MARKET OPPORTUNITY AND ECONOMICS
USA - shortfall in supply expected
- Final auction from U.S. Strategic Reserve (Aug 2018) 4 elevates uncertainty as supply depletes
- US demand is growing, concerns that US is becoming a net importer of helium and may have to consider protectionist policies 2
Global - helium supply issues and geopolitical uncertainty
- Qatar, Algeria and Russia are major suppliers 4
- Russia Amur Plant start-up issues and war sanctions have delayed any new supply 3
Global market prices for helium have increased
- Global Helium Import Prices have grown from ~$US 310 per mcf in January 2020 to over $US 479 per mcf YTD August 2023 6
Canada - huge opportunity to grow helium industry
- 5th Largest Global Prospective Resource2, but < 2% of annual global production 7
- Government of Canada named Helium a Critical Mineral, strategic to Canada’s transition to a sustainable future
- With US supply depleting, opportunity to fulfil growing Continental market demand
GLOBAL DEMAND
6 bcf/year
$3.94 Billion (2021) - $13.26 Billion (2030) $US 5 |
1. Source: marketwatch.com | 2. Source: USGS | 3. Kornbluth Helium Consulting | 4. U.S. Geological Survey, Mineral Commodity Summaries, January 2022 | 5. Skyquest Technology Consulting Pvt. Ltd. | 6. Akap Energy Ltd. | 7. Statista Research