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Outdated Contracts Are Costing Mineral Owners and Taxpayers Millions

Despite soaring global demand and escalating market prices for helium, many US helium producers and mineral owners are constrained by outdated contracts, receiving significantly below-market rates for their helium— in some cases as low as US$100/mcf compared to much higher current values (global trade flow prices range between US$400-500/mcf). This discrepancy results in substantial revenue losses for both taxpayers and the US government, potentially costing tens of millions annually. These restrictive agreements discourage new investments in helium exploration and production, thereby stifling the potential growth of the industry. Addressing these contract terms and establishing fair market pricing should be a priority to encourage exploration and ensure equitable returns for all stakeholders.

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