Quantum Helium’s exploration focus is Southwest and Southeast Colorado, which has significant concentrations of helium and historical helium production.
Dual target helium and hydrocarbons is a significant commercial benefit (such as Sagebrush which has oil production and revenues) Quantum Helium’s established helium infrastructure provides opportunity for early production and sales.
- Sagebrush Project
(Quantum Helium 90%) - Coyote Wash Project
(Quantum Helium 100%)
The approval of the Coyote Wash IMDA is a major step forward for Quantum. It provides the regulatory framework required to advance what is already an independently verified 0.97 BCF 2U gross helium prospective resource with additional oil upside. Coyote Wash adds real scale to our Colorado portfolio.
At the same time, our immediate focus remains on Sagebrush, where the extended production test at Sagebrush-1 is fully prepared pending final regulatory approvals. With documentation confirmed as in good standing and the assignment process progressing towards conclusion, we believe the remaining approvals are now in their final stages and look forward to updating the market upon receipt.
Howard McLaughlin, Chief Executive Officer
Stable investment area
OECD (incl. USA)
High helium %
Significant commercial benefit
Established infrastructure
Drilling costs
Moderate drilling costs
Established production
Acquired three initial projects
Low entry costs with high potential
Net Production attributable to Quantum Helium in the year to 30 June 2024 was 16,340 boe, compared to 31,067 boe in 2023. The decrease in net production was primarily due to lower production at Cinnabar, which was somewhat offset by increased production at Stanley.
A summary of the current oil and gas projects as at 30 October 2024
Sagebrush Project
Sagebrush is a large acreage position of 10,000 acres, split between the South area comprising 2560 acres and the North area 7440 acres, with existing oil fields and helium encounters in the area.
The Sagebrush Project is in the Four Corners region in Colorado, US which is an area of established helium production from the Leadville formation carbonates from fields such as Doe Creek, 50 miles to the north of the Sagebrush Project.
The Sagebrush Project current oil production is circa 40 bopd (gross) from 7 wells which enable the 10,000 leased acres to be Held By Production. Quantum Helium has existing well data, oil production records and seismic data and recently received test data from the Sagebrush-1 well drilled in 1993 from the previous operator where a drill stem flow test (“DST”) conducted in the Leadville Formation flowed gas with 2.76% helium, 34.5% nitrogen, 39.9% carbon dioxide, 19.5% methane and circa 3% other petroleum gases.
Sagebrush South
- Area: 2560 acres
- Seismic coverage: 3D
- Targets: oil encountered at Sagebrush-1 in algal mounds in the Ismay Fm (post salt) and helium within pre-salt sandstones
- Produced: Oil production of 303,359BO + potential for 0.25Bcf helium
Sagebrush North
- Area: 7440 acres
- Seismic coverage: 3D
- Targets: Ismay Fm (post salt) – analogous to Roadrunner and Towaco oil fields which lie directly to the west of Coyote Wash
At current market prices, the main value of the gas is the helium. The hydrocarbons may have value either for sale or avoiding costs by onsite power generation.
The Sagebrush project includes midstream and upstream infrastructure available for helium and natural gas. An existing pipeline joins the Sagebrush/Coyote Wash areas to the Lison Helium/Gas plant, and while the Colorado section is currently not in use, it can be reactivated.
Quantum Helium has also been assessing options for surface facilities required to process helium once production is established. Initial reviews of plant design and fabrication timelines have been encouraging, with no technical impediments identified. This early work is important to ensure that Quantum Helium can move quickly from successful well testing into commercial helium sales, by aligning subsurface development with a practical and scalable surface solution.
Sproule analysis – Summary of raw Gas Resource volumes
| Sproule ERCE (MMscf) | 1U | 2U | 3U |
|---|---|---|---|
| Total Raw Gas | 2,906 | 4,842 | 9,760 |
| Hydrocarbon Gas | 661 | 1,101 | 2,218 |
| Helium Gas | 80 | 131 | 269 |
| CO2 Gas | 1,161 | 1,964 | 3,899 |
May ’25 – First internal estimate of helium and hydrocarbons
In May 2025, Quantum Helium announced the first estimate of helium and hydrocarbon volumes at the Sagebrush Project.
- Maiden C2 net best estimate Contingent Resources of 205 million cubic feet (mmcf) of helium and 1.7 billion cubic feet (bcf) of hydrocarbon gases at the Sagebrush Project as determined by Quantum Helium utilising a report from Four Corners Helium LLC (“FCH”) dated 5 May 2025 in which seismic interpretation indicates a structural closure of circa 585 acres and estimates the initial gas in place volume as 18.4 bcf and recoverable gas volume to be 11 bcf (“FCH Report”).
- The combination of existing wells, flow tested helium and hydrocarbons, oil production infrastructure and an existing gas pipeline provide the ingredients to move in stages to a potential fast track helium and hydrocarbon development at the Sagebrush Project.
- The fast-track development potential is in addition to the significant exploration prospects identified by seismic at both the Sagebrush Project and the adjacent Coyote Wash Project.
Jan ’26 – BIA approval of Irrevocable Letter of Credit
Quantum Helium Limited (AIM: QHE) is pleased to announce that the Irrevocable Letter of Credit (“ILOC”) required for bonding has now been formally approved by the U.S. Bureau of Indian Affairs (“BIA”).
Approval of the ILOC marks an important regulatory milestone for the Company and reflects the strong and constructive engagement that has taken place with the BIA over recent weeks. This approval clears an important prerequisite for the advancement of operations at the Sagebrush Project.
With the ILOC now approved, the next steps are the assignment of the relevant leases and the formal designation of operatorship, both of which are progressing with the BIA. The Company notes that discussions with the BIA have been positive and productive, and momentum across the process continues to build.
Feb ’26 – Initial 3D seismic review
In February 2026, Quantum Helium provided an update on the interpretation of the recently acquired high-resolution 3D seismic survey at its Sagebrush Helium Project in Colorado.
- Initial processing of the Sagebrush high-resolution 3D seismic survey completed
- Historic Sagebrush-1 well confirmed as a dual oil and helium well, with the Ismay Formation producing over 300,000 barrels of oil and a deeper Drill Stem Test in the Leadville Formation flowing non-flammable gas containing 2.76% helium
- Initial interpretations suggest large potential helium-bearing Leadville structure consistent with historic well data and prior independent evaluation
- 3D seismic confirms the structural interpretation previously mapped from reprocessed 2D seismic
- Early identification of new potential oil and helium targets at Sagebrush and Coyote Wash
- Results materially de-risk the planned extended production test at Sagebrush-1
Coyote Wash Project
Quantum Helium holds a 100% working interest across the project area of 4320 acres, with 3D seismic coverage over the entire project area. Historically, Coyote Wash 30-12 was drilled by Wintershall in 1984, with tested non-flammable gas results.
Today, Quantum Helium has identified six large helium prospects identified with 3D seismic targets consisting of helium within pre-salt Leadville Carbonates and McCracken sandstones, plus overlaying oil potential in Ismay Fm.
Highlights
- Project area: 4320 acres
- Working interest: acquired in December 2024
- Seismic coverage: 3D seismic coverage over entire project area
- History: Coyote Wash 30-12 drilled by Wintershall, 1984, tested non-flammable gas, estimated to be ~2.5% helium
- Prospects: 6 large drillable prospects identified with 3D seismic
- Targets: Helium within pre-salt Leadville Carbonates and underlying McCracken sandstones
- Overlaying oil potential in Lower Ismay Fm
- CS5 area is adjacent to producing oil field Mariano Wash
Sproule analysis – Summary of raw Gas Resource volumes
| Sproule ERCE (MMscf) | 1U | 2U | 3U |
|---|---|---|---|
| Total Raw Gas | 15,695 | 35,182 | 60,928 |
| Hydrocarbon Gas | 3,567 | 7,998 | 13,850 |
| Helium Gas | 432 | 970 | 1,682 |
| CO2 Gas | 6,271 | 14,055 | 24,342 |
Sproule ERCE estimates 2U gross recoverable helium of 0.97 BCF at Coyote Wash, representing Quantum’s second independently evaluated helium resource.
Combined with Sagebrush, Quantum now has 1.104 BCF gross (828 MMscf Net) 2U helium, all independently evaluated with a potential gross value of ~ US$331 million ($300/Mscf). Sproule ERCE also identifies up to 750,000 barrels of potentially recoverable oil at an Ismay prospect with three potential well location.
This establishes Quantum as having one of the largest independently verified helium portfolios among London-listed helium companies.
IMDA Approval
The IMDA provides the contractual and regulatory framework under which Quantum may develop helium and hydrocarbon resources on Tribal lands within the Coyote Wash project area, where the Company holds a 100% working interest and is operator.
With IMDA approval now secured, Quantum is positioned to:
- Advance well planning and final permitting activities;
- Progress drilling preparations across the five mapped Leadville helium prospects;
- Refine development planning for both helium and Ismay oil targets; and
- Move towards drilling and development operations at Coyote Wash.
As announced on 19 December 2025, Sproule ERCE independently confirmed 2U gross prospective helium resources of 0.97 BCF at Coyote Wash. Combined with the 0.134 BCF 2U gross helium prospective resource at Sagebrush, Quantum holds 1.104 BCF gross (828 MMscf Net) 2U helium across its Colorado portfolio.
Sproule ERCE also identified prospective recoverable oil resources at Coyote Wash of up to 750,000 barrels (3U case) within the Ismay Formation.
Coyote Wash contains five drill-ready Leadville helium prospects mapped on the recently reprocessed 3D seismic, together with additional Ismay oil targets, positioning the project as a material growth component of Quantum’s Colorado strategy.
