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Gas Analysis Update for Kansas Nitrogen Project
Gas Analysis Update for Kansas Nitrogen Project.
About this update from Chill Brands Group Plc
[{"type":"text","content":"\n \nRNS Number : 9808S Highlands Natural Resources PLC 29 June 2018 \n\nTHE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY HIGHLANDS TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO. 596/2014 (\"MAR\"). ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE (\"RIS\"), THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.\n \n29 June 2018\nHighlands Natural Resources plc ('Highlands' or 'the Company')\nGas Analysis Update for Kansas Nitrogen Project \n \nHighlands, the London-listed natural resources company, is pleased to announce that gas samples collected from the Barret 1-14B Well in Kansas during the company's flow tests on 21 June 2018 indicate initial nitrogen purity levels over 99.59%. The analysis has been conducted by Isotech Labs, a prominent independent laboratory who serves the industry across the United States.\nBy way of illustration of the importance of this result, nitrogen with 98-99.5% purity is used as a preserving agent by food and beverage producers, meaning that Highlands' output could be immediately used in this industry.\n \nOf further significance is that over time the flow rate of the well has increased to 2,581 Mcfpd (compared to the initial flow test of 1,769 Mcfpd rate). At these indicative levels of production, with numerous oil and gas fields in neighbouring states, Highlands may soon be in a position to secure much of its nitrogen supplies for its DT Ultravert needs more economically. For example, during Highlands successful Parent Well Protect test in the Permian Basin 8,762 MCF of nitrogen was purchased for a cost of $79,200 ($9.04 per MCF). Also, during Highlands successful Parent Well Protect test in the Piceance Basin 12,000 MCF of nitrogen was purchased for a cost of $140,400 ($11.70 per MCF). \n \nFurthermore, the geographical position of the Company's reserves may also be significant outside of the oil and gas industry as it is situated in the heartland of the US agricultural industry. By way of example, Highlands estimates that approximately 16 million bushels of corn are grown in the counties surrounding its project. Commercially produced corn requires approximately 1 lb of nitrogen (in the manufacture of ammonia based fertiliser) per b...