Grand Gulf Energy (ASX:$GGE) Jesse-1A Helium Flow Update

Grand Gulf Energy Ltd (ASX:GGE) has reported that the Jesse-1A well unexpectedly flowed significant helium to the surface during preliminary swabbing, indicating an enhanced ability of the reservoir to flow helium gas. The company is now isolating and comprehensively flow-testing the upper Leadville reservoir(s) as part of the ongoing operations.

Managing Director's Perspective on Helium Flow

The Company is thrilled to encounter gas flowing free to the surface with high helium concentrations from preliminary swabbing at Jesse-1A. This is highly encouraging and a massive step forward in the Jesse appraisal and development programme. The compelling commercial pillars of the Red Helium project remain unchanged. In the event of a successful flow-test, Grand Gulf has the potential to quickly move to production, potentially within 6 months, requiring minimal capex given the existing gathering infrastructure and offtake agreement. We look forward to keeping our shareholders informed as we move to the exciting next phase of isolating and flow-testing the upper Leadville reservoir in what could be a transformative period for the Company.

Summary of Jesse-1A Helium Flow and Future Prospects

Grand Gulf Energy Ltd (ASX:GGE) has encountered significant helium flow at the Jesse-1A well, with high concentrations reaching the surface during preliminary swabbing. The company is now focused on isolating and flow-testing the upper Leadville reservoir(s) to further assess the potential for production. The successful flow-test could lead to a quick transition to production, potentially within 6 months, with minimal capital expenditure. The Red Helium project's commercial pillars remain strong, and the Company is optimistic about the transformative period ahead. With the ongoing operations and the potential for early production, Grand Gulf Energy is poised for an exciting phase in its helium exploration endeavors.