Set to sell its gas to the largest industrial gas company globally for USD$500/MCF, Total Helium (TOH.v TTLHF) is the only publicly traded producer of helium and is strategically positioned to become a leading supplier in North America.
With supply disruptions posting critical challenges and giving rise to the helium shortage 4.0, the value of helium is steadily increasing, creating an attractive market for investors seeking long-term growth due its limited supply.
TOH is on track to have 20 wells in operation by the second quarter of 2023 at its 27,000-acre Pinta South Project in Arizona's helium-rich Holbrook Basin, before scaling its operations significantly to upwards of 150 wells.
Notably, the concentrations at Pinta South range from 5-8%, surpassing the average helium concentration of up to 3% and emphasising the significant potential and economic viability of the project.
Having secured a partnership with the largest industrial gas company globally, Linde (LIN, $170+B market cap), TOH is situated for substantial returns. For example, the successful production of 50,000mcf of helium at 8% concentration from TOH's two existing wells would generate over $9M in three years, securing robust economics for the project.
For more information, check out this report outlining the economics of TOH: https://www.goldherzreport.de/ausgabe-23-2023-dieser-gas-schatz-macht-aktionaere-gluecklich-niedriger-gas-preis-egal/
Posted on behalf of Total Helium Ltd