Mosman Oil and Gas Ltd (AIM:MSMN) CEO Andy Carroll joined Proactive's Stephen Gunnion with details of the company's acquisition of a stake in a helium project in Las Animas County, Colorado, in a first move to expand its helium portfolio.
Carroll explained that the company has owned the EP 145 licence in the Amadeus Basin, New South Wales, since 2013. Initially focused on hydrocarbons, the area revealed high helium content, prompting a shift towards helium due to its increasing value. Mosman has accumulated substantial expertise in helium operations and, through a partnership with Greenvale Energy, retains a 25% interest in the permit while Greenvale funds seismic and drilling operations, expected to begin next year.
Noting that Colorado is known for its high helium concentrations, Carroll said the company secured a 10% stake in a venture with Vecta, a private operator with extensive experience and a substantial lease package of 48,000 acres. The initial phase will involve drilling five prospects over the next year, leveraging the low cost and quick results of the region's wells.
Mosman’s shift towards helium and hydrogen marks a move away from traditional oil and gas assets. He said the company plans to commercialise and sell its legacy assets, such as the Stanley project, to reinvest in the more promising helium sector, aligning with current investor interests and market trends.
