With helium
supply currently constrained by the Strait of Hormuz disruption and damage at
Qatari LNG gas processing facilities, which are a major source of helium, there
is a clear need for alternative supply both in the near term and for the long
term.
Blue Spruce Operating is
developing the Dry Piney Helium Plant in Sublette County. Construction was set
to begin in May 2026. The $1.3 billion project is expected to bring Wyoming’s
contribution to 30% of global helium production. Construction is expected to be
modular, with large modular components delivered to the site. According to Blue
Spruce cofounder Andrew Moses:
“We’ve designed the gas processing facility so we can
basically haul in big modules and hook them up in the field,” Moses said.
“Rather than doing all of the construction and fabrication on site.”
To minimize wildlife impacts, the
project is sticking to a limited 5.5-month construction window per year from
May 1 through November 15.
When the plant is operational, it
will advance Wyoming’s global contribution to helium production from 20%
currently to 30%. Thus, this project alone represents 10% of global helium
production. The project is very close to ExxonMobil’s LaBarge-Shute Creek
facility, which produces around 20% of the world’s supply. Along with
ExxonMobil’s project, it produces from the La Barge Platform.
“They are on the La Barge platform, which is this big,
buried structure that allowed gases to accumulate for probably close to 70
million years,” Center for Economic Geology Research Director Fred McLaughlin
told Cowboy State Daily in a previous interview. “And that’s one of the secrets
to getting helium to slowly build up, because helium is a small atom, and it’s
super buoyant and slippery.”
The La Barge Platform is located
at the edge of the Green River Basin and offers a very good helium trapping
mechanism. The new project is also expected to produce about 1 TCF of natural
gas over its lifetime.
The Japan Petroleum Exploration
Company (JAPEX) is a partner in the project.
“They’ve been a great strategic partner and have really
helped us get to the point where we are at, ready to begin construction on May
1,” Moses said.
Moses also notes that the state
and county will benefit from the significant tax revenue.
“We will be generating over $20 million per year in
severance taxes to the state of Wyoming,” Moses said. “And over $20 million a
year in ad valorem taxes to Sublette County, where the project is located.”
“Over a 50-year project lifespan, that’s close to $2
billion in combined tax revenues, Moses said. There will also be about $300
million in helium royalties sent to the Wyoming Office of State Lands and
Investments.
According to the Bureau of Land
Management (BLM):
“The project is estimated to be capable of producing
more than 800 million cubic feet of bulk liquid helium per year from subsurface
mineral estates.”
“With this approval, Blue Spruce Operating, LLC, may
construct a natural gas plant to process and separate raw gas streams into
saleable helium and methane products. The project includes nine gas production
wells, access roads, buried gathering and utility lines, a natural gas residue
sales pipeline, and an acid-gas injection facility to permanently sequester
excess carbon in federal pore space deep underground. Commercial operations are
expected to begin during the summer of 2028.”
References:
With
New Sublette County Helium Plant, Wyoming Will Supply 30% Of World's Helium.
Renee Jean. Cowboy State Daily. December 19, 2025. With
New Sublette County Helium Plant, Wyoming Will Supply 30% Of World's Helium |
Cowboy State Daily
BLM
approves Dry Piney helium and carbon sequestration project. U.S. Bureau of Land
Management. December 17, 2025. BLM
approves Dry Piney helium and carbon sequestration project | Bureau of Land
Management
Noble Gas Geochemistry at the La Barge Platform, Wyoming, USA: CO2 Source and Potential Total Petroleum System Investigation Tool. Matthew D. Merrill, Celeste D. Lohr, and Andrew G. Hunt. U.S. Geological Survey. AQPG Search and Discovery Article #20299 (2015). ndx_merrill.pdf


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