Pulsar seeks debt funding for $85.5 million helium plant

Pulsar Helium said in an Oct. 12 press release it plans to pursue debt and public-sector funding for a Minnesota helium and CO₂ plant tied to an $85.5 million equipment proposal.

Pulsar said in the Oct. 12 press release it had about $24.6 million of unaudited cash as of the announcement date, compared with the $85.5 million equipment-supply price.

The company said the plant would form part of its proposed Rare Gas Hub. Pulsar said its wholly owned subsidiary, Pulsar Helium MN Inc., accepted a binding proposal from Chart Energy & Chemicals, a Baker Hughes subsidiary, on Oct. 1 for staged equipment supply.

The helium system is designed for nameplate capacity, meaning stated maximum output under specified assumptions, of 861 liters an hour. Pulsar said that equals about 7.5 million liters of liquid helium a year at continuous nameplate operation, before allowances for commissioning, maintenance, uptime, feed-gas availability and other operating conditions.

The CO₂ system has a stated processing capacity of 300 metric tonnes a day, or about 109,500 metric tonnes a year at continuous nameplate operation, before operating allowances. Pulsar said the stated design purity is 99.999% for helium and 99.99% for CO₂, subject to design assumptions and successful performance testing.

“Our preferred strategy is to finance a substantial portion of the Rare Gas Hub through debt and public-sector financing, supplemented by existing cash resources, with the objective of limiting reliance on new equity capital,” Chief Executive Officer Thomas Abraham-James said in the press release. “We are progressing multiple financing channels in parallel, including discussions with University Bank, DEED, USDA Rural Development and IRRR.”

Pulsar said University Bank is considering potential part financing, but any deal remains subject to due diligence, credit and board approvals, agreed terms, final documents and customary conditions. The company said University Bank’s parent, University Bancorp, is a Pulsar shareholder.

The company also said it is in discussions with the Minnesota Department of Employment and Economic Development, the United States Department of Agriculture Rural Development and Minnesota’s Iron Range Resources & Rehabilitation. Pulsar said no financing commitment has been received from University Bank or those agencies.

The $85.5 million equipment proposal does not represent the total installed project cost, Pulsar said. Remaining work includes site and utility due diligence, final site arrangements, detailed engineering, selection of an engineering, procurement and construction contractor, environmental review, permits, installation and commissioning.

Pulsar said preliminary internal modelling indicates the hub may operate as a stand-alone midstream business using gas from third parties. The company said helium and CO₂ supply, demand and pricing may change before commissioning, and that supply and offtake arrangements are part of the financing work.

Payment of a second milestone would authorize procurement of long-lead items, Pulsar said. Equipment manufacturing is expected to take about two years after that payment, and the company said it will give a target date for first commercial production when the project scope, permits, financing timetable and EPC schedule are sufficiently defined.

Source: company press release, Pulsar Helium via GlobeNewswire, Oct. 12, 2026