3 July 2024
Voyager Life
plc
("Voyager" or the "Company")
M3 Helium Update - vertical
well to be drilled at Hugoton North Play
Voyager is pleased to announce that,
further to the announcement of 27 June 2024, M3 Helium Corp.,
("M3 Helium"), a producer
of helium based in Kansas, which the Company has an option to
acquire through the issue of 57,611,552 new ordinary shares in
Voyager to M3 Helium's shareholders ("Option"), has commenced
drilling of its sixth vertical well.
The well, named Carter 2, is being
drilled at M3 Helium's Hugoton North Play project and the rig has
already been mobilised and delivered to site. Drilling has
commenced and will continue over the US public holiday on 4 July
with completion, including casing, during the following week.
The M3 Helium team expect thereafter it may take a further week for
perforating with the target of completing fracking before 31 July
2024.
The well is located at section 1,
township 19 south, range 31 west, Scott County, Kansas and about 1
mile to the west of M3 Helium's most recently drilled well (Carter
1). Carter 2 is expected to be drilled to a target depth of
2,900 feet and will utilise the Pason mud gas system to measure and
report the quality of gases exiting the wellbore.
Total costs of the exercise are
currently predicted to come in at least 10 per cent. below the
budgeted US$300,000 previously announced due to M3 Helium being
able to move quickly and secure a rig whilst it was available in
the area. Drilling costs will be paid for out of the proceeds
of the $500,000 loan facility ("Loan") provided by Voyager to
M3 Helium. A portion of the loan monies will be subject to passing
of the resolutions at Voyager's forthcoming general
meeting.
As announced on 27 June 2024, there
is no certainty that the Option will be exercised, nor that the
enlarged group will successfully complete its re-admission to
trading on the AQSE Growth Market.
Further announcements will be made
during the drilling programme.
Nick Tulloch, Chief Executive
Officer of Voyager, said: "We were clear
when we announced our proposed acquisition of M3 Helium last week,
along with the associated fundraising, that our intention was to
use these funds in part to drill a further vertical well at the
Hugoton North Play. To be able to commence activities in
under a week surpasses our own expectations and I hope illustrates
the near term opportunity that we have. The rapid completion
of last week's fundraising has enabled the team in the US to move
fast to secure the rig and, through savings on logistics, we are
confident that this new well will come in comfortably below
budget."
This announcement contains inside
information for the purposes of the UK Market Abuse Regulation and
the Directors of the Company are responsible for the release of
this announcement.
ENDS
Enquiries:
Voyager Life plc
Nick Tulloch, CEO
|
Tel: +44 (0) 1738 317 693
http://voyagerlife.uk
nick@voyagerlife.uk
|
Cairn Financial Advisers LLP (AQSE Corporate
Adviser)
Ludovico Lazzaretti/Liam
Murray
|
Tel: +44 (0) 20 7213 0880
|
SI
Capital Limited (Broker)
Nick Emerson/Nick Briers
|
Tel: +44 (0) 1483 413500
|
Stanford Capital Partners LLP (Broker)
Patrick Claridge/Bob Pountney
|
Tel: +44 (0) 203 3650 3650/51
|
Overview of M3 Helium and the
Hugoton North Play
Voyager announced on 27 June 2024
that it has entered into an option agreement to acquire the entire
issued share capital of M3 Helium through the issue of 57,611,552
new ordinary shares in Voyager to M3 Helium's shareholders.
The exercise of the Option will constitute a reverse takeover
pursuant to AQSE Rule 3.6 of the Access Rule Book and is subject
to, inter alia, publication of an
admission document.
M3 Helium's North Play is part of
the Hugoton gas field, one of the largest natural gas fields in
North America. The North Play potentially extends to 250
sections with recoverable gas, with each section being
approximately 640 acres (one square mile). Production to date
has indicated a helium content of 1.25 per cent., a concentration
that compares very favourably to other parts of the Hugoton gas
field. Analogous wells drilled by other operators within the
North Play have averaged over 0.44 bcfg per well, meaning that,
with four wells per section, M3 Helium estimates a potential of up
to 440+ bcfg of recoverable gas across the entire area. At a
constant 1.25 per cent. helium content, M3 Helium estimates
potential recoverable helium of over 5.5 bcf across the entire
area.
FORWARD LOOKING STATEMENTS
This announcement includes
"forward-looking statements" which include all statements other
than statements of historical facts, including, without limitation,
those regarding the Company's financial position, business
strategy, plans and objectives of management for future operations,
or any statements preceded by, followed by or that include the
words "targets", "believes", "expects", "aims", "intends", "will",
"may", "anticipates", "would", "could" or "similar" expressions or
negatives thereof. Such forward-looking statements involve known
and unknown risks, uncertainties and other important factors beyond
the Company's control that could cause the actual results,
performance or achievements of the Company to be materially
different from future results, performance or achievements
expressed or implied by such forward-looking statements. Such
forward-looking statements are based on numerous assumptions
regarding the Company's present and future business strategies and
the environment in which the Company will operate in the future.
These forward-looking statements speak only as at the date of this
announcement. The Company expressly disclaims any obligation or
undertaking to disseminate any updates or revisions to any
forward-looking statements contained herein to reflect any change
in the Company's expectations with regard thereto or any change in
events, conditions or circumstances on which any such statements
are based unless required to do so by applicable law.