Mendell Helium (MDH) has revealed a non‑binding proposal from a leading helium producer to install equipment at its Rost 1‑26 well and the nearby Rost Twin that would recover and sell helium on site.
Under the proposal, Phase 1 would process 1,000 Mcf/day of raw gas at ~5% helium — roughly 50 Mcf/day of helium — with a Phase 2 expansion option to take additional throughput from future Fort Dodge wells. The processing agreement is reported to run for four years, renewable, and uses a fee model of the greater of a fixed monthly fee and a percentage of helium revenues, plus a marketing fee.
M3 Helium would provide site space, 3‑phase power and a gas stream suitable for PSA; limited pre‑treatment may be required. Full installation is expected to take around four months, subject to equipment lead times, and M3 will continue to use its mobile PSA (capable of 800 Mcf/day and ultrahigh purity) until the new plant is live. M3 holds interests in six producing wells in Kansas, with Rost tested at 5.1% helium and a DST peak of c.2,900 Mcf/day.
"In another validation of M3 Helium's operations at Rost and the Rost Twin, this proposed collaboration with a leading helium producer represents a significant expansion of operations." Nick Tulloch, Chief Executive Officer of Mendell Helium and Chairman of M3 Helium, said.
The Company's option to acquire M3 Helium — which would trigger a reverse takeover if exercised — has been extended to 30 April 2026.
