Avanti Helium secures an operational U.S. helium plant for Sweetgrass, accelerating 2026 production while reducing capital costs and execution risk.
Avanti Helium Corp. has announced a significant milestone in advancing its Sweetgrass helium development strategy by entering into a non-binding memorandum of understanding (MOU) with a well-established U.S.-based helium technology provider. The agreement outlines a framework to relocate and deploy an already constructed and operational helium processing facility at Avanti’s Sweetgrass helium project in Montana, enabling the company to materially accelerate its production timeline while limiting upfront capital exposure.
Under the terms of the MOU, both parties have agreed to proceed toward definitive agreements covering the relocation, installation, commissioning, and long-term operation of the processing plant. The facility, which is currently located within the United States, is expected to be transported to the Sweetgrass site in the coming months, subject to final documentation. Importantly, the plant is not a greenfield asset—it is already built and has logged approximately three months of runtime, making it effectively near-new while remaining readily available for rapid redeployment. This substantially reduces execution risk and compresses the pathway to first helium production.
The processing facility is equipped with a helium recovery unit and an integrated truck-loading system, allowing Avanti to produce and transport marketable helium in high-pressure containers. The plant is designed to handle an inlet capacity of approximately 10 million cubic feet per day (MMcf/d), with targeted operational availability of around 95%. Expected helium purity exceeds 98%, and the design allows for future upgrades to achieve ultra-high purity levels of up to 99.999%, depending on market demand. In addition, the facility has the technical flexibility to expand inlet capacity to roughly 15 MMcf/d, offering scalability as Sweetgrass production grows.
The relocation strategy is further supported by the advanced state of readiness at the Sweetgrass site. Avanti has already secured leased land, established road access, and installed pipeline connections from existing wells. Once definitive agreements are finalized, civil works related to plant placement, truck-loading infrastructure, and operational support will commence immediately. This level of preparedness enables Avanti to pursue an accelerated schedule for installation and commissioning, targeting first helium production and sales in 2026.
Operationally, Avanti will retain full control of both the wells and the processing plant. This structure allows the company to manage production data, optimization strategies, and commercialization directly, while continuing to benefit from specialized technical support provided by the technology partner. The proposed commercial framework centers on a multi-year lease arrangement with options for renewal and a potential purchase option, preserving long-term strategic flexibility. Rather than committing substantial upfront capital, Avanti will pay a fixed monthly lease fee, improving capital efficiency and balance-sheet discipline.
The MOU also includes a paid maintenance provision covering ongoing service, replacement hardware, and technical support. Leveraging the provider’s operational experience is expected to enhance runtime reliability, helium recovery rates, and overall plant optimization at a predictable cost profile—an important advantage in managing operating risk during early production.
Commenting on the development, Chris Bakker, CEO of Avanti Helium, stated that securing access to an existing U.S.-based helium processing plant with minimal runtime is a transformative step for the company. He emphasized that this approach materially shortens the development timeline, reduces both capital and execution risk, and positions Avanti to move swiftly toward revenue generation amid strengthening North American helium market fundamentals.
As a result of the favorable terms outlined in this MOU, Avanti has confirmed that it will no longer pursue the previously announced Sweetgrass helium plant term sheet dated September 4, 2025. The company and its partner are now working toward final engineering scope, commercial terms, and a detailed relocation and commissioning schedule. Avanti has indicated that further updates will be provided as key milestones are achieved.
