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Strategic acreage expansion positions Altura to scale helium production across a multi-well development footprint in a proven fairway
Altura Energy Corp. (TSXV: ALTU,OTC:ALTUF) (OTCQB: ALTUF) (FSE: Y020) ("Altura" or the "Company") is pleased to announce that it has finalized a farm-in agreement (the "Agreement") covering approximately 2,560 acres in the Holbrook Basin, Arizona surrounding existing production from two wells that Altura retains a 20% non-working interest in. The Agreement provides Altura with the right to develop helium production across acreage directly contiguous to existing production.
The two adjacent wells which Altura has a 20% non-working interest in have been producing helium since 2021 and have generated more than USD $11M in helium sales from the Shinarump and Coconino formations, at approximately ~300 meters deep.
The acreage acquirable pursuant to the Agreement potentially supports up to an additional 64 wells in a single formation and remains prospective for additional stacked pay zones, both proven and untested.
"Securing this acreage is a meaningful step in building a scalable helium platform," said Ashley Lastinger, Chief Executive Officer of Altura Energy. "The combination of shallow, proven formations, strong initial well economics, and multi-zone upside gives us a clear path to disciplined growth. This Agreement positions Altura to systematically develop a high-quality inventory of wells in a tightening global helium market."
Helium Market Context
Recent geopolitical developments have underscored the vulnerability of global helium supply chains. Qatar, which represents a significant portion of the world's helium production, has experienced disruptions to natural gas processing operations amid escalating tensions in the Middle East. Because helium is produced as a by-product of natural gas processing, interruptions to LNG production and export logistics can materially impact global helium availability. These events highlight the importance of developing diversified and geopolitically secure sources of helium supply, particularly in North America, to support industries such as medical imaging, semiconductor manufacturing, aerospace and advanced technology that rely on consistent access to the gas.
ABOUT Altura Energy CORP.
Altura Energy Corp. is an exploration and production company with interests in the Holbrook basin of Arizona. For more information, please visit SEDAR+ (www.sedarplus.ca).
FOR FURTHER INFORMATION
Robert Johnston
Chairman
604-609-6110
Investor Relations
KIN Communications Inc
604-684-6730
altu@kincommunications.com
Forward-Looking Statements
Statements included in this announcement, including statements concerning our plans, intentions and expectations, which are not historical in nature are intended to be, and are hereby identified as, "forward-looking statements". Forward-looking statements may be identified by words including "anticipates", "believes", "intends", "estimates", "expects" and similar expressions. The Company cautions readers that forward-looking statements, including, without limitation, those relating to the Company's business plans, objectives and strategies of operations; the Company's ability to develop helium production in the area covered by the Agreement; the potential support of up to 64 wells in a single formation from the acreage in the Agreement; the Company's ability to build a scalable helium platform, including, without limitation, the combination of factors leading to disciplined growth and the Company's ability to develop a high-quality inventory of wells; and the global helium market and related supply chains, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements, including, without limitation, risk that transactions contemplated by the farm-in agreement may not be completed as contemplated, or at all; risks that the Company may not be able to develop helium production as contemplated, or at all; risks that the acreage acquirable pursuant to the Agreement may not be able to support up to 64 additional wells in a single formation as contemplated, or at all; risks that the Company may not be able to build a scalable helium platform as contemplated, or at all; risks that the Company's growth plans may not be realized as contemplated, or at all; risks that the Company may not be able to develop a high-quality inventory of wells as contemplated, or at all; risks related to the global helium market and supply chains, as well as such other risks as described in the Company's public disclosure as filed and available on the Company's SEDAR+ profile.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/291109
