Hyterra (ASX:HYT) Hits 4.4% Helium at Blythe Well, Expands Kansas Gas Discovery

Key Highlights:

• Helium concentrations peak at 4.4% in Blythe 13-20 well, extending Kansas’ helium footprint
• Appraisal well conversion marks a strategic pivot for HyTerra (ASX:HYT)
• Helium’s growing role in semiconductors, MRI, and aerospace adds urgency to discoveries
• Kansas confirmed as a helium-rich powerhouse amid global supply vulnerabilitie
   

Hyterra Ltd (ASX:HYT) has added new momentum to the helium sector with a promising discovery at its Blythe 13-20 well in Kansas, revealing peak helium concentrations of 4.4%—a rare figure for the region and a strategic expansion beyond its Sue Duroche 3 area. This update comes as global helium demand accelerates amid growing use cases in medicine, semiconductors, and space exploration.

HyTerra is now preparing to convert the Blythe 13-20 into an appraisal well, initiating a new phase of operational development in the Nemaha Project. A workover rig will be mobilised in July to clean out drilling fluids and install downhole monitoring tools, laying the groundwork for a robust testing campaign post-drilling.

A Strategic Discovery Beneath Kansas Soil

Drilled to a total depth of 5,300 feet, the Blythe 13-20 well passed through 3,028 ft of sedimentary rock and 2,260 ft of Pre-Cambrian basement, uncovering unexpectedly high helium concentrations in the latter. While hydrogen levels peaked at 16.5%—less than previous discoveries—Executive Director Avon McIntyre remains optimistic.

“The discovery of high helium concentrations in an area previously untested for this potential is a highly encouraging result. We may have drilled into a helium and hydrogen migration pathway between the Mid-Continent Rift and the Nemaha Ridge,” McIntyre stated in the announcement .

This isn’t just a scientific win—it’s a commercial one. The helium play significantly expands HyTerra’s operational frontier within Kansas, a region already recognised as the U.S. helium heartland. Notably, Blythe 13-20 lies just 1,400 metres east of the historic Scott-1 well, deepening HyTerra’s subsurface footprint.

Why Helium Matters

While often overshadowed by hydrogen, helium is a strategic commodity critical to several high-tech sectors. Its inertness, low boiling point, and non-reactivity make it irreplaceable across applications like:

• MRI Machines: Liquid helium is required to cool superconducting magnets
• Semiconductors: Enables precision cooling during wafer fabrication
• Aerospace: Used in rocket fuel pressurisation and leak detection
• Medical Use: Supports respiratory therapies and deep-sea diving
  
   

According to Discovery Alert, about 32% of U.S. helium is consumed by healthcare, while 18% supports semiconductor production, and 17% serves defence and aerospace needs .

Given its non-renewable nature and limited global reserves, helium discoveries like Hyterra’s are strategically vital—not just for the company but for broader supply chains.

Kansas: The U.S. Helium Core

Blythe 13-20 reinforces Kansas’ status as America’s helium stronghold. The state hosts eight production plants and boasts a historical record dating back to 1903, when the first significant helium discovery occurred in Dexter, with concentrations of 1.84%. HyTerra’s 4.4% peak at Blythe eclipses that benchmark.

Kansas’ extensive transport infrastructure, skilled local workforce, and regulatory support only amplify its appeal as a critical gas hub. The proximity of HyTerra’s Nemaha leases to these existing systems positions the company for streamlined development and offtake options.

A Broader Strategic Pivot

Backed by Fortescue Future Industries Technologies Pty Ltd, HyTerra’s recent drilling campaign spans three wells across the April–July 2025 period. With this support, the company is increasingly focused on “white hydrogen”—naturally occurring hydrogen that could offer cost and emission advantages over synthetic hydrogen sources.

The Nemaha Project complements Hyterra’s Geneva Project in Nebraska, where it holds a 16% earn-in interest. Both assets sit strategically close to ammonia producers and petrochemical hubs, opening up near-term commercialisation routes.

“This is not just about one well,” said McIntyre. “It’s about proving up a system with multi-well, multi-commodity potential—hydrogen, helium, and more—in an environment that supports rapid scalability.”

Final Take

HyTerra’s high-grade helium find at Blythe 13-20 not only revives interest in Kansas’ geological promise but also underscores the company’s long-term ambition to become a dual commodity leader in the clean energy transition. As helium’s irreplaceable role in modern tech becomes clearer, investors will be watching closely how the company transforms this discovery into a commercial success.

Stock Price (as of 11:34am AEST, July 3, 2025): $0.026 (-3.70%)