Business
Agreement with Ritchie Exploration
Mendell Helium plc, through its subsidiary M3 Helium Corporation, has agreed with Ritchie Exploration to recomplete the Schneweis well in Kansas, aiming to replicate the successful de-watering technique used at the Rost 1-26 well. Historically, Schneweis produced over 300 Mcf/day before water issues, and M3 Helium believes it can increase production, with drill stem tests exceeding 10,000 Mcf/day. M3 Helium will fund the recompletion and a new disposal well, securing an initial 85% net profit interest, which reduces to 70% after investment recovery, with Ritchie having an option to reach a 50% interest. The well is connected to a pipeline, allowing for the sale of both helium and hydrocarbons, with helium composition measured at 1.39% and methane at 70.06%. Mendell Helium's option to acquire M3 Helium has been extended to April 30, 2026. Disclaimer*
About this update from Mendell Helium Plc
[{"type":"text","content":"\n\n\n \nMendell Helium plc\n \n(\"Mendell Helium\" or the \"Company\")\n \nAgreement with Ritchie Exploration to recomplete Schneweis well\n \nMendell Helium is pleased to announce that, further to the announcements made on 9 December 2025 and 27 January 2026, M3 Helium Corporation (\"M3 Helium\") has entered into an agreement with Ritchie Exploration, Inc. (\"Ritchie\"), a family owned oil and gas operator headquartered in Wichita, Kansas, to re-complete the Schneweis Ventures 13A well (\"Schneweis\") in the Fort Dodge region of Kansas, USA, a well located around four miles south of Rost 1-26 well.\n \nHighlights\n· Schneweis historically produced in excess of 300 Mcf/day before water constrained production\n· M3 Helium believes the well is suitable for the same de-watering technique successfully employed at its Rost 1-26 well (\"Rost\")\n· M3 Helium will fund a new disposal well and recompletion of Schneweis in return for an initial 85% net profit interest in the project\n· If successful, the parties may work together on further Ritchie operated wells\n· Schneweis is connected to a pipeline, owned by Ritchie, so there is no requirement for helium purification facilities at surface and production revenues may include hydrocarbons as well as helium\n \nAs announced on 27 June 2024, the Company has an option (the \"Option\") to acquire M3 Helium, a producer of helium which is based in Kansas and holds an interest in six producing wells. There is no certainty that the Company's option to acquire M3 Helium will be exercised, nor that the enlarged group will successfully complete a re-admission. The Company and M3 Helium have agreed to extend the date on which the Option should be exercised to 30 April 2026.\n \nRecompletion of Schneweis\nAs previously announced, M3 Helium believes that the Rost de-watering technique could be employed elsewhere in the Fort Dodge region and, towards the end of 2025, it commenced discussions with Ritchie to recomplete Schneweis, a well located around four miles south of Rost. A significant advantage of this method of expansion is that existing wells have evidenced prior flow rates and gas compositions. The parties have now entered into a binding contract and...