Mendell Helium (AIM:MDH), the AIM-listed helium exploration and production company operating in Kansas, said its Rost 2-26 well has produced preliminary gas analyses showing helium concentrations of up to 10.9%.
That compares with 5.1% recorded at Rost 1-26, the company's flagship well in the Fort Dodge area near Dodge City.
De-watering at Rost 2 has reached around 1,100 barrels of water per day following installation of an electrical submersible pump, with gas-bearing "foamy water" now appearing at surface.
Produced gas volumes remain low pending further de-watering, and the company cautioned that the gas mix could change at higher flow rates.
Rost 1 has resumed production after downhole tubing, worn by mineral scaling, was replaced during a workover, with a new chemical treatment programme now planned for both wells.
Separately, the Schneweis Ventures 13A well, operated under a joint venture with Ritchie Exploration, has begun producing directly into Ritchie's pipeline without a pump, after downhole pressure build-up ruled out pump installation for now.
Daily sales from Schneweis have ranged between 150 Mcf and a peak of 428 Mcf, against a historic flow rate of 300 Mcf per day and 1.3% helium composition.
"A helium composition north of 10% is highly encouraging and represents a significant milestone for the Company," said chief executive Nick Tulloch, adding that flow rates at Rost 2 remain low pending further de-watering.
He said the results support the company's view that its de-watering approach is repeatable across multiple Fort Dodge wells.
Field crews are continuing to measure stabilised flow rates at both Rost wells, with further updates expected in due course.
News Intelligence what this means for the company
Mendell Helium's Rost 2 well has delivered preliminary helium concentrations of 10.9%—more than double the 5.1% at its flagship Rost 1 well—suggesting the company's de-watering approach can be replicated across multiple Fort Dodge assets. The result validates the core thesis behind Mendell's Kansas helium strategy, though gas volumes remain low pending further de-watering, and the company cautioned that composition could shift at higher flow rates.
A helium grade north of 10% at a second well materially strengthens the case for Mendell's Fort Dodge acreage and supports management's repeatability claim, but the investment case remains contingent on translating these preliminary results into sustained commercial production at economic flow rates—a step the company has not yet demonstrated.
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