In 2021, helium was deemed a critical mineral by the Government of Canada, aligning it with the likes of highly sought-after minerals like copper, uranium, zinc and others. Canada: A hotspot for helium exploration and production The beginning of this disposal process opens the doors for helium exploration companies and resource-rich jurisdictions to further develop this industry and broaden its reach outside of the US. As one of the biggest military powerhouses in the world, the withdrawal of the US Government as the key supplier from the helium industry provides a large opportunity for the private sector, as helium is critical for specialized welding, low-temperature research, high-tech manufacturing, missile and rocket development and observation balloons.Īccording to the BLM, “recognizing this important military use for the second most common element in the universe, the Mineral Leasing Act of 1920 reserved all helium produced on Federal lands to the Federal government.” However, as of September 30, 2021, the BLM will no longer manage the Federal Helium System and excess helium will be transferred to the General Services Administration (GSA) to follow its statutory disposal process. Although 75 percent of all the world’s helium production has traditionally come from three locations in the US, the Federal Helium Reserve operated by the Bureau of Land Management (BLM) in Amarillo, Texas is set to stop production in 2021. With only a few countries producing helium, the world’s production can be described with a single word: fragile.įor over 100 years, the US Government managed the global supply of helium. Much of the world’s helium resources exist in a handful of jurisdictions, including the United States, Canada, Algeria and Qatar. The world’s top locations for helium exploration However, meeting forecasted demand based on current supply chains may not be possible. Louis, “Helium is the one element out of the entire periodic table that escapes the Earth and goes out into space.” The element does not readily combine with other elements, which means as it reaches the surface of the earth, it can easily escape the planet’s gravitational pull.Īs the demand for helium grows, analysts expect the market to reach estimated highs of approximately US$18.18 billion by 2025. Helium’s unique chemical properties and inert behavior make it a finite commodity in high demand.Īccording to Sophia Hayes, a chemist at Washington University in St. Unlike base and precious metals, which are found in numerous countries around the world, the world’s supply of helium is less well understood and is believed to mainly be located in only a handful of countries, including the United States, Canada, Algeria and Qatar. While the United States was once the dominant global supplier of helium, Canada and other countries around the world are emerging as also having large reserves of this noble gas, which could help with the looming helium shortage. Since it has so many important uses in the modern world, helium stocks are being reduced at a steady rate and at current rates of consumption the world could see its supply potentially dry up in the not too distant future. Helium is a colorless, odorless, tasteless, inert and non-toxic gas that sits first in the group of noble gases on the periodic table of elements. Helium is also valuable for scientific research, medical use and in other specialized industries. This rare and finite element is used in MRI machine technology, fibre optics, semiconductors, space exploration and more. Helium has countless uses outside of floating party balloons. Copper Prices Could See "Astronomical Rise" as Supply Concerns Increase.10 Largest Producers of Gold by Country.
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