Tanzania has made a significant leap in the global helium industry with the issuance of the first-ever helium mining licence to Helium One Global, The Citizen Tanzania reports. The licence, granted for the company's Rukwa Helium Project, marks a key milestone in the nation's growing role in the global helium market. In September 2024, Helium One Global had announced significant progress in its southern Rukwa operations and submitted a comprehensive Mining Licence (ML) application for its helium project. The application was supported by an in-depth feasibility study, including subsurface modelling and a detailed commercial development plan. The licence pertains to the Rukwa Helium Project, which spans 480 square kilometres across the Momba and Sumbawanga districts in southern Tanzania's Rukwa region. Helium, a vital resource with broad industrial, medical, and technological applications, has seen a surge in demand in recent years. From cooling MRI machines to enabling space exploration and advanced electronics manufacturing, helium's role in global industries continues to grow. The global helium market has long been dominated by producers in the United States, Qatar, and Russia. However, with increasing demand, there is now a heightened need for new sources of helium, especially given the changing geopolitical and economic landscape. This makes Tanzania's helium reserves increasingly important as the world looks to diversify its helium supply chain. The announcement of Tanzania's first helium mining licence has had an immediate impact on Helium One Global’s market performance. The company, which is listed on the London Stock Exchange, saw its stock price rise by 17 percent following the news. Helium One Global’s CEO, Lorna Blaisse, expressed her enthusiasm about the development, emphasizing the strategic significance of Tanzania’s helium reserves. Studies have shown that the Rukwa geological basin, located in the western branch of the East African Rift Valley, is home to surface helium seeps with concentrations as high as 10.4 percent. Importantly, these seeps have minimal association with hydrocarbons and carbon dioxide, with nitrogen as the carrier gas. This provides an exceptionally pure form of helium. Early assessments suggest that the North Rukwa region alone could hold up to 138 billion cubic feet of recoverable helium resources, underscoring the project’s potential for long-term economic impact.
