Helium development and exploration company First Helium has agreed to sell 80% of its produced helium volumes from its Worsley Property in Alberta, Canada, to a major industrial gas supplier.
The long-term helium supply agreement signed by the two companies is worth up to $100m in potential revenue to First Helium over the first five years, depending on the pace of production.
First Helium will receive firm specified pricing for its helium volumes throughout the first five years, after which the agreement provides for price re-determination windows as triggered by either First Helium or the purchaser. A total term of 10 years has been agreed.
The purchaser will be obligated to take, or pay for, all helium volumes delivered, or made available for delivery by First Helium during the term of the agreement, subject to maximum monthly and annual volume quantities.
... to continue reading you must be subscribed
