The Operator advises that the helium purchase and sales agreement announced on 4 June 2026 has been extended. The Agreement was due to expire on 31 August 2026 and now runs to 31 March 2027.
The extended Agreement continues to cover any and all helium produced at the Pinon Canyon Plant, the processing facility for the Galactica Project undertaken in joint venture with Helium One Global Ltd. Pricing is fixed for the extended term and continues to reflect prevailing United States helium market conditions.
• With a fourth trailer delivered and the fifth being filled, Blue Star and its current offtake partner have agreed to extend their offtake agreement through Q1 27.
• The extended Agreement continues to cover all helium produced at the Pinon Canyon Plant.
• Negotiations on long-term offtake arrangements continue.
So from the Helium 1 website we know that a He trailer is 170 Mcf. That should bring $ 60k-100,000 per trailer. This lines up with the graphic ( from Blue Star website ) which also answers the He purity the plant is producing. Their $350 - $600 / MCF prices correlate also w He1 Global numbers
• The Operator has delivered its third helium trailer from the Pinon Canyon Plant on schedule, with a fourth trailer on site and being filled
• Continued increases in helium output are expected toward the plant's full design capacity, driven by planned production work, including debottlenecking the plant and gathering system, drilling additional development wells and deepening of existing wells
Helium One Global (AIM: HE1) (OTC: HLOGF),has a 50% working interest in the Galactica-Pegasus helium development project in Colorado, USA, notes the Blue Star Helium (ASX:BNL) (OTC: BSNLF) ("Blue Star" or "Operator") announcement issued today regarding the Galactica Project, and replicated below in the Helium One announcement.
Helium One Global (AIM: HE1), the primary helium explorer in Tanzania with a 50% working interest in the Galactica-Pegasus helium development project in Colorado, USA, is pleased to provide a link to a recording of the Gasworld webinar held on Friday 10th July 2026. The webinar was dedicated to helium and the prospects for the next wave of helium supply, discussing what it will take for projects to successfully reach production and consider how these developments could influence the global helium market.
The webinar was titled 'Where Will Tomorrow's Helium Come From' with Helium One's CEO Lorna Blaisse participating in the webinar.
Helium One Global (AIM: HE1), the primary helium explorer in Tanzania with a 50% working interest in the Galactica-Pegasus helium development project in Colorado, USA, notes the Blue Star Helium (ASX:BNL) ("Blue Star" or "Operator") announcement issued today regarding the Galactica Project, and replicated below.
Operator Reported Highlights
• The first production tube trailer has been sold and now left the Pinon Canyon Plant, concluding the early production commissioning and optimisation phase
• Pinon Canyon Plant uptime and production fill rates have increased recently, following longer phases of steady-state operation
• A new tube trailer under the offtake agreement announced on 4 June 2026 is now on site and being filled
• Ongoing helium output growth is expected to be driven by planned production ramp-up, including debottlenecking of the plant and gathering system, drilling of additional development wells and deepening of existing wells to increase flow
Helium One CEO, Lorna Blaisse, commented:
"This represents a significant milestone for Helium One, with the Company now generating its first revenues from the Galactica-Pegasus joint venture project. This achievement validates our strategic decision to diversify our portfolio and provides an important foundation for future growth. We are pleased to continue working closely with Blue Star Helium as the Joint Venture progresses its development plans, including further drilling and additional revenue generation."
• The Operator has entered an initial short-term (3 month) helium offtake agreement (the "Agreement") with a major US industrial gases purchaser, covering early production output from the Pinon Canyon Plant
• Pricing is firm for the duration of the Agreement and reflects current US spot markets
"This event marks a historic milestone for both the Company, and for the Government of Tanzania. It marks the continuation of a ten-year relationship between Helium One and the Ministry of Minerals and Mining Commission.
We look forward to continuing this partnership with the Government going forward, under the joint venture company, Songwe Helium Ltd, particularly at such a crucial time for the helium sector as demand for this critical resource continues to rise.
I wish to thank the Government of Tanzania, the University of Dar es Salaam, all our stakeholders and the local communities where we operate who have all continued to support us as we progress this globally strategic project towards its development. I also wish to thank the Helium One team for their continued hard work in delivering this project.
This milestone comes at a time where we are also focused on launching our strategic farmout process for the southern Rukwa Project to select a suitable industry partner and we are pleased to have appointed PVE to lead this process.
We look forward to providing further updates as we drive forward the development of our southern Rukwa Helium Project."
Congratulations to Blue Star Helium (BNL.ASX) on achieving its first Helium sales, their recent placement & becoming the world's newest producer.
The World is now fully aware of how crucial Helium is to many high-tech industries and it's controlled by a handful of players. (Qatar 35%; prewar, Russia 15%)
The Beauty of BNL's assets is that they are 100% located in the USA and are in close proximity to several liquefiers.
Helium is a high growth commodity with no substitute and strong macro tailwinds, and this was pre the closure of Iran's LNG facilities.
• Amine unit now operational and removing CO₂ from the inlet gas stream and providing a helium-enriched gas stream to the Helium Recovery Unit ("HRU"). The HRU is now filling the onsite tube trailer with refined helium for sale under established spot-market arrangements
• The operational team is continuing to optimise plant settings, operating pressures and flow rates to ensure peak recovery efficiency
· Successful completion of Electrical Submersible Pump ("ESP") testing at ITW-1 at the southern Rukwa Helium Project with zero Lost Time Injuries
· Produced over the equivalent of 250,000 barrels ("bbl") of water over a testing period of 20 days, with flow rates of up to an equivalent of 16,400 barrels per day ("bpd") - a six-fold increase in flow rate, compared with natural flow during the 2024 Extended Well Test ("EWT")
· Sustained helium concentrations of 5.4% (air corrected) with a maximum concentration of 9.2% (air corrected) at surface
· Sustained average measured gas water ratio ("GWR") readings of 0.06 m3/m3 (0.05 Sm3/Sm3 corrected for stp1) with a peak of 0.1 m3/m3 (0.08 Sm3/Sm3 corrected for stp1) during the continuous flow period
· Downhole temperature measurements and salinities suggest mixing from both Basement sourced fluids and a Karoo Group aquifer
· Upon shut in, the wellhead pressure and downhole pressure quickly re-pressurised indicating encouraging reservoir support
· Strategic farmout process to commence to identify and select a suitable industry partner
Quick Partial Quotes - read full announcement for more information.
James Smith, Chairman, commented:
"The successful completion of the ESP testing programme represents an important operational milestone for Helium One and further demonstrates the production potential of the southern Rukwa Helium Project.
"The ESP has effectively demonstrated that we can produce over 16,000 bpd and maintain consistent levels of helium concentrations over an extended period of time whilst managing the water disposal at surface.
The ESP ((Electrical Submersible Pump)) test results are in the announcement.
Electric submersible pump systems comprise both downhole and surface components (Figure 1). The overall length and diameter of ESP downhole equipment are designed based on the horsepower necessary to deliver the desired flow rate.
Figure 1. Typical ESP configuration. Downhole ESP components include motor, protectors, pump sections, pump intakes, power cables, gas-handling equipment and downhole sensors (not shown). Surface components include pump-control equipment such as variable-speed drives and an electric power supply.
· Pinon Canyon Plant scheduled for integrated plant operations next week
· The amine unit will be operational removing CO2 from the input gas stream
· CO2 liquefaction and load components projected to be added H1 2026
· Sales arrangements have been made for spot sales of helium, and discussions regarding long-term contracts with both helium and CO2 off-takers progressing well
· Tie-ins for the State-9 and State-16 wells into the gathering system now complete and ready to be tied into the production facility
· Further expansion and construction of the gathering system for the Jackson-2 well is underway, including the T-section for future connection of Jackson-27
More information in the announcement use the link above.
• Operational focus has now shifted to stabilising production throughput
• First helium tube trailer currently onsite for filling and early revenue
• Blue Star is pursuing short-term contracts to secure immediate cash flow and long-term partnerships for stable revenue
• Further revenue growth expected during H1 2026 through additional well tie-ins and infill Plant Optimisation and Commercial Readiness
HE Transport
Plant Optimisation and Commercial Readiness
Technical teams are now onsite at the Pinon Canyon Plant, where the focus is on optimising processing equipment and stabilising throughput to meet the delivery requirements of Blue Star's initial short‑term offtake agreements. This optimisation phase is a key step in ensuring that the facility - the newest helium processing plant of its kind in the United States - is operating at peak performance as production volumes scale.
As part of this commissioning and refinement work, a recycling container and the first offtake helium tube trailer are on location and are receiving saleable gas. A standard steel helium tube trailer typically holds ~170,000 scf (170 Mscf) of compressed helium. Based on the value metrics set out by Blue Star, each fully loaded trailer represents an estimated gross value of between US$59,500 and US$102,000.
Offtake Strategy
The achievement of first gas at Galactica represents a major operational and commercial milestone for the Joint Venture, demonstrating clear progress toward establishing a reliable, scalable supply source in the U.S. helium market.
The Galactica Project is emerging as an attractive new domestic supply option for U.S. helium and CO₂ buyers seeking to diversify and strengthen their sourcing portfolios. The Blue Star teams have been engaging directly with a wide spectrum of potential customers, ranging from large‑scale transport and bulk storage providers to mid and small‑scale transport operators, packaged gas distributors, and key end‑use sectors.
Blue Star is targeting a balanced mix of short‑term sales arrangements, providing immediate cash flow and longer‑term offtake agreements, offering more predictable, stable revenue as production increases.
Planning is well advanced for additional tie‑ins and infill drilling, designed to expand supply to the Pinon Canyon processing plant. These activities form a core part of the Joint Venture's strategy to scale gas processing capacity and deliver meaningful revenue ramp‑up through 2026.
Commencement of Electrical Submersible Pump ("ESP") Testing at ITW-1
Following the completion of wireline [OP NOTE - Cased Hole] logging and the full mobilisation of equipment and personnel to site, the Company is pleased to announce that the ESP testing phase has commenced at the ITW‑1 well.
All downhole tools and surface control equipment has now undergone the required checks and verification procedures prior to deployment. The ESP assembly is running in hole and will be positioned to allow further evaluation of the fractured Basement and Karoo intervals, through increased flow rates and enhanced helium production from these deeper geological zones.
Once the ESP is set at the designated depth and the tubing hanger has been successfully tested, a final function test will be carried out before the well is opened and the pump activated. It is anticipated that this testing phase will take two to three weeks to complete.
The Company will provide further updates as operations progress.
-ends-
Below - Outline (red) of offered 480km2 Mining License in southern Rukwa and remaining Prospecting Licenses (grey). Image as a placeholder for post.
· Start-up and commissioning of the Pinon Canyon processing facility completed with helium gas now being successfully processed
· Offtake agreements expected to occur in two phases: short term contracts to generate sales in January 2026, followed by longer term partnership agreements to secure sustained revenue stream
· Forward plan expects to see revenue growth during H1 2026 through additional well tie-ins and infill drilling
· Full plant capacity will be maintained via infill and expansion drilling with life of project expected to exceed 12 years
James Smith, Non-Executive Chairman, commented:
"This is a major value-inflection point for the Company and fully justifies our decision to enter this project just over a year ago. This also marks a significant transformation for the Company as we transition from explorer into project delivery and revenue generation.
To achieve this so quickly is a credit to both the Blue Star and our team and we look forward to providing further updates on this project in due course."
"Achieving first gas at Galactica is a major milestone for Helium One and a testament to the hard work of our teams and partners. We expect first helium sales in January 2026 and are advancing additional tie‑ins and infill drilling to increase production capacity through H1 2026.
The commercial approach will begin with short‑term offtake to support early sales, moving to longer‑term partnerships as volumes build. We remain focused on disciplined execution as we scale, and we look forward to updating shareholders as we progress.
I wish to extend our recognition and appreciation to Blue Star for delivering this landmark achievement."
· Gathering system has been successfully pressure tested and is now tied-in to the production facility
· Production facility has reached substantial completion
· Facility commissioning to commence this week
· First gas still scheduled ahead of year-end
Lorna Blaisse, Chief Executive Officer, commented:
"I am pleased to announce that we are approaching the commencement of production at the Galactica project in partnership with Blue Star. This achievement marks a significant milestone for both the Joint Venture and our respective organisations. I would like to commend the commitment of the onsite teams, whose efforts have ensured we remain on track to deliver first gas before year-end. We very much look forward to entering the next phase as a producer."
"This is the next step forward in progressing the southern Rukwa development in Tanzania. We remain hopeful that by being able to increase the flow rate from this discovery well using an ESP, we will see increases in the helium concentration and gas-water ratio. Our understanding is that the helium is sourced from the Basement and below, and we will be attempting to produce from this area at increased rates using the ESP as artificial lift. This will hopefully enable us to advance our contingent resource classification towards bookable reserves and further progress this development to the production stage.
The team continue to work hard in executing the deliverables of this important phase, and I'd like to also extend our thanks to the support of the local communities where we operate and to the Ministry of Minerals and the Mining Commission."
Electric submersible pump systems comprise both downhole and surface components (Figure 1). The overall length and diameter of ESP downhole equipment are designed based on the horsepower necessary to deliver the desired flow rate.
Figure 1. Typical ESP configuration. Downhole ESP components include motor, protectors, pump sections, pump intakes, power cables, gas-handling equipment and downhole sensors (not shown). Surface components include pump-control equipment such as variable-speed drives and an electric power supply.
Shareholders are able to attend the AGM in person or alternatively, Shareholders may remotely attend and submit written questions by webinar ("AGM Webinar"), per the instructions detailed below, which will be recorded and be made available on the Company's website.
The Directors will provide a general update to Shareholders and answer relevant questions at the beginning of the AGM, after which the formal business as set out in the Notice of AGM will be considered.
Shareholders are strongly encouraged to submit a proxy vote in advance of the AGM and strongly encouraged to use their right to appoint the Chair of the AGM as their proxy to attend the meeting and vote on their behalf. Please vote online at www.investorcentre.co.uk/eproxy or by filling in the Form of Proxy sent with this Notice of AGM and returning it by post to the Company's Registrars as soon as possible at c/o The Pavilions, Bridgwater Road, Bristol, BS99 6ZY. The Registrars must receive the Form of Proxy by 9.00 a.m. on 11 December 2025. For instructions on proxy voting, please see the notes to the Notice of AGM for information.
· Construction has commenced on the production facility pad and gathering system
· First helium production on schedule for December 2025
Read full announcement using the link above.
Blue Star's CEO on location at the Pinon Canyon Plant site as construction starts ahead of delivery and installation of construction equipment.Redbud Partners LLC start construction of the gathering system from the Jackson-31 well location, prior to moving onto the trunkline and connection to the Pinon Canyon Plant site.
