Nov 18, 20221 min
Updated: May 15, 2023
NASA has selected Air Products to supply 33 million litres (0.88 bcf) of liquid helium to the agency’s Kennedy Space Center in Florida. The indefinite delivery requirements contract with firm-fixed price delivery orders begins Dec. 1. It includes a 23-month base period, followed by three option periods that, if exercised, would extend the contract to Oct. 31, 2027. The sole source contract includes the lease of six proprietary liquid helium pumps.
The total value of the contract for the base plus option periods is approximately $1.07 billion. This implies a helium price of ~US$1,200/mcf. It would be inaccurate to assume that NASA is being charged a cost of $1,200/mcf over a five-year period. The contract includes unit prices for the helium commodity per year (including transportation expenses), in addition to the lease of six helium pumps, and other ancillary services that were evaluated in the estimated contract value.
NASA requires bulk liquid helium to support a range of agency activities from Kennedy and nearby Cape Canaveral Space Force Station, including the International Space Station program as well as the Space Launch System and Orion programs that underpin Artemis, the agency’s missions to the Moon and Mars.