Gold Hydrogen’s 100-year-old success leads to a Buru Energy ‘speeding ticket’
A successful hydrogen and helium discovery has boosted the stocks of energy explorer Gold Hydrogen (ASX: GHY) and led to Buru Energy (ASX: BRU) receiving an ASX “speeding ticket”.
Gold Hydrogen attracted significant attention when its Ramsay 1 exploration well intersected significant levels of natural hydrogen and helium gas, confirming 100-year-old measurements from a bore hole drilled by the South Australian government in 1931.
Gold Hydrogen says it has now drilled the first dedicated natural hydrogen exploration discovery well in Australia.
Detailed testing results
Subsequent testing and laboratory results from Ramsay 1 produced a strong measured air-corrected hydrogen reading of 73.3% at 240m below ground level.
This is consistent with the 76% air-corrected concentration of hydrogen reported in the Ramsay oil bore in 1931.
A relatively high, 3.6% air-corrected content of helium was also measured at a depth of 892 metres.
“It is incredibly exciting that we have replicated the results of 100 years ago at 240m. With the additional find of helium, which could be a significant value-add to the project, we view these results as being better than planned,” said managing director Neil McDonald.
“The successful completion of drilling operations has demonstrated the capability of Gold Hydrogen and its supporting drilling team to plan and execute Australia’s first dedicated natural hydrogen drilling program.”
Gold Hydrogen is now developing plans to drill a nearby Ramsay-2 well, which is expected to spud in mid-November and be completed in December.
That well will have similar technical design and outcome parameters to Ramsay 1 in terms of well depth and target formations.
Buru Energy’s share price spike
After receiving a letter from the ASX asking it to explain a sudden increase in its share price, Buru pointed to Gold Hydrogen’s success.
The company revealed that its 100% subsidiary 2H Resources has been confirmed by the South Australian Department for Energy and Mining as the preferred applicant for the granting of six exploration licences on trend with legacy hydrogen discoveries, and two gas storage exploration licences.
The company is still awaiting the granting of the various licences which are subject to a valid land access agreement being executed.
Buru says an independent third-party hydrogen prospective resource estimate from consultants RISC Advisory has confirmed significant natural hydrogen resource potential in the licence areas.