5 Reasons to drill in the Holbrook Basin
HIGHEST HELIUM CONTENT - The Holbrook Basin is the only area in the world drilled exclusively for helium. Wells located in these fields average 8%+ helium giving them the highest helium concentration per well in the U.S.
NEW HELIUM GATHERING TECHNOLOGY - Within the last 2 years a new helium separation and storage system has been developed that does all of the work that the large helium storage plants did in years past but at a fraction of the size and cost. These units allow us to now sell helium at the wellhead with no need for costly pipeline construction to get the gas to a central helium plant.
LOW E&P COSTS - Shallow drilling depths and minimal fracing needs combine to keep drilling and well completion costs low.
SOARING HELIUM PRICES - Current known helium reserves worldwide are on pace to run out in 25 years. The U.S. reserve is expected to run out within 12-18 months. This has driven helium prices to $300 per MFC, leaving little doubt that this trend will continue over the next several years as supplies decrease.
UNTAPPED HELIUM RESERVES - Recently, the state of Arizona reduced well spacing requirements to no less than 20 acres per well for the Pinta Dome Field. This has signaled a new developmental phase of drilling in the Holbrook Basin, opening up many new, lower risk, in field drill-sites needed to produce the large helium reserves in place.