D3 Energy has expanded its helium resource base significantly in South Africa, certifying a maiden contingent resource at ER386 that boosts combined helium resources by 65%. The company also certified its first Australian prospective resource and started drilling at Nooitgedacht in ER315.
- Maiden contingent helium resource at ER386 adds 14 BCF helium
- Combined South African 2C helium resources rise 65% to 35.6 BCF
- 2U prospective helium nearly doubles to 52.5 BCF across ER315, PR016, ER386
- Maiden prospective resource certified at Hydrohelix and Cootanoorina in South Australia
- Drilling commenced at Nooitgedacht well in ER315, targeting reserve growth
Significant Resource Upgrade in South Africa
D3 Energy (ASX:D3E) has delivered a substantial boost to its helium resource base with the maiden independent certification of a contingent and prospective resource at its ER386 exploration permit in South Africa’s Free State Province. Certified by Sproule ERCE, the 2C contingent helium resource at ER386 stands at 14.0 billion cubic feet (BCF), lifting the combined contingent helium resource across ER315, PR016, and ER386 by 65% to 35.6 BCF. Meanwhile, the 2U prospective helium resource has surged by 94% to 52.5 BCF, underscoring the scale of helium potential along the Virginia and Ventersburg fault corridor that underpins the company’s flagship ER315 permit.
Expanding Australian Footprint with Maiden Prospective Resource
Following the quarter’s end, D3 Energy secured an independent certification of a maiden prospective resource at the Hydrohelix and Cootanoorina prospects within its 100%-owned PEL121 permit in South Australia. This milestone establishes a geographically diversified resource base, with the 2U helium prospective resource estimated at 54 BCF net of royalties. The certification also highlights potential in hydrogen and methane, with prospective resources of 88 BCF and 226 BCF respectively, broadening D3’s exposure to critical gases beyond helium. The company has initiated a farm-out process for Hydrohelix to support planned drilling activities in 2027.
Drilling Commences at Nooitgedacht to Grow Reserves
In South Africa, D3 Energy has commenced drilling at Nooitgedacht, the first of two planned wells within the northwestern part of the ER315 permit. Located approximately 43 kilometres north of the Bloemskraal area, the Nooitgedacht wells target the Witwatersrand formation to assess reservoir deliverability and helium concentrations, aiming to expand the reserve base and support conversion of exploration rights to production rights. Historical data from a nearby borehole shows helium concentrations of 5.6% and strong methane flows, indicating promising potential. This drilling phase is a critical step toward commercialisation, with the company anticipating the grant of an initial Production Right in the Free State by late 2026 or early 2027.
Financial Position and Operational Progress
As at 30 June 2026, D3 Energy held approximately AUD 6.7 million in cash reserves. Quarterly expenditure focused on exploration and evaluation activities, including drilling and feasibility work in ER315 and ongoing efforts related to the PR016 Production Right Application, which remains under assessment by the Petroleum Agency SA. The company reported no production or development activities during the quarter. Administrative costs exceeded budget due to increased investor relations, compliance, and OTC listing expenses, while exploration costs were under budget, aided by lower drilling costs and favourable production results from legacy boreholes.
Strategic Positioning Amid Global Helium Supply Constraints
D3 Energy now holds certified helium resources on two continents, both outside traditional supply centres, positioning it as a notable player in the critical gases sector. With global helium supply chains under pressure due to geopolitical tensions, the company’s asset diversification and resource growth provide strategic resilience. The focus remains on advancing drilling programs, seismic acquisition, and progressing production rights to commercialisation. The farm-out process for Hydrohelix also signals an intent to accelerate exploration in Australia while maintaining momentum in South Africa.
Bottom Line?
D3 Energy’s expanded helium resources and active drilling program mark key steps toward commercialising its assets, but resource conversion and production rights remain pivotal near-term catalysts.
Questions in the middle?
- How will upcoming drilling results at Nooitgedacht influence reserve upgrades and production right approvals?
- What progress can be expected on the PR016 Production Right grant in the coming months?
- How might the farm-out process for Hydrohelix shape D3 Energy’s Australian exploration strategy?