control, which could cause actual results and events to differ
materially from those that are disclosed in or implied by such forward-
looking statements. Such risks and uncertainties include but are not limited
to Pulsar may be unsuccessful in drilling commercially productive wells; drill
costs may be higher than estimates; delays in the commencement of drilling, a
temporary permit may not be issued, and other factors set forth under
"Cautionary Note Regarding Forward Looking Statements and Market and Industry
Data" and "Risk Factors" in the Final Prospectus. The Company undertakes no
obligation to update or revise any forward- looking statements, whether as a
result of new information, future events or otherwise, except as may be
required by law. New factors emerge from time to time, and it is not possible
for the Company to predict all of them or assess the impact of each such
factor or the extent to which any factor, or combination of factors, may cause
results to differ materially from those contained in any forward-looking
statement. Any forward-looking statements contained in this news release are
expressly qualified in their entirety by this cautionary statement.

This information is provided by Reach, the non-regulatory press release distribution service of RNS, part of the London Stock Exchange. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  NRAFAMRTMTTMBLI