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The ‘Helium Cliff’ is approaching and could hit as early as 7th October 2013, according to MATHESON’s Phil Kornbluth, discussing this fragile market at gasworld’s North American conference today in Miami, Florida.
The ‘fiscal cliff’ has dominated headlines both in the US and across the globe, but as Kornbluth explained, in the gases industry the Helium Cliff is also a major cause for concern.
“It’s been a relatively hot topic of late because of the worldwide shortages that have been going on, so I think there’s probably more interest in the helium business than there usually is right now,” he explained.“While there is all this talk about this Fiscal Cliff, which may not happen, the helium cliff is a cliff.”
The recent Helium Shortage 2.0 has never really gone away and there has still been no new volume coming on-stream either. All of which appeared to have left the market at something of an impasse in 2012. Compounding current shortages are growing fears over the future management and stewardship of the Federal Helium Reserve in Amarillo, with no new legislation currently in place for this resource and the possibility that funding for the BLM’s helium program will run out at the end of 2013’s third quarter.
“Please contact your State Representative for legislation to protect our national reserves and voice your concerns. Together we can make a difference.”