80 Mile makes breakthrough in Finland helium discovery

9th Sep 2024 13:07

(Sharecast News) - 80 Mile announced a significant breakthrough in its exploration programme in Finland's Outokumpu Belt on Monday, with the discovery of high concentrations of helium at the surface of select historical drill holes.

The AIM-traded firm - formerly known as Bluejay Mining - said the finding was a major advancement in its efforts to evaluate the potential for helium and hydrogen resources in the region.

In the Perttilahti area, located at the centre of the company's tenement package, surface tests revealed helium concentrations as high as 10.7%, far exceeding initial expectations.

That was the first recorded instance of helium flowing to the surface in Finland - a departure from previous detections, where helium was dissolved in groundwater at depth.

The presence of helium at surface indicated significant potential for accessible, commercially viable helium resources.

80 Mile said it used a portable helium detector to measure gas concentrations directly from historical drill holes during its surface sampling programme.

The high readings strengthened the case for further exploration and validated earlier data collected in the region.

It said the results not only confirmed the Outokumpu Belt's potential for industrial gas resources, but also provided a strong foundation for accelerating exploration efforts.

In addition to helium, a 2,480-metre-deep drill hole yielded up to 46% geological hydrogen, further highlighting the belt's potential for industrial gas reserves.

With over 2,000 historical drill holes, the firm said it had a robust dataset to fast-track its evaluation of gas resources across its 40-kilometre licence area.

80 Mile was planning to intensify exploration activities in the Outokumpu Belt, focusing on areas with the highest helium concentrations.

That would include further surface sampling, re-entering select drill holes for deeper testing, and integrating the data with historical seismic records to identify the most prospective zones.

It said it was also preparing a proof-of-concept study to assess the commercial viability of extracting helium and hydrogen from existing deep drill holes.

While 80 Mile remained cautious, the study could be a key step toward generating revenue from the project if successful.

It said it was aiming to proceed methodically to ensure technical and economic feasibility.

"We are thrilled with the initial surface helium concentrations identified in the Outokumpu Belt," said managing director Eric Sondergaard.

"These results exceed our expectations and provide strong evidence of the region's potential as a significant source of helium and other industrial gases.

"Our exploration strategy, supported by extensive historical data and modern sampling techniques, is yielding tangible results that could unlock substantial value for our shareholders."

Sondergaard said the detection of helium or hydrogen flowing at the surface was "highly significant" due to the small molecular size of the gases.

"Helium and hydrogen are the smallest and lightest elements, with very low molecular weights.

"These characteristics make both gases extremely mobile and capable of escaping from subsurface reservoirs into the atmosphere over time.

"For helium or hydrogen to be detected at surface levels, there must be a sustained and significant source of these gases continuously feeding upward, suggesting the existence of large, potentially commercially viable subsurface accumulations."

"Such discoveries were rare, Eric Sondergaard added, and could potentially be tapped for commercial use, especially in the case of helium, which is a critical resource with various industrial applications including in medical technology, space exploration, and cryogenics.

"We have only begun to scratch the surface at Outokumpu.

"We are committed to accelerating our work program and leveraging these findings to further delineate the helium and hydrogen potential of the Outokumpu Belt.

"Our goal is to advance towards commercial viability in the most efficient and cost-effective manner possible."

At 1234 BST, shares in 80 Mile were up 1.03% at 0.33p.

Reporting by Josh White for Sharecast.com.