HyTerra Limited (ASX: HYT) is set to commence a significant exploration program for natural hydrogen and helium at its Nemaha Project in Kansas, USA.
The company plans to begin drilling the first wells of its multi-well exploration program in April 2025, marking a crucial step in its 12-month work plan aimed at unlocking the potential of natural (white) hydrogen in the region.
Executive Director Benjamin Mee emphasised the importance of this campaign, stating: “This drilling campaign marks a major milestone for HyTerra as we leverage our significant lease position through a comprehensive staged exploration program targeting both hydrogen and helium gases.”
The Stage I exploration program will kick off with two back-to-back wells in April 2025, with the option to drill a third well at the company’s discretion.
HyTerra has secured well permits from the Kansas Corporation Commission for all potential well locations, allowing flexibility in selecting high-priority targets.
Simultaneously, HyTerra will conduct geophysical programs to support future wells planned for the second half of 2025.
These programs include:
- An airborne geophysical survey starting in March 2025, covering approximately 10,000-line kilometres.
- Seismic surveying, currently in the planning stages.
Murfin Drilling Company, based in Kansas, has been selected as the well operator and is preparing to commence final rig testing before mobilisation.
The primary objectives of the drilling program include obtaining key subsurface data for hydrogen and helium, such as mud gas samples, wireline logs, and reservoir characteristics.
The drilling program will follow a three-step process:
- Exploration Drilling: Using a conventional oil and gas rig modified for hydrogen work.
- Data Gathering: Conducting subsurface analysis to refine the geological model.
- Extended Production Testing: Based on initial results, assessing the potential for sustained hydrogen production.
HyTerra has partnered with New Resolution Geophysics to conduct a large-scale, high-resolution gravity and magnetic aerial survey within the Nemaha Project area.
The survey is expected to be completed in April 2025.
Additionally, the company has engaged Kansas-based Paragon Geophysical Services Inc. to assist with planning and acquiring seismic surveys in the project area.
The Nemaha Project, covering approximately 60,000 acres, is strategically located between Kansas City and Wichita, in the centre of a major industrial and manufacturing hub.
This positioning provides access to potential off-takers via existing railways, roads, and pipelines.
Historical exploration in the area has shown promising results, with some wells returning up to 92 per cent hydrogen and 3 per cent helium.
As the first ASX-listed company focused on white hydrogen, HyTerra’s exploration activities come at a critical time when there is increasing global interest in sustainable energy solutions.
The company’s progress in the Nemaha Project could potentially establish natural hydrogen as a viable low-carbon energy source.
Investors and industry observers will be closely monitoring the results of this exploration program, which could have significant implications for the future of clean energy production.
