Fortescue-backed HyTerra gearing up to drill at its US hydrogen project
- HyTerra to commence drilling two wells at its Nemaha project in USA from in mid-April
- Both near historic wells with recorded hydrogen and helium occurrences
- White hydrogen shows potential as low carbon feedstock
Special Report: HyTerra is gearing up to drill two wells in mid-April at its Nemaha project in Kansas, USA, as it kicks off a 12-month exploration program at the white hydrogen project.
The company is aiming to unlock the hydrogen – and helium – potential of the project.
White hydrogen in particular is showing potential as a low-carbon feedstock or fuel which has spurred millions in new investment and created a world rich with opportunities for first movers like HyTerra (ASX:HYT).
Notably, the Nemaha project sits in the centre of a major industrial and manufacturing hub between Kansas City and Wichita.
This places the project in proximity to existing railways, roads, and pipelines that connect it to a long list of potential offtakers nearby including ethanol and ammonia manufacturers and petrochemical plants, all of which already use hydrogen in their processes.
The company’s upcoming drilling will commence at the Sue Duroche 3 and Blythe 13-20 wells, which will be spudded back-to-back near wells with historical occurrences of hydrogen and helium.
This includes the historic Sue Duroche-2 well, which reported up to 92% hydrogen and 3% helium from 2009 drilling, and the historic Scott-1 well drilled in 1982, which reported occurrences of up to 56% hydrogen and traces of helium.
There’s also the option to drill a third well at the company’s discretion.
A geophysical program is also on track, with an aerial survey recently completed and a seismic acquisition survey to also commence in April.
Infill leasing for competitive edge
In the meantime, the company continues infill leasing for contiguous acreage, having increased its lease acreage from 9,607 to over 60,000 acres last year. That’s an increase of 525%.
HYT now holds more than 72,500 acres of leases, thanks to its aggressive Q1 2025 infill leasing program.
The goal here is to secure a competitive foothold in the region ahead of future planned activities in high-priority areas.
HYT executive director Benjamin Mee said,
Early, integrated results plus contiguous acreage gives a competitive edge and leads to a faster ranking of the next prospects to drill,
“This strategy also supports the screening of new growth opportunities.We remain focused on safe, cost-effective delivery of value to our shareholders.It’s shaping up to be a very exciting and busy year ahead.”
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Fortescue-backed HyTerra gearing up to drill at its US hydrogen project, source
