Helium deposit near Babbitt may be larger

There may be more helium near Babbitt than first discovered.

Seismic testing by Pulsar Helium Inc. near a hole drilled earlier this year is showing positive results, the company said in a news release.

“We are delighted to receive this 2D seismic data, which demonstrates that the helium-bearing zone encountered in Topaz’s Jetstream #1 appraisal well is identifiable and that additional gas-bearing zones are likely at depth,” Thomas Abraham-James, Pulsar Helium president and chief executive officer said. “This new data, alongside existing drilling, passive seismic, and gravity information, sets the stage for our upcoming drilling program where we plan to deepen Jetstream #1 and drill additional step-out wells. This is a busy period for us, as we also anticipate receiving the Topaz resource calculation from Sproule later this month.”

Pulsar Helium this winter struck helium in a single 2,200 foot-deep drill hole near Babbitt.

Helium had been found about 50 feet away from the Pulsar Helium drill hole about 11 years ago by Duluth Metals while performing exploratory drilling for copper, nickel, cobalt, and platinum group metals.

However, the Pulsar Helium discovery is the first significant discovery of helium in the state.

The high concentration of helium and pressures have given Pulsar Helium hope that there may be a larger body of helium at the site.

A helium concentration of 14.5 percent from the well is North America’s highest concentration, Pulsar Helium said.

A 2D seismic survey of the site now shows a seismic reflector at the same depth as the Jetstream #1 appraisal well and additional reflectors at depth, according to Pulsar Helium.

What it means is that the seismic survey indicates the helium deposit may extend beyond the original Jetstream #1 drill hole.

As a result, more step-out wells are planned that would help gauge the size of the deposit, the company said.

If developed, it would become the first commercial helium production site in the state and open up a new industry in northeastern Minnesota.

Without state guidelines for helium production, the 2024 Minnesota Legislature put a set of guidelines into place for commercial helium production.

The Jetstream #1 appraisal well is on private land.

But if helium is found to be on public land at the site and tapped by the company, the state, communities and schools would benefit from revenue generated by the project under the legislation.

Sproule International, Ltd., a global energy and consulting firm, is expected in July to provide an updated resource calculation on the site, Pulsar Helium said.

The Babbitt project is called Topaz.

Pulsar Helium also has a helium project in Greenland called Tunu.