• HyTerra to start a substantial natural hydrogen and helium exploration program
in the Nemaha Project, Kansas, USA.
• Drilling of the first tranche of back-to-back wells to commence in April 2025.
• Simultaneously, a geophysical program will be undertaken to support future
wells to be drilled in the second half of 2025.
• Geophysical program starts with airborne geophysical surveying this month.
HyTerra Limited (HyTerra or the Company) is set to commence drilling the first wells
of its multi-well exploration program at the Nemaha Project in Kansas, USA, in April 2025. This
marks the first steps for the Company in executing a comprehensive 12-month work plan designed
to unlock the potential of natural (white) hydrogen in Kansas through its 100% owned and operated
Nemaha Project through its 100% owned and operating subsidiary, HYT Operating LLC.
HyTerra Executive Director, Mr Benjamin Mee, said “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.”.
NEMAHA PROJECT
The Stage I exploration program will commence with two back-to-back wells spudding in April 2025
with the option to drill a third well at the Company’s discretion. The Kansas Corporation Commission
has approved well permits for all potential well locations, allowing the Company to choose the
highest priority targets to drill first. In addition, infill leasing will continue across priority areas.
The Stage II exploration program will commence with geophysical programs in March to May to
support leasing and future wells planned to be drilled in the second half of 2025. The aerial surveys
begin this month and seismic surveying is currently being planned.
Drilling Campaign Update
As weather conditions improve, Murfin Drilling Company is preparing to commence final testing of
the rig before moving to the first well site. The rig inspection process is a key step in ensuring a
safe drilling program, with mobilisation set to follow shortly thereafter. The Company is continuing
to work through several high priority targets with the well locations to be announced in the coming
weeks.
The primary objectives of the drilling program are to obtain key subsurface data for hydrogen and
helium, including mud gas samples, wireline logs, and an in-depth understanding of reservoir
characteristics. The Company has selected Kansas based Murfin Drilling Company for well
operations and SLB for geological data collection and analysis. The results of the wells will be used
to prioritise follow up drilling locations.
The drilling program will be executed in a three-step process for each well. Each step informs the
execution (or not) of the next step:
1. Exploration Drilling – A conventional oil and gas rig, modified for hydrogen work, will be used
to drill and sample the wells.
2. Data Gathering – Following drilling, data gathering and subsurface analysis will be conducted
to refine the geological model and support further exploration expenditure. This may include
post well monitoring.
3. Extended Production Testing – Based on drilling and data analysis results, a decision will be
made on an extended production testing program on selected wells to assess the potential for
sustained hydrogen production.
Geophysical Survey Update
HyTerra has entered into an agreement with New Resolution Geophysics (NRG™) to conduct a
large-scale, high-resolution gravity and magnetic aerial survey within the Nemaha Project area. The
survey covers approximately 10,000-line kms and is expected to commence in the coming weeks
and be completed in April.
The Company selected NRG™ as they are specialists in airborne geophysical surveys, including
ultra-high resolution data collection. With a fleet of advanced helicopters and fixed-wing aircraft,
NRG operates across the USA, Africa and Australasia, delivering precise and efficient survey
solutions.
In addition to the aerial survey, the Company has entered into a services agreement with Kansas
based Paragon Geophysical Services Inc to help plan and acquire seismic surveys in the Nemaha
Project area. Paragon Geophysical Services Inc has worked in over 25 US states and in the past 10
years has completed seismic programs in >60 Kansas counties.
The data obtained from such surveys, combined with the initial drilling results, will be used to refine
well locations for the Exploration Stage II drilling program.
GENEVA PROJECT
As mentioned in the December 2024 quarterly report, Neutralysis (a 100% owned subsidiary of the
Company) continues to review data and metrics shared by Natural Hydrogen Energy LLC. This
includes information related to the 2022 well swabbing and the incomplete 2023 ESP (aborted due
to pump failure) well testing operations, including gas composition and isotope data which
Neutralysis is currently verifying and interpreting. Once this process is complete, the Company will
inform the market accordingly.
This announcement has been authorised for release by the Board of Directors.