Helium Evolution Incorporated provided an update on the first two exploration wells drilled at the Company's 100% owned and operated McCord property, HEI-1 (HEI 06-12-006-05W3M) and HEI-2 (HEI 06-2-006-06W3M). Following casing and evaluation of both wells, initial results did not return sufficient quantities of helium to warrant production testing. As such, field operations on both wells have been halted in order to conduct further analysis on the results and the Company's planned operations program.

HEVI has released the contracted rig and is currently reviewing all information gathered during the drilling operations to reassess its exploration model before undertaking additional drilling. With approximately $10 million in cash on the balance sheet, HEVI has sufficient liquidity to pause on its planned six-well drilling program. The Company intends to direct a portion of available funds to a seismic program that can facilitate further evaluation and drilling target identification.

In addition to the Company's operations in the Mankota/McCord area, HEVI also has a five-well commitment from North American Helium Inc. ("NAH") following the execution of a farmout agreement that was finalized on June 28th, 2022. It is anticipated that the NAH drilling program will provide HEVI with valuable data to help expand understanding of the play. Should NAH elect to drill development wells, HEVI expects to allocate a portion of funds towards those projects and would retain a 20% working interest in both the lands earned and each successful well drilled by NAH.