HyTerra Ltd (ASX:HYT) has cut the ribbon on the initial flow testing phase at its Hoarty NE3 exploration well, part of Project Geneva's natural hydrogen hub in Nebraska, USA.
Partner and operator Natural Hydrogen Energy LLC has since moved to the next phase of pivotal tests, which will measure the wildcat well’s hydrogen gas composition, pressure and flow rates.
As part of the phase one wind-up, the HyTerra team has installed supporting equipment and demobilised its completion rig, while extended flow testing is now underway.
This first work phase forms part of a multi-month testing campaign, designed to evaluate Hoarty NE3’s potential as a pioneering natural hydrogen source.
Energy’s next big thing?
Interestingly, HyTerra is the first ASX-listed company with a focus on exploring for and producing natural hydrogen.
The hydrogen stock is in a joint development agreement with Natural Hydrogen Energy, a partnership aimed at developing the world’s first wildcat well targeting natural hydrogen in Nebraska.
Under the deal, HyTerra has the option to acquire 51% of the assets and assume operatorship — an important prerequisite for a company that believes natural hydrogen is energy’s new frontier.
In a recent interview with Proactive, executive director and chief technology officer Avon McIntyre said this clean alternative to methane was, in a word, disruptive.
“There’s an increasing demand for clean energy and hydrogen as an actual fuel source, rather than as a fuel vector,” he explained.
“I’d like to see hydrogen replace oil and gas, especially for baseload power.
“I’m under no illusions natural hydrogen is going to come along and displace that anytime in the near future, but a few years from now, who knows?
“If we can demonstrate technical and commercial success, it seems a natural progression.”