Galactica Pegasus is Blue Star’s flagship project in Las Animas County, Colorado, and is now in active production. It is operated as a 50/50 joint venture with Helium One Global Ltd. At its centre is the Pinon Canyon Plant. Raw gas passes through an amine unit to strip out carbon dioxide which will be later processed for sale. The resulting helium-enriched stream is then refined through a Helium Recovery Unit and pumped into tube trailers for sale. Development wells have been drilled into the high-quality Lyons Formation sandstone and tied into the gathering system.
Blue Star is selling helium into the US market, the largest market in the world. Sales agreements are expected to be a combination of spot price short term contracts and long-term supply contracts for both helium and carbon dioxide as the project matures. Carbon dioxide liquefaction is planned for the plant, adding a second revenue stream. A significant number of additional drilling locations have been identified across the broader project area, underpinning a multi-stage development plan with a long operating life.
For current status and progress, see the Company’s latest ASX announcements and presentations.
Blue Star holds the Voyager helium discovery in Colorado, a contingent resource in the Lyons Formation. Development timing will be reviewed once Galactica Pegasus reaches full capacity and generates sustainable cash flow.
The Serenity prospect, a proven high-grade carbon dioxide discovery with multiple locations mapped for commercialisation, offers further upside.
Blue Star holds a substantial acreage position in Las Animas County, Colorado, with prospective helium and carbon dioxide resources across multiple formations and plays. A successful drilling programme at Galactica, which consistently found high-quality gas in the Lyons Formation, has validated the broader portfolio. Exploration is being advanced alongside production ramp-up.
A significant number of additional drilling locations have been identified within the project area. Beyond Galactica and Pegasus, regional drilling is planned across the Las Animas acreage, with additional modular processing facilities envisaged at new discoveries. The portfolio spans substantial shallow resources in the Lyons helium play, as well as identified deeper formations considered to hold significant additional resources.
