D3 Energy’s recent production test at Nooitgedacht Major reveals promising helium and natural gas flow rates, confirming a new northern production area within the ER315 permit.
- Nooitgedacht Major averaged 102 Mscfd gas flow over 7 days
- Helium concentration measured at 5.6%, methane at 83.2%
- Northern ER315 area shows potential comparable to southern legacy wells
- Shallower depths suggest lower drilling and development costs
- Results support ER315 as a significant helium and natural gas resource
Production Testing Validates Northern ER315 Potential
D3 Energy Limited (ASX: D3E) has announced encouraging results from its production testing program at Nooitgedacht Major, a legacy borehole situated in the northern sector of the ER315 permit in South Africa’s Free State Province. Over a seven-day stabilized flow test, the well produced an average gas flow rate of 102 million standard cubic feet per day (Mscfd), with gas composition analysis revealing helium concentrations of 5.6% alongside methane at 83.2%.
This outcome is particularly notable given the shallower depth of Nooitgedacht Major compared to the company’s southern Bloemskraal wells, which have historically been the focus of exploration efforts. The shallower drilling depth at Nooitgedacht Major not only reduces development costs but also signals the emergence of a new production province within the northern ER315 area.
Strategic Implications for ER315 and Beyond
The successful testing at Nooitgedacht Major complements recent results from the RBD01 well, which demonstrated world-class helium concentrations of 6.2%. Together, these findings underscore the broader prospectivity of the ER315 permit, reinforcing its potential to become a premier helium and natural gas asset on the global stage.
Managing Director David Casey highlighted the significance of these results, emphasizing the strategic advantage of unlocking a northern production zone with lower drilling costs. This could accelerate development timelines and improve project economics, positioning D3 Energy favorably amid rising global demand for helium and cleaner energy sources.
Next Steps and Market Outlook
D3 Energy’s methodical exploration and appraisal program continues to gather critical data to optimize well spacing, manage interference, and plan future drilling campaigns. The company’s commitment to advancing its helium and natural gas portfolio aligns with broader energy transition trends, where helium’s unique properties are increasingly valued in technology and medical applications.
While these initial production results are promising, further testing and reservoir analysis will be essential to fully quantify the long-term resource potential and commercial viability of the northern ER315 area. Investors and analysts will be watching closely as D3 Energy progresses its exploration strategy and seeks to capitalize on this emerging opportunity.
Bottom Line?
Nooitgedacht Major’s success signals a cost-effective new frontier for D3 Energy’s helium ambitions.
Questions in the middle?
- How sustainable are the helium and methane flow rates over extended production periods?
- What are the projected capital and operational costs for developing the northern ER315 area?
- How will these results influence D3 Energy’s broader exploration and drilling plans in adjacent permits?