D3 Energy’s Low-Cost Permits Could Unlock Significant Helium Resource Growth

D3 Energy Broadens Exploration Footprint

D3 Energy Limited (ASX:D3E) has announced the granting of three new Technical Cooperation Permits (TCPs), TCP258, TCP259, and TCP260, adjacent to its flagship helium exploration permit ER315 in South Africa's Free State Province. These permits collectively cover 5,797 hectares, expanding the company's contiguous exploration area in one of the world’s most promising helium provinces.

The new permits represent a strategic extension of D3 Energy’s exploration activities, complementing its existing ER315 and ER386 permits. The Free State region is increasingly recognised for its helium potential, a critical element in the global energy transition and high-tech industries.

Low-Cost Exploration and Future Potential

The TCPs are granted for a one-year period and primarily involve low-cost desktop studies. These studies will allow D3 Energy to evaluate the geological and resource potential of the new areas without significant upfront capital expenditure. Upon completion, the company may apply for formal Exploration Rights, potentially unlocking further resource development opportunities.

This approach mirrors the pathway taken with the ER386 permit, which evolved from earlier TCPs. If successful, the new permits could significantly augment D3 Energy’s resource base, adding to the already substantial contingent and prospective helium and methane resources at ER315.

Resource Base and Market Position

ER315 currently holds a contingent gas resource of approximately 744 billion cubic feet (BCF), including recoverable methane and helium volumes. The prospective resource estimates are even larger, with recoverable gas resources exceeding 660 BCF and helium volumes estimated at over 27 BCF at the 1U confidence level.

These figures position D3 Energy as a notable player in the helium sector, a market with growing strategic importance due to helium’s applications in medical imaging, electronics, and clean energy technologies.

Strategic Implications and Next Steps

The granting of these TCPs underscores D3 Energy’s commitment to expanding its exploration footprint in a cost-effective manner while maintaining flexibility to scale up operations based on study outcomes. The company’s next steps will focus on completing the desktop studies and preparing applications for Exploration Rights, which could unlock further resource delineation and development.

Investors will be watching closely for updates on the progress of these studies and any subsequent exploration results, which could materially impact D3 Energy’s valuation and strategic positioning in the helium market.