Vancouver, B.C., March 29, 2021 – Avanti Energy Inc (TSXV: AVN) (US OTC PINK: ARGYF) (the “Company”) is pleased to announce that it has now acquired over 6,000 acres under licenses from the government of Alberta. The property is highly prospective for helium and contains wells that were originally drilled for oil and natural gas.
- A previously abandoned natural gas well on the property, drilled by a Canadian major oil and gas company, showed 2.18 % helium and 96% nitrogen in the Cambrian, and 0.3% helium and up to 98% nitrogen in the Devonian.
- Offsetting wells have multiple tests in Cambrian and Devonian intervals with up to 1.79% helium and 83-93% nitrogen content.
- Drill stem tests (DSTs) in wells in and around the newly acquired land package indicate reservoir quality rock in the Cambrian and Ordovician zones.
The newly acquired project resides in an area with confirmed reservoir rock and multiple DSTs with analysed gas. A previously drilled well on the property tested gas with high helium content (2.18%) and high nitrogen content (96%). The high grade of helium gas showings of greater than 2% compare favourably to commercially viable grades ranging from 0.3% to 1%. The property fits well with helium tests in multiple nearby wells and the potential for viable helium reservoirs over a larger basement structure. The Company will continue to evaluate and map deeper Paleozoic zones in detail as mapping the basement structure will be crucial to high grading areas with structural or stratigraphic trapping of helium.
“Following a methodical and detailed review by our experienced technical team, we are excited to add this highly prospective property in Alberta to our current portfolio of helium projects,” said Company consulting geologist Genga Nadaraju. “High nitrogen content is advantageous over wells with high hydrocarbons as the nitrogen can be safely vented to the atmosphere after the 1% to 2% helium content is removed. Ms. Nadaraju continued, “We are using a targeted approach to delineate and prioritize highly prospective areas for drilling. Additionally, we are continuing to employ our unique approach and selection methodology to evaluate and prioritize multiple helium assets across Western Canada and the United States.”
Rob Gamley, President & CEO of Avanti, commented, “We are very pleased to have acquired these licenses in Alberta. Alberta is a great address and the environment is ripe for a resurgence of the helium industry in the province. Mr. Gamley continued, “With Canada recently adding helium to its critical mineral list in 2021, it is vital that we continue with our acquisition strategy and build a targeted project portfolio with known helium showings and strong potential for economic development and production.”
About Avanti Energy
Avanti Energy is focused on the exploration, development and production of helium across western Canada and the United States. Avanti’s professional oil and gas exploration and production team is actively targeting untapped potential helium reserves to help meet the increasing global demand for an irreplaceable and scarce element critical to advanced technology, medical and space exploration industries. For more information, please go to the Company’s website at www.gradyf10.sg-host.com.
For corporate and shareholder inquiries, please contact:
Rob Gamley, President & CEO
Avanti Energy Inc.
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management’s current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. The Company cautions that all forward looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, many of which are beyond the Company’s control. Such factors include, among other things: risks and uncertainties relating to the Company’s limited operating history and the need to comply with environmental and governmental regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information.
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