Quantum Helium (AIM:QHE) posted gross oil revenue of US$207,975 in the second quarter, up 92% on the first quarter, lifting first-half revenue to US$316,263 from its Sagebrush Project in Colorado.
The AIM-quoted helium, hydrogen and hydrocarbon explorer holds a 90% working interest in Sagebrush, where production from existing wells continued throughout the period.
Two factors drove the quarterly step-up: average realised oil prices climbed from US$57.44 per barrel in the first quarter to US$78.29 in the second, and an extended production test at the Sagebrush-1 well generated additional barrels that were separated, stored and sold during the quarter.
The Sagebrush-1 test confirmed commercial oil production from the Leadville Formation alongside helium-bearing gas, an interval not included in the company's previous independent resource assessments.
Quantum holds independently assessed helium resources of more than one billion cubic feet across its Sagebrush and Coyote Wash projects, and the company describes oil cash flow as a funding mechanism for its helium appraisal programme.
"It was particularly pleasing that the testing also produced immediate revenue alongside confirming a new productive horizon," said Chief Executive Howard McLaughlin.
The Sagebrush-1 extended production test remains ongoing, with helium flow testing results expected on completion of the current programme.
