CALGARY,
AB, May 17, 2023 /CNW/ - Avanti Helium
Corp. (TSXV: AVN) (OTC: ARGYF) ("Avanti" or the "Company")
is pleased to provide an operational update on its Sweetgrass
Project within its Greater Knappen asset.
Land Secured for Helium Recovery Plant
Avanti is pleased to announce it has secured 40 acres of land in
Liberty County, Montana which is
expected to be the site of the Company's Helium Recovery Unit (HRU)
that will process raw gas from the WNG 10-21, and WNG 11-22 wells.
The site is located ~3-4 miles from the Company's Sweetgrass pool and is adjacent to an
all-season public road. Avanti has signed a 25-year lease with an
option to renew and has also secured all pipeline easements from
the wells to the site. The lease agreement is subject to customary
closing conditions.
Helium Recovery Plant
In addition to securing the land, the Company has completed the
review of proposals from several midstream and Helium Recovery Unit
manufacturers. The Company expects to move forward and enter into a
definitive agreement with respect to development of the HRU in the
coming weeks. The Company is targeting to have the HRU in place and
on stream in Q4 2023.
Liquefaction Tolling Agreement
The Company is also pleased to announce it has signed a Helium
liquefaction tolling agreement with Paradox Midstream LLC for 150
Mcf/d of helium gas to be liquified at Paradox's Lisbon gas plant located in Southern Utah. The liquefaction tolling
agreement will commence upon completion of the Helium Recovery
Unit, expected in Q4 2023.
"Having drilled one of the most significant helium wells in
North America in decades, Avanti's
focus has shifted to extracting best-in-class returns from
production and commercial arrangements," commented Chris Bakker, Avanti CEO. "The announced
agreements progress our plan to market 99.999% pure liquid
Helium. Negotiations on the remaining agreements are
progressing well and we expect to have additional information
available to shareholders in the coming weeks."
About Avanti Helium Corp
Avanti Helium is focused on the exploration, development, and
production of helium across western Canada and the
United States. Avanti's professional oil and gas exploration
and production team is actively targeting helium trapped in
structures to help meet the increasing global demand for an
irreplaceable and scarce element critical to advanced technology,
medical and space exploration industries. For more information,
please go to the Company's website
at www.avantihelium.com.
Forward-Looking Statements
The information set forth in this news release contains
forward-looking statements that are based on assumptions as of the
date of this news release. These statements reflect management's
current estimates, beliefs, intentions and expectations. They are
not guarantees of future performance. The Company cautions that all
forward-looking statements are inherently uncertain and that actual
performance may be affected by a number of material factors, many
of which are beyond the Company's control. Such factors include,
among other things: statements relating to the anticipated closing
of the lease agreement, the expected timing for the development of
the helium recovery plant and timing estimates with respect to
initial production therefrom, statements relating to the expected
benefits to Avanti from the liquefaction tolling agreement and HRU,
risks associated with helium exploration, development, production,
marketing and transportation, volatility in helium prices, risks
relating to the Company's ability to access sufficient capital from
production and external sources, risks and uncertainties
relating to the Company's limited operating history and the need to
comply with environmental and governmental regulations.
Accordingly, actual and future events, conditions and results may
differ materially from the estimates, beliefs, intentions and
expectations expressed or implied in the forward-looking
information. Except as required under applicable securities
legislation, the Company undertakes no obligation to publicly
update or revise forward-looking information. Please see the
public filings of the Company at
www.sedar.com for further information and risks
applicable to the Company.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the Exchange)
accepts responsibility for the adequacy or accuracy of this
release.
SOURCE Avanti Helium Corp.