Commenting on this operational achievement, Mr. Marlon McDougall, President and COO stated, "In early 2022 we indicated that we planned to double helium production during 2022. With the commissioning of these newest helium production facilities, we've done that. NAH now has five helium production facilities in operation and this sets the Company up to significantly grow production again in 2023. Including volumes from these latest helium production facilities, our current production is in excess of 110 MMcf/y." Mr. McDougall continued:

"We have been very deliberate in our exploration and development planning, including pre-ordering long-lead equipment, so we can efficiently tie-in new wells and begin marketing new helium volumes to customers in this tight supply environment. As we continue to execute on our growth strategy, the Company plans to market approximately 60 MMcf/y of additional helium volumes throughout 2023."

Non-Hydrocarbon Sourced Helium Contracted On Long-Term Agreement With Linde

Commenting on the growing production volumes now on long-term contract, Mr. Nicholas Snyder, Chairman and CEO stated, "We are pleased to be working with Linde, the world's largest industrial gas company, as the primary off-taker of the helium production from our newest facilities. Bringing two new production facilities online in consecutive months is a result of our increased levels of investment across our business over the last 18 months.

"We are now operating on a scale where there are multiple prospects getting ready to drill, new discoveries undergoing additional development drilling, and new production facilities coming online each year. It's a continuous process to bring predictability and reliability to this business in a way that hasn't previously been seen from the upstream helium sector.

As we continue to grow, we expect to become a larger part of the helium supply picture in North America, and ultimately a major global producer. We believe our non-hydrocarbon sustainable helium supply is more attractive to industrial gas distributors and also helium end-users not only because of their own emissions reduction goals but also because we have shown our operations to be more reliable than some hydrocarbon-linked helium projects. The location of our projects, both in terms of access to logistics and taking into account the current geopolitics, is a clear differentiator."

Growing Helium Production Provides Opportunity For Spot Sales

NAH has historically contracted substantially all of its helium production on long-term contracts with gas distributors. In order to assist end-users of helium during this latest shortage, NAH now plans to keep a portion of its supply available for sale in the spot market. Beginning in early 2023, customers will have the option to purchase spot loads of high purity helium gas or liquid to meet their critical business needs.

NAH Improving Logistics Capability With Acqusition Of Liquid ISO Containers

To continue to meet the logistics needs of its customers, NAH currently has a fleet of 15 high volume composite trailers in which the Company can deliver gaseous helium. That fleet is expected to add up to 10 more composite trailers by year-end. Throughout 2023 NAH will also start taking delivery of six Gardner 175-40 ISO containers for the transport of liquid helium. Owning its own ISO containers further expands the Company's service offering by enabling the delivery of liquid helium directly to customers who do not own or have access to ISO containers within the North American and international markets.

Related Links
North American Helium
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