Shares in Helium One Group Ltd. fell Wednesday after the company said that only one of the intervals identified at the Karoo formation, located at Tanzania’s Rukwa Project, could be logged and tested further because of deteriorating conditions at the site.
The London-listed exploration and development company said that wireline logging of the uppermost interval indicated good reservoir potential, but that the petrophysical analysis indicated no free gas in the uppermost thinly bedded Karoo sands associated with helium shows.
The company said wasn’t able to run wireline tools at its Tai-1A exploration well beyond 882 meters and so couldn’t log the main Karoo formation.
“We have learnt a lot about the subsurface of the Rukwa Basin which we can carry forward into planning our ongoing exploration program, which may include redrilling of Tai prospect to test identified targets,” Chief Executive David Minchin said.
Shares at 0744 GMT were down 10.90 pence, or 42%, at 15.15 pence.
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