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Voyager is pleased to provide the following overview of M3 Helium Corp.’s, (“M3 Helium”) assets following a visit last week by CEO Nick Tulloch to Kansas, USA.  The Company has an option to acquire M3 Helium, a producer of helium based in Kansas and with an interest in six wells.

Highlights

• Six wells in South-Western Kansas
• One well in production and tied into nearby gathering and processing infrastructure
• Two further wells in the process of being tied into the same infrastructure
• Two further wells in the Hugoton North Play fracked and undergoing assessment
• Sixth well in Fort Dodge tested at 5.1 per cent. helium content as announced on 15 July 2024

Hugoton North Play

M3 Helium has an interest in five wells in its Hugoton North Play project.  These wells are situated around Garden City in western Kansas and are all within or near the gathering network connected to the Jayhawk gas processing plant near the town of Ullyses and which is owned and operated by Scout Energy Partners (“Scout”).  Jayhawk produces methane, helium, nitrogen and natural gas liquids.

Carter 1 and Carter 2 wells

These are the most recent of M3 Helium’s wells to be drilled and are approximately one mile apart situated to the north of Garden City.  M3 Helium owns a 100 per cent. interest in both of these wells although the Carter 1 well was funded by a third-party in return for the opportunity to acquire helium produced from that well at a price of US$280/Mcf.

The Carter 2 well completed a fracking operation last week and the team has now begun the process of well clean up, primarily swabbing for accumulated frack fluids, before an assessment can be made of the well’s potential flow rates. It is important to note that the geology of M3 Helium’s wells varies considerably.  The Carter wells, which are situated at the north end of its operations are known to carry greater levels of water and, consequently, this particular fracking operation was executed at low pressure to ensure that the well, following fracking, was not compromised by fluid levels.  Although it is early days, initial signs are positive – on completion of the operation, a vacuum was immediately observed in the wellbore indicating that the frack fluid was being absorbed into the rock below.  As M3 Helium observes the well’s characteristics over the coming weeks, it expects to gain a greater understanding of the economics of developing this northern part of its operations.

Smith and Nilson wells

To the south of Garden City and in Haskell County near the town of Sublette are M3 Helium’s Smith and Nilson wells.  M3 Helium owns a 100 per cent. interest in both of these wells. Both wells have been completed and have produced economic flow rates.  M3 Helium has now commenced the process of tying them into the Scout pipeline network following which commercial production is expected to begin.  To date, meters have been installed by Scout and M3 Helium is in the process of connecting a pipe between the well and meters.  This is expected to be completed by end of August 2024 and a further announcement will be made at that time.

Smith and Nilson are to the east of the core part of the Hugoton gas field in what is known as the transition zone.  It is M3 Helium’s belief that this lesser produced area could provide considerable upside to the company by accessing formations previously overlooked by other operators.  The Smith well in particular was tested at pressure of 150 psi (pounds per square inch) in July 2024 and, following partial removal of water over the gas reservoir, M3 Helium believes this pressure is capable of rising.

Peyton well

Also to the south of Garden City but east of Smith and Nilson is the Peyton well.  One of M3 Helium’s first wells, the Peyton well is in production and currently producing a return, net of all operating and administrative costs, of around $2,000 per month to the owners of the Peyton well.  M3 Helium owns a 20 per cent. interest in the Peyton well. The well produces without the need for a pump.

The Peyton well is in the heart of the Hugoton gas field where wells have historically been reliable producers, with limited water content, but the area has seen more active production in the past and consequently M3 Helium’s management does not consider that potential reserves are as great as may be the case in the transition zone described above.  However, the consistent production and expected well life makes this region an attractive area in which to operate.

Fort Dodge

M3 Helium’s Fort Dodge prospect is located a short drive to the east of Dodge City.  Although a smaller prospect than the Hugoton North play project, Fort Dodge has test results showing high helium content and good well pressure.

Rost

The Rost well was tested earlier in July 2024 by Shamrock Gas Analysis, Inc. as containing 5.1% helium composition, announced on 15 July 2024.  Thurmond-McGlothlin, LLC, an independent professional firm, also tested the pressure at 302.7 psi.  Samples of gas were previously taken and measured at 47,100 cubic feet per day (47.1 Mcfd).

A combination of these factors make the Rost well and its Fort Dodge operation, in which M3 Helium owns a 100 per cent. interest, arguably its most exciting near term prospect.  Although not within direct access to Scout’s gathering network, M3 Helium owns a mobile Pressure Swing Adsorption production plant which could be used to purify the helium on site.  Discussions with Scout last week confirmed that Scout would accept M3 Helium’s purified helium which can be delivered to an access point around a one hour drive away.

Nick Tulloch, Chief Executive Officer of Voyager, said: “I was fortunate during my visit to Kansas to be able to tour Scout Energy Partners’ Jayhawk gas processing plant with whom M3 Helium partners with.  The plant is vast, handling around 5 per cent. of world helium production according to the Scout Energy representative who showed us around, and the proximity of the gathering infrastructure to M3 Helium’s operations is a defining characteristic of the opportunity before us.  Equally important is that the plant is still only operating below. capacity so further production will be welcomed.

“In a short time, M3 Helium has assembled a portfolio of assets in different locations, and with different geological characteristics, but all within reach of Scout’s infrastructure.  As we develop our existing wells and add new ones, we can be secure in the knowledge that there is a ready and accessible market for our production.”

As announced on 27 June 2024, there is no certainty that the Company’s option to acquire M3 Helium will be exercised, nor that the enlarged group will successfully complete its re-admission to trading on the AQSE Growth Market.

The Directors of the Company are responsible for the release of this announcement.

ENDS

Enquiries:

Overview of M3 Helium and the Hugoton North Play

Voyager announced on 27 June 2024 that it has entered into an option agreement to acquire the entire issued share capital of M3 Helium through the issue of 57,611,552 new ordinary shares in Voyager to M3 Helium’s shareholders.  The exercise of the option will constitute a reverse takeover pursuant to AQSE Rule 3.6 of the Access Rule Book and is subject to, inter alia, publication of an admission document.

M3 Helium’s North Play is part of the Hugoton gas field, one of the largest natural gas fields in North America.  The North Play potentially extends to 250 sections with recoverable gas, with each section being approximately 640 acres (one square mile).  Production to date has indicated a helium content of 1.25 per cent., a concentration that compares very favourably to other parts of the Hugoton gas field.  Analogous wells drilled by other operators within the North Play have averaged over 0.44 bcfg per well, meaning that, with four wells per section, M3 Helium estimates a potential of up to 440+ bcfg of recoverable gas across the entire area.  At a constant 1.25 per cent. helium content, M3 Helium estimates potential recoverable helium of over 5.5 bcf across the entire area.