Month: November 2021

SASKATOON, SASKATCHEWAN – November 16, 2021.  Royal Helium Ltd. (“Royal” or the “Company”) (TSXV: RHC) is pleased to announce that it has initiated the completions program at the Climax-4 helium well located in southwestern Saskatchewan. The program is designed to test reservoir production with enhanced gas flow and recovery rates from the large Nazare pay zone. The program is anticipated to run for 3-4 weeks followed by the completion of a resource estimation. Production and processing plans as well as offtake arrangements are ongoing and will incorporate the data from this completions program and will be announced as each are finalized.

Andrew Davidson, President and CEO of Royal comments, “Royal’s technical team together with geotechnical consultants Dr. Chris Hawkes, and AGAT Laboratories, and completions consultants Edge Engineering, and Element Technical Services, have a high degree of confidence in the completions program for the Nazare zone. While the Nazare discovery is new to the helium industry, our completions team has extensive experience in producing from these specific types of reservoirs. They have developed a plan with techniques used extensively in many natural gas reservoirs in Saskatchewan and elsewhere to produce gas via natural and hydraulic fractures within larger pay thicknesses.  Upon successful production testing, the data will be compiled to form a resource estimate and ongoing plans for production and processing will continue to proceed”.

Stephen Halabura P.Geo., Vice President of Exploration, states that, “the lithology and mineralogy of the Nazare reservoir consists of a complex sequence of igneous granite rock interbedded with metamorphic metasediments and calc-silicates. The entire sequence is extensively fractured and produced a mixture of gases containing >0.65% helium over 70 meters during drill stem testing.”

The geotechnical program was comprehensive and evaluated 55 meters of Nazare from the Climax-4 wellbore. The laboratory testing conducted by AGAT Laboratories consisted of:

• Spectral gamma ray and bulk density
• White light photography and CT scanning of the entire core
• Porosity and permeability measurements
• Triaxial compression testing and acoustic measurements on full diameter and core plugs
• Direct shear testing
• X-Ray diffraction and thin section preparation and analysis
• Fluid analysis

Concurrent with the geotechnical program, Royal’s internal technical team, Dr. Hawkes and John Styles P.Eng. of Edge Engineering and Geosciences Ltd., worked closely with Element Technical Services to prepare this completions program, which is designed to enhance the flow capability of the natural, existing fracture network and most effectively produce the entire 100+ meter thick Nazare reservoir.

The Nazare completion at Climax-4 will have direct influence on how Climax-2 and 3 will be completed and produced as they both encountered the Nazare zone at the bottom of their wellbores. Climax-1 did not intersect the Nazare zone and will be completed as a conventional helium well in the zones it encountered.  Details will be announced once determined and finalized.

Royal Helium Ltd.

Royal controls approximately 1,000,000 acres of prospective helium land in south-west and south-east Saskatchewan. All of Royals’ lands are in close vicinity to highways, roads, cities and importantly, close to existing oil and gas infrastructure, with a significant portion of its land near existing helium producing locations. With stable, rising prices and limited, non-renewable sources for helium worldwide, Royal intends to become a leading North American producer of this high value commodity.

For more information, please contact the Company.

Andrew Davidson
President and CEO
Royal Helium Ltd.
(604) 561-2821
dean@royalheliumltd.com

Dean Nawata
VP, Corporate Development
Royal Helium Ltd.
1 (306) 653-2692
davidson@royalheliumltd.com

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This release includes certain statements that may be deemed to be “forward-looking statements”.  All statements in this release, other than statements of historical facts, that address events or developments that management of the Company expects, are forward-looking statements.  Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements.  The Company undertakes no obligation to update these forward-looking statements if management’s beliefs, estimates or opinions, or other factors, should change.  Factors that could cause actual results to differ materially from those in forward-looking statements, include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions.  Please see the public filings of the Company at www.sedar.com for further information.

SASKATOON, SASKATCHEWAN – November 15, 2021. Royal Helium Ltd. (“Royal” or the “Company”) (TSXV: RHC) is pleased to report that the Government of Saskatchewan today announced their Helium Action Plan, with the goal of supplying 10% of the global helium market share by 2030.

The Government’s news release follows:

GOVERNMENT OF SASKATCHEWAN LAUNCHES HELIUM ACTION PLAN

Province aims to supply ten per cent of global helium market share by 2030

Today, the Government of Saskatchewan released its Helium Action Plan: From Exploration to Exports, which outlines how the province aims to become a world leader in helium production and export over the next decade, with a goal to supply ten per cent of the global helium market share by 2030.

“In Saskatchewan, helium exploration and production are leading to more wells, more jobs, more facilities and, ultimately, more exports,” Energy and Resources Minister Bronwyn Eyre said. “We have high helium concentrations in the province and some of the most attractive geology in the world for low-emission helium production.”

The Helium Action Plan: From Exploration to Exports, which provides policy and program commitments to support and grow the entire helium value chain, is focused on exploration, production, innovation, processing and export infrastructure. The provincial government has also expanded the Saskatchewan Petroleum Innovation Incentive (SPII) to include helium projects.

Achieving the Helium Action Plan’s goal to supply ten per cent of the world’s helium market share by 2030 will create significant economic benefits in Saskatchewan, including:

• Creating more than 500 new permanent jobs;
• Supporting thousands of construction and service sector jobs;
• Increasing production through an additional 150-plus dedicated helium wells;
• Building up to 15 helium purification and liquefaction facilities;
• And generating annual helium exports worth more than $500 million

Canada currently has the fifth-largest known helium resources in the world, with considerable underground reserves located in Saskatchewan. The province’s unique geology enables extraction of helium from dedicated wells that yield high concentrations of the commodity but generate a low greenhouse gas emissions profile, which is up to 99 per cent less carbon intensive than in other jurisdictions.

In April 2021, North American Helium (NAH) opened its $30 million Battle Creek Helium Purification Facility, the largest in Canada, which also qualified under the provincial Oil and Gas Processing Investment Incentive (OGPII).

“This announcement further solidifies Saskatchewan’s position as a best-in-class jurisdiction in which to explore, build infrastructure, and produce helium that can serve global markets,” North American Helium President and Chief Operating Officer Marlon McDougall said. “North American Helium is a leader in all of these areas and is planning to rapidly expand its liquid and gaseous helium productive capacity to replace currently depleting sources of helium from hydrocarbon fields with reliable new long-term supply with significantly lower emissions.

2021, Saskatoon-based Royal Helium announced a significant helium discovery at its Climax project, which has the potential to be one of the largest helium discoveries in Saskatchewan history.

“Royal Helium is proud to play a leading role in the sustainable development of Saskatchewan’s world-class helium resources, alongside our neighbors North American Helium and in concert with the Government of Saskatchewan,” Royal Helium President and CEO Andrew Davidson said. “This is a tremendous opportunity for Saskatchewan to become a major supplier of helium, which is critical for healthcare and high-tech industries both locally and around the world.”

Helium is a highly desirable commodity used in medical research, semiconductor manufacturing, space exploration, fibre optics, nuclear power generation and other advanced technology sectors. Prices for helium have increased substantially over the past few years and are expected to continue to rise due to increased global demand and shortage of supply. According to market estimates, the global helium market could potentially double by 2030.

SPII offers transferable royalty/production tax credits for innovative, made-in-Saskatchewan projects at a rate of 25 per cent of eligible costs, including capital and operating expenditures, up to a maximum of $5 million in credits. OGPII provides qualified Saskatchewan infrastructure projects with a 15 per cent transferable royalty credit, based on capital expenditures, up to a maximum of $75 million in credits. Under both programs, government investment follows up-front private investment.

For more information or to read the full plan please visit www.saskatchewan.ca/helium-action-plan.

For more information, contact:
Robin Speer
Energy and Resources
Regina
Phone: 306-519-5006
Email: robin.speer@gov.sk.ca

Jill Stroeder
Energy and Resources
Regina
Phone: 306-787-6315
Email: Jill.stroeder@gov.sk.ca

Royal Helium Ltd.

Royal controls over 1,000,000 acres of prospective helium land in southwestern and south-east Saskatchewan. All of Royals’ lands are in close vicinity to highways, roads, cities and importantly, close to existing oil and gas infrastructure, with a significant portion of its land in close proximity to existing helium producing locations. With stable, rising prices and limited, non-renewable sources for helium worldwide, Royal intends to become a leading North American producer of this high value commodity.

For more information, please contact the Company.

Andrew Davidson President and CEO Royal Helium Ltd. 1 (306) 653-2692 davidson@royalheliumltd.com

Dean Nawata VP, Corporate Development Royal Helium Ltd. (604) 561-2821 dean@royalheliumltd.com

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This release includes certain statements that may be deemed to be “forward-looking statements”. All statements in this release, other than statements of historical facts, that address events or developments that management of the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. The Company undertakes no obligation to update these forward-looking statements if management’s beliefs, estimates or opinions, or other factors, should change. Factors that could cause actual results to differ materially from those in forward-looking statements, include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see the public filings of the Company at www.sedar.com for further information.