Are we running out of Helium?

Helium is an essential yet finite resource used in various industries, from party balloons to deep-sea diving, space exploration, and medical imaging. It plays a crucial role in cooling satellite instruments, cleaning rocket engines, and maintaining superconducting magnets in MRI scanners and the Large Hadron Collider at CERN. Despite its importance, helium has faced recurring shortages since 2006, with the most recent crisis beginning in 2022. Supply remains unstable, with demand expected to double by 2035 due to its increasing use in semiconductors, electric vehicle batteries, and aerospace applications.

Helium is primarily produced through nuclear fusion in stars and the slow decay of radioactive elements in Earth's crust. Since current technology cannot manufacture helium artificially, it is extracted as a by-product of natural gas mining. However, as an article by the BBC points out, only a few companies worldwide specialize in this process. Helium is also highly volatile, easily escaping storage containers and even seeping through tiny cracks due to its superfluid state. Over time, helium naturally leaks into space, making its availability on Earth increasingly precarious.

This fragile supply chain has led to four global helium shortages in the past two decades. The 2022 shortage resulted from fires at a major Russian gas processing plant in Siberia, the conflict in Ukraine, maintenance shutdowns at Qatar plants and the temporary closure of the US National Helium Reserve. The US shutdown alone removed 10% of the global helium supply, leading to a sharp price increase.

Despite a recovery in production, market volatility continues. In September 2024, the European Union banned helium imports from Russia as part of sanctions over the Ukraine conflict. While Russia accounts for just 1% of the EU’s helium imports, the move added further pressure to the global supply. The article highlights another significant disruption, which stems from the sale of the US Federal Helium Reserve, a major supplier for decades. The reserve, located in Amarillo, Texas, was established a century ago to store and distribute helium, supplying about one-tenth of the world’s needs. However, in June 2024, the US government sold the last of its helium stockpile to the German gas company Messer.

The sale raised concerns about market stability. The US National Academies of Science, Engineering, and Medicine warned that privatizing the reserve could lead to increased uncertainty. Trade organizations and healthcare groups urged the government to delay the sale, fearing disruptions to critical sectors, including medical imaging. Shortly after acquiring the reserve, Messer faced legal disputes over lease agreements, leading to temporary shutdown threats. Despite these challenges, the company maintains that operations have remained stable since the takeover.

Preserving precious supplies

To mitigate future shortages, researchers are increasingly turning to helium recycling. Recovery systems can capture and reuse up to 90% of helium that would otherwise be lost. Institutions like Mississippi State University have begun installing such systems, which, despite high initial costs, are expected to pay for themselves within a few years.

New helium sources may also ease supply constraints. Qatar plans to open a new helium plant by 2027, while untapped reserves in Tanzania and China’s Bohai Bay Basin promise to provide additional supply. Tanzania’s helium field, set to begin production in 2025, is notable as the first site developed specifically for helium extraction rather than as a by-product of natural gas mining. These new projects offer hope for a more stable helium market in the coming years.

By Nazrin Sadigova