South Africa could emerge as a growing source of helium supply as global shortages intensify, according to the CEO of ASP Isotopes.
Speaking at the 2nd Annual CG Virtual Sustainability Summit, Paul Mann said the company is advancing helium production in the country through its subsidiary Renergen, with Phase I of a new helium and liquefied natural gas facility currently under development in the Free State.
“We’re well ahead of schedule in Phase I,” Mann said.
The first phase of the project is expected to produce around 58 Mcf per day of helium, alongside 2,500 gigajoules per day of LNG, with completion anticipated around the end of the first half of 2026.
A larger Phase II expansion is expected to follow, increasing output to roughly 900 Mcf per day of helium once operational. Construction is expected to begin before the end of this year and take around 44 months to complete.
The project has secured financial backing from the US International Development Finance Corporation, which has committed up to $500m in funding.
“The US government has deemed our helium facilities as critical to the security of the US” Mann said.
The South African resource is notable for its unusually high helium concentrations compared with many global gas fields. Mann said wells in the Free State typically contain more than 3% helium, compared with around 0.04% in Qatar and approximately 0.4% in many other producing regions.
“When we drill for natural gas in the Free State, we get north of 3% helium on average. We’ve seen as much as 12%,” he said.
The development comes as helium markets face renewed supply pressure. Mann said around 25 to 30% of global supply is currently offline, with production estimated at around 4.5 Bcf annually compared with demand of about 6.5 Bcf.
“We’re probably going into the fifth supply side crisis in the past 20 years,” he said.
Recent geopolitical developments have also added strain to supply chains, including disruption to shipments through the Strait of Hormuz and reports of damage at the Ras Laffan Industrial City energy complex in Qatar.
Against this backdrop, Mann said additional supply sources will be needed to help stabilise the market.
“The world needs more helium right now,” he said.
