WORSLEY AREA POTENTIAL
The Leduc Formation consists of a series of patch reefs and associated marine rock units that were deposited along the northern flank of the Peace River Arch. Pools along this trend have produced more than 140 billion cubic feet of natural gas. Approximately 80% of the Leduc wells produced natural gas along with helium, and 20% produced oil.
The Company estimates that the Leduc Formation has produced about 1 billion cubic feet of unrecovered helium in historical natural gas production.
First Helium’s discovery well 15-25, drilled in 1999, contains 1.3% helium and 26% nitrogen. The operator shut the well in and didn’t produce it due to high nitrogen content, and lower heating value natural gas. However, today the value of the helium changes the economics of these wells.
The granitic rocks underlying the area generate helium from natural radioactive decay. The helium has migrated up into the same rocks that trap hydrocarbons. The Peace River Arch and the Worsley Trend in particular, host multiple formations in addition to the Leduc that contain such traps.
The Company estimates that the Leduc Formation has produced about 1 billion cubic feet of unrecovered helium in historical natural gas production.
First Helium’s discovery well 15-25, drilled in 1999, contains 1.3% helium and 26% nitrogen. The operator shut the well in and didn’t produce it due to high nitrogen content, and lower heating value natural gas. However, today the value of the helium changes the economics of these wells.
The granitic rocks underlying the area generate helium from natural radioactive decay. The helium has migrated up into the same rocks that trap hydrocarbons. The Peace River Arch and the Worsley Trend in particular, host multiple formations in addition to the Leduc that contain such traps.