VANCOUVER, BC, July 25, 2022 /CNW/ – Total Helium Ltd. (TSXV: TOH) (OTCQB: TTLHF) (“Total Helium” or the “Company”) announces that the largest natural gas producer in the State of Kansas (or the “Producer”) has exercised its option to acquire 25% of Total Helium’s 3,648 acres located near the Boltz Well in the Hugoton Gas Field Kansas.
The company previously entered into a farmout agreement with the US’s largest natural gas producer State of Kansas to drill the Boltz well on the producer’s oil, gas and helium leases. The agreement also established an area of mutual interest (AMI) in the vicinity of the Boltz well. Total Helium successfully acquired leases in the AMI. As part of the agreement, the producer had the right to acquire 25% of Total Helium’s leases within the AMI. At this point, the producer has exercised his option.
Positive effects for both sides
The producer’s decision to acquire 25% of Total Helium’s leases within the AMI is a positive indicator for both companies. For Total Helium, the ownership of a large private company in its assets is an indicator that Total Helium is on the right track when it comes to helium exploration and production. For the producer, the purchase of Total Helium’s leases demonstrates that the arrangement brings in valuable assets as part of an overall beneficial partnership. Finally, this transaction demonstrates the operational synergies between the Company and the producer in bringing helium to a market in dire need of additional supplies.
“At Total Helium, we pride ourselves on our ability to partner with some of the world’s leading oil, gas and industrial gas companies. We attach great importance to this strategic relationships and today’s announcement reinforces the fact that our partnerships are mutually beneficial,” said Robert B PriceCEO of Total Helium.
total helium is a helium exploration, production and storage company focused on providing the US market with a reliable domestic supply of helium. The Company’s footprint includes the largest contiguous conventional natural gas and helium field in North America, the gas field of Hugoton. In addition to its helium production, Total Helium is constructing an underground helium storage facility with its industrial gas partner to ensure this The United States has a stable supply of helium at all times for the foreseeable future.
On behalf of the Board of Directors,
Robert B PriceDirector and CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Statements in this announcement, including statements regarding our plans, intentions and expectations, that are not historical in nature are intended to be and are hereby qualified as “forward-looking statements”. Forward-looking statements may be identified by words such as “anticipates,” “believes,” “intends,” “estimates,” “expects,” and similar expressions. The Company cautions readers that forward-looking statements, including without limitation those relating to the Company’s future activities and business prospects are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements.
SOURCE Total Helium Ltd
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