Helium

Helium is a unique industrial gas that is an element in the manufacture of MRIs and semiconductors and is necessary for fibre optic cable manufacturing, hard disc manufacture and cooling, space exploration, rocketry, lifting and high-level science.

There is no way of manufacturing helium artificially and most of the world’s reserves have been derived as a by-product of the extraction of natural hydrocarbon gas.

  • Chinese import price rising to $623/mcf in Feb 2023
  • The price has increased at CAGR of 20% over the last decade
  • US Defence Logistics Agency bulk helium pricing at $1,080/Mcf (2023)
  • NASA signed five year for 1.16Bcf helium supply contract at $918/Mcf (Nov ‘22)

The Helium Market

  • Helium in unprecedented short supply as demand for high-tech applications continue to grow
  • Demand growth estimates CAGR of 6% from 5.9bcf/y in 2023 to 8.7bcf/y in 2030
  • CHIPS act (2022) expected to significantly increase domestic demand in USA
  • Existing production is declining at around 2-3% per annum compared
  • Supply risk skewed to the downside given the history of delays/ramp-up issues for new projects
  • New sources of primary helium production allows flexibility to increase supply in line with demand
Helium Demand by Region
Helium Demand by Region

Healthcare

  • MRI Scanners
  • NMR machines
  • Assisted Breathing
  • Microscopes
  • Cryogenics
Healthcare

Industrial Uses

  • Welding
  • Leak detection
  • Fusion reactors
  • Diving
  • Small-scale fission
Industrial Uses

Aerospace & Defense

  • Fuel purging systems
  • Defence systems
  • Commercial space or near-space travel
  • Lifting gas
  • Airships
Aerospace & Defense

Technology Manufacturing

  • Semi-conductor manufacturing
  • Quantum computers
  • LCD panels
  • Fiber optic technology
Technology Manufacturing