TOH taking advantage of a $4.4B market The $4.4 billion helium market is facing a current supply shortage due to helium's significant demand, resulting in a supply crisis that is squeezing prices higher.
With no substitutes and a limited supply, helium plays an essential role in a range of industries and is a critical component of various applications including MRI machines, semiconductor manufacturing, and fiber optics.
Positioned to be a top supplier of helium in North America & yielding significant returns with its strategy of acquiring already producing assets to eliminate a large amount of risk, Total Helium (TOH.v TTLHF) is the only publicly traded producer of helium.
TOH is on track to have 20 wells by the second quarter of 2023, with plans to scale up to over 150 wells at its 27,000 acre Pinta South Project located in Arizona's Holbrook Basin, a major and helium-rich field site.
Notably, the gas concentrations at Pinata South are 5-8% which is significantly higher than the average helium concentration of up to 3%.
With an already established network of industry relationships and helium-producing sites at various natural gas reservoirs, TOH has partnered with the largest industrial gas company in the world, Linde ($LIN, $170+B market cap), who have committed to fund the pipeline expansion for the project and pay $500/Mcf for the first 10 wells
This partnership solidified robust economics for the project as TOH's two wells have already produced 50,000mcf of helium at 8% which amounts to over $9M of helium in three years just from the partnership.
Strongly positioned to support the rapid growth of America’s high tech industries that depend on helium, TOH provides a compelling investment opportunity to capitalize on a high growth industry.
For more information, check out this deep dive DD: https://www.reddit.com/r/PennyStocksCanada/comments/13q2c45/heliums_most_exciting_pubco_total_helium_tsxv_toh/
Posted on behalf of Total Helium Ltd