American Noble Gas, Inc. announced initial results that confirm that it has become one of the few United States publicly traded companies that is actually producing and selling helium gas. The Company reported results that met its initial goals in terms of production forecasts and further confirmed that its initial production is generating positive cash-flow from its Hugoton Gas Field operations. The Company's first production well, the Peyton 21-1, has been producing natural gas, natural gas liquids, and helium since August 11, 2022 at rates most recently over 100 mcfd (Thousand Cubic Feet Per Day).

The results are particularly noteworthy because the Peyton 21-1 well is free-flowing despite the fact that modest fluid has accumulated and is impeding the flow at the bottom of the well near the production zone perforations. A pump has been installed and will begin moving the accumulated fluids to further open up the flow of gas which the company expects will improve production from the Peyton 21-1 well. It should be noted that all three upper main pay zones have not yet been tested.

Only the middle pay zone is currently being produced, with the addition of more pay zones in the future, the Company believes that production may be enhanced further. The helium concentration of produced gas is approximating .5% which is accumulating in account held by the processor and awaiting final sale. The Company is currently in talks with multiple potential buyers of its production.

The company agreement with the helium processor provides that the company control own destiny and may take helium 'in-kind' at the tailgate of the plant. This enables to sell helium to wholesale and retail customers including industrial gas distributors at prevailing market rates throughout the world. Among the various terms being discussed with potential buyers, are price, as well potential financing arrangements, whereby the helium buyer may assist the Company in acquiring capital for growth including the drilling of additional wells in the Hugoton Gas Field, on favorable terms to the Company.

The potential arrangements would provide the helium buyer with a reliable source of helium supply, and the Company with prevailing retail helium market prices and access to a reduced cost of capital for future growth. Helium gas is in short-supply worldwide and its retail value has increased dramatically recognizing its short supply and growing uses. AMGAS is working with its Hugoton Farm-out Venture partners to analyze the information obtained from the successful initial exploratory well drilling and completion to determine the timing and location of the drilling of its next exploratory well.