HyTerra confirms strong hydrogen concentrations in drilling at Sue Duroche 3 well

HyTerra (ASX: HYT) has come out of a trading halt to report the perfect start to its hunt for “white” hydrogen in Kansas.

The first ASX-listed explorer dedicated to the search for natural hydrogen, HyTerra has encountered significant hydrogen concentrations in the Sue Duroche 3 well at its Nemaha project.

Funded through a $21.9 million strategic investment by Fortescue Future Industries Technologies, the drilling of Sue Duroche 3 is the first step in HyTerra’s 12-month exploration work program at the Nemaha project.

Hydrogen-helium testing

The drilling program at Sue Duroche 3 aims to confirm the presence and concentrations of hydrogen and/or helium in the subsurface formations.

Sue Duroche 3 is the first of two back-to-back wells the company has drilled as part of the Exploration Stage I program at Nemaha, with the Blythe 13-20 location next in line and the option to drill a third well.

HyTerra has already identified a potential market for hydrogen, with Nemaha located in the centre of a major industrial and manufacturing hub between Kansas City and Wichita.

The project can be connected via railways, roads and pipelines to a long list of potential nearby offtakers including ethanol and ammonia manufacturers and petrochemical plants—all heavy hydrogen users.

Historical well locations

HyTerra chose the leases due to their historical wells, with more than 10 hydrogen and helium occurrences within the region—some recording up to 92% hydrogen and 3% helium.

The company drilled Sue Duroche 3 to a total approximate depth of 1,052 metres through 335m of sedimentary rocks and 716m of the Precambrian basement.

It then engaged leading oilfield contractor Schlumberger to conduct an extensive evaluation of the formation that comprised real-time mud gas log data recording during drilling, mud gas samples collected at surface, extensive wireline logging and rotary sidewall cores.

Elevated readings

Independent laboratory analysis has verified hydrogen concentrations of up to 96.1% from Sue Duroche 3 mud gas samples.

This validates the historical occurrences of up to 92% hydrogen measured in the Sue Duroche 2 well from 2009.

Testing also recorded elevated helium readings in the mud gas logs from deeper drilling into the Precambrian basement.

‘Great start’

“To achieve some of the highest hydrogen concentrations ever seen in our first well is a great start,” executive director Benjamin Mee said.

“The company is looking forward to receiving the rest of the gas sample results from the labs [and] pleased to see strong collaboration between HyTerra and local contractors to ensure efficient, safe delivery [with] the conviction to trial new techniques that will keep HyTerra at the forefront of unlocking natural hydrogen potential adjacent to markets.”

HyTerra will now case and suspend the well and prepare to mobilise the rig this week for arrival at the Blythe 13-20 well location sometime next week.