Tim Lynott, CEO of Four Corners Helium, discusses emerging trends in helium exploration, commodity bundling, technology advances, market risks, and innovative new applications shaping the global helium industry.
Helium has quietly become one of the most strategically important elements in the global economy, powering technologies from medical devices to advanced electronics to cutting-edge renewable energy projects. As traditional helium sources are depleted and demand for high-purity helium increases, companies are rapidly innovating to explore, extract and commercialize this vital resource.
In this conversation, we sit down with Tim Lynott to gain insight from a leader at the forefront of the industry. With extensive experience in resource exploration and a focus on strategic innovation, Tim brings a unique perspective on the evolving landscape of helium production, market dynamics, and technological advances.
From the economic challenges of multi-commodity projects to the opportunities created by new applications, this discussion explores the power to shape the future of helium and provides a rare glimpse into an industry that plays an incredibly important role in modern life.
Previously, you talked about product bundling around helium. Do you have any new thoughts on this matter?
Multiple products are associated with the salt and anhydrite stratigraphic system. We have pursued helium in the southern Rocky Mountains of the United States not only because of the presence of thick salt and anhydrite formations that have an excellent ability to sequester oil, gas, and valuable carbon dioxide, but also because these formations also contain large deposits of lithium and potash.
From an economic perspective, monetizing two or three products at the same time reduces the backlash from price increases for individual products. For example, a helium project in southeastern Utah plans to develop oil, gas, and potentially lithium from supersaturated brine. When it comes to potash mining, 3D seismic surveys are a valuable risk-aversion tool. To that end, we are in negotiations with Vancouver-based Sage Potash to share 3D spend in one of our core areas.
Recently, as carbon prices have increased and helium prices have softened, we are looking at ways to monetize the significant carbon presence in southeast Utah and southwest Colorado. The commercial carbon market has changed dramatically over the past year or two. Many companies that once sold carbon dioxide as a byproduct have begun injecting it underground for the alluring 45Q storage tax credit. That reduced supply. More dramatically, the West Coast will soon see a 15-25% reduction in supply due to the closure of the Los Angeles Phillips 66 refinery and the downsizing of Valero’s Benicia refinery in Q2 2026. These two refineries emitted large amounts of carbon dioxide associated with oil and gas refining.
Wellhead carbon dioxide is currently estimated to be trading at $5 to $6 per thousand cubic feet, nearly double the average price of natural gas over the past three years. There may be 1-2 trillion cubic feet of recoverable underground carbon dioxide near the Four Corners of the United States, which could effectively double the economics of helium/carbon dioxide drill bits in some regions. Fans of beer, beverages, bubbly water, and dry ice will also help you breathe easier.
Bundling products can also be a savior to your profitability. Companies such as Alberta-based First Helium and Colorado-based Quantum Helium plan to leverage shallow oil and gas targets that are quickly tracked while the time-consuming infrastructure for deeper helium targets is completed.
Are there new technologies that can help reduce the risks of helium exploration?
There certainly is. We’ve seen explosive technological advances in oil and gas exploration over the past 40 years, and we’re applying similar advances to helium exploration.
First, the primary host rocks of the large helium deposits in the Rocky Mountains began as shallow-water reef complexes that subsequently underwent burial and developed pockets of high porosity and high permeability formations controlled by diagenesis. Given the heterogeneity of these porous pockets, modern 3D utilizing sophisticated inversion and amplitude-versus-offset algorithms is now paramount to success. Additionally, keep in mind that not all reprocessors are the same. Please do your homework.
Second, prediction of pore water pressure has become much more advanced. Offshore drillers have created pore water pressure plots based on seismic frequency content to detect pressure evolution in deep wildcat drilling. These same transitions help recognize viable seals, the most elusive element for identifying helium traps.
Third, there is a new technology that involves pockets of tiny pores called fluid inclusions. Often only a few millimeters in size, found in deep sedimentary rocks, these trace amounts of gas can be analyzed for gas composition even from wells drilled 60 or 70 years ago. This detects whether helium or carbon dioxide is present in areas where there was previously no data.
Besides the price of helium, what do you think is the current focus in the helium field?
The question that comes to mind is: Are we getting too comfortable in this new world of Russian-induced helium surpluses, including the Federal Helium Reserve? The reserve recently celebrated its 100th anniversary, but reservoir engineering suggests it could be depleted in four to seven years. The heartburn is to learn that this reserve supplies 25-30% of US consumption, and that it is even sold to foreign companies. Eighteen months ago, Germany-based Messer acquired helium from a stockpile, but its operational plans for the sustainability of its production are as opaque as deep space.
Keep in mind that not only do we rely on helium for the semiconductor wafers needed for cell phones and cars, but we also rely on helium to power our military. It is worth noting that the helium industry has suffered four major helium shortages in just 20 years, and many new demand applications are planned for the future. Yes, it’s true that helium storage caverns have been built to help stabilize supplies, but keep in mind that the two U.S.-based caverns are a fraction of the size of federal helium storage, and the filling rates of the caverns are not made public.
Looking at the other side of the helium situation, Russia has been producing helium for over two years, how is that impacting the industry?
Let’s start with the helium price war between Gazprom and Qatar over China’s market share. Gazprom has swallowed almost 40% of China’s vast helium imports, with helium prices about 20% higher than Qatar’s. All within 2 years.
Sanctions aside, could a similar situation befall the United States, the largest consumer of helium on the planet? surely. But what if today’s helium explorers looked to the examples of the Permian and Delaware Basins as a rationale for avoiding this fear?
In West Texas and Southeastern New Mexico, technology and innovation have been the driving force behind significantly reducing the cost of lifting crude oil, and have had a major impact on lowering foreign oil imports from a peak of 60% in the early 2000s to essentially negligible levels today. Similar innovations are occurring in the emerging helium industry. Based on our latest developments in the Four Corners region of the United States, we envision helium lifting costs to be competitive with foreign helium. Whether it’s black market helium or reaching a stage where Russian helium sanctions are lifted, when it comes to price wars, hear us shout.
What advice do you have for individuals considering investing in helium?
Well, if your business model includes finding and developing helium storage at a more affordable price than other companies, researching your competitors becomes essential.
The first place to start is to research the company’s science team. Are they proven hydrocarbon explorers? Do they have expertise in geology, geophysics, geochemistry, petrophysics, and petrology? Is the geology embedded in the local context? And do they utilize modern seismic surveys, especially 3D? Do they have valid estimates of porosity, permeability, bottom hole pressure, and reservoir size prior to facility discussions? Answering these fundamental questions lays the foundation for risk management in a complex industry.
Furthermore, does the company have valid expertise to bring the product to market? Nothing kills an economy faster than a poorly planned offtake scenario. Is the composition of the gas thoroughly understood? Was the Gantt chart schedule realistic and EPC funding tightly controlled? Is there adequate power? If propane or other fuels have to be transported by truck, the economics are very poor.
Finally, there is a red flag. Four come to mind. Do they have too many finance and marketing experts on their team? Are they making the helium percentage too high? More helium almost always means less helium, and less helium doesn’t justify midstream’s prohibitive capital expenditures. Once the well is completed, will we ignore the extended testing period? There is no basis for this. Finally, be careful when Helium 3 or Hydrogen cards are played. Generally, this is a Hail Mary pass, but there is no receiver downfield.
We follow around 50 helium exploration companies, and unfortunately less than half are likely to survive the current global helium bubble. At the same time, we celebrate entrepreneurship backed by solid science and actively support the many honest and hard-working companies pursuing the elusive helium.
Finally, are there any innovative uses for helium that have been buzzing in the industry lately?
Yes, airships are one of them. Remember the old Goodyear blimp? Imagine a much larger modern helium airship designed for recreation and critical long-distance transport. They have become highly efficient and are particularly useful for rapid disaster relief. Another new application involves the use of helium in asthma inhalers, of which around 900 million are currently sold annually.
There are also aerial wind turbines, aptly named Flying Power Plants. These tethered helium balloons fly up to 6,000 feet where the winds are five to eight times stronger than at ground level. A highly innovative and efficient approach to generating electricity in remote locations.
Of particular interest is the use of helium balloons by Ukrainian soldiers in training to shoot down drones. Practicing with a zigzag balloon increased the drone kill rate by about 35%.
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