PULSAR HELIUM SIGNS BINDING LETTER AGREEMENT TO RESERVE HELIUM LIQUEFACTION PLANT FOR TOPAZ DEVELOPMENT

On 30 June 2026 Pulsar Helium signed a binding Letter Agreement and Limited Notice to Proceed (LNTP) with an undisclosed U.S.‑based industrial gas equipment vendor to reserve a helium purification, liquefaction, and CO₂ capture plant for its Topaz project in Minnesota. The indicative total equipment price is ~US$78.7 million, with initial reservation and milestone payments of US$1 million. The parties are to negotiate a Definitive Agreement by 31 July 2026. The company states it is evaluating financing options—commercial debt, equipment finance, project finance, and gas processing revenues—to fund the plant. No offtake agreements or binding project financing are in place, and completion is contingent on execution of the Definitive Agreement, final scope, financing, due diligence, and regulatory/TSXV approvals.

The LNTP is a concrete, binding commitment to secure midstream infrastructure, moving Pulsar from exploration/appraisal to tangible production‑planning. The reserved liquefaction capacity (940 litres per hour liquid helium, ~219 MMcf/yr gaseous equivalent, plus 300 tonnes/day CO₂ capture) exceeds a pilot‑plant scale and aligns with the company’s ambition to become a meaningful producer. This news marks a clear upgrade from the earlier non‑binding LOI with Chart Industries (March 2026) and signals vendor confidence in the project’s technical viability.

However, the financing challenge is immense. As of 31 March 2026, Pulsar had only $8.5 million in cash and a going‑concern warning in its MD&A, with no proven reserves or binding offtake agreements. The required capital for the plant alone is nearly ten times current working capital, and the overall project will need well‑site development, additional wells, and working capital. The company acknowledges it is “actively evaluating” financing options to minimize dilution, but until a firm, fully‑funded plan is disclosed, the risk of substantial equity dilution or even failure to close the agreement remains elevated.

Accordingly, the news is genuinely new and materially positive because it provides a visible path to production and validates the project’s commercial potential, yet the stock’s reaction must be tempered by the glaring funding gap.

Pulsar Helium is a Canada‑based exploration and development company focused on primary (non‑hydrocarbon) helium occurrences. Its flagship asset is the Topaz Project in northern Minnesota, USA, where it holds approximately 5,631 net mineral acres (690 owned fee‑simple, royalty‑free) and ~1,360 acres of surface land. Topaz is a rare primary helium discovery with extremely high helium‑4 concentrations (up to 14.5%, average 7‑8%) and significant helium‑3 (11.2–11.9 ppb confirmed by USGS/LLNL). CO₂ is also present at economic levels. The company has also acquired the Falcon project in Michigan (488,090 acres under three‑year option) and the Quantum Hydrogen property (Torino project) in Minnesota. Pulsar is a first mover in the non‑hydrocarbon helium space and aims to become a significant domestic U.S. helium supplier.