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U.S. Energy Shares Jump After Five-Year Helium Deal Secures Phase 1 Funding

Locked-in pricing with take-or-pay terms strengthens revenue visibility ahead of first production.

Overview

  • U.S. Energy shares, which rose about 55–57% Monday, rallied after it disclosed a five-year helium sales deal with an investment-grade industrial gas buyer.
  • The agreement covers output from a planned Montana purification plant up to 1.2 million cubic feet per month at a fixed $285 per thousand cubic feet paid at the plant gate.
  • The buyer assumes transportation and downstream processing costs, giving U.S. Energy a predictable net price for each unit of helium sold.
  • Take-or-pay protections with a 2.5% de minimis apply, CPI-linked price increases begin March 1, 2028, and a year-three price reset and 5% right of first refusal are included.
  • Combined with an expanded senior secured credit facility closed April 20, the company says Phase 1 of the Big Sky Carbon Hub is fully funded, with first helium output targeted for Q1 2027 and a contractual outside start date of July 1, 2027 as it advances EPA approvals and pursues potential Section 45Q tax credits.