C O R P O R A T E N E W S
NASCO AG: Completion of first two helium wells at Hogback Field, New Mexico
- Gas testing of first two helium wells completed
- Fast 8% Heliumanteil im Rohgas
Hamburg, 27. September 2022 – NASCO Energie & Rohstoff AG (NASCO), a raw materials specialist based in Hamburg, has approx. 18km2 large Hogback field located in northwest San Juan County, New Mexico, has completed the completion of the first two wells.
Gas samples were taken and analyzed by an independent laboratory. The first well (#12-42) was tested in the Barker Creek producing formation and assayed 7.828% helium. The second well (#12-40) tested 7.966% helium in the Lower Akah producing formation. The helium content in the raw gas from both wells is among the highest values ever measured in this area. In addition to helium, the raw gas from the two wells contains between 77 and 82% nitrogen. The remaining shares are hydrocarbons. Both wells contain extremely small amounts of carbon dioxide. The pressure measured at the drill head is in the planned range.
“Results to date from completion and testing of the first two wells are exceeding our expectations. It was the right decision to take over and develop the Hogback field together with our partners. This drilling will make a significant contribution to increasing our helium reserves. “With the next step, the completion of the third well, we complete our 3 well program. As a result, these results allow us to plan production volumes and quickly decide how we will bring the raw materials to the market,” says the CEO of NASCO Energie & Rohstoff AG, Jan Warstat.
NASCO – ideally positioned in the largest commodity market in the world
Since 2014, NASCO Energie & Rohstoff AG has been making targeted investments in the expansion of its helium activities, which have so far been concentrated at the Dineh-Bi-Keyah (DBK) sites in north-eastern Arizona and Boundary Butte, Utah, the so-called “Four-Corner region” of the USA. Special feature: The deposit has an above-average – and worldwide very rare – helium content in the raw gas of more than five percent by volume. For comparison: 0.5 volume percent is considered the lower limit for economically worthwhile funding.
NASCO is the majority shareholder in the DBK and Boundary Butte gas and helium fields in Arizona and Utah. The Company owns 100% and 75% of the licenses and controls 100% of the operating company, Capitol Operating Group, LLC.
Helium – increasing demand worldwide
The noble gas helium is in increasing demand around the world, but its availability on earth is limited. Consequence: The helium prices rise continuously. The US is the largest market for helium, followed by Asia and Europe. Business and science around the world need helium for a wide range of uses: – primarily as a refrigerant for extremely low temperatures (e.g. for cooling superconducting magnets in magnetic resonance imaging), as a welding and cutting agent, as a leak detection gas, as a propellant for car airbags, as a lifting gas for airships and balloons or as a breathing gas additive for divers. It also plays a crucial role in researching new technologies.
Ü B E R N A S C O
NASCO Energie & Rohstoff AG (NASCO), based in Hamburg and operating in the USA, is one of the few German producers on the world market for helium. The Company acquires, develops and operates helium deposits in the United States, the world’s largest commodity market. NASCO has its own production concessions for helium, crude oil and natural gas at five locations in four US states plus offshore in the Gulf of Mexico. Helium customers are US refineries and industrial gas companies that refine the noble gas and sell it on to end customers. A long-term purchase agreement is in place with Praxair, America’s leading industrial gas group.
K O N T A K T
NASCO Energy & Raw Materials AG
Mittelweg 110 – 20149 Hamburg
Phone 040 2261 63041
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