New Era Helium Inc (NASDAQ:NEHC), the exploration and production company focused on helium sourced from natural gas in the Permian Basin, said it expects its Pecos Slope Plant to be operational by the fourth quarter of 2025, aligning with updated financing and development milestones.
The company said it aims to secure project financing and reach an agreement with its midstream partner within the next 90 days.
Shares of New Era gained 7.6% on the Nasdaq in Wednesday morning trading.
Completion and commencement of operations at the Pecos Slope Plant are now expected in the fourth quarter of 2025, in line with the company’s updated development milestones.
Management is also evaluating alternative options to accelerate the timeline if terms can be reached sooner, according to a statement from the company.
“We continue to advance a vertically integrated strategy that will strengthen New Era Helium’s position across multiple high-growth sectors,” CEO Will Gray told investors.
“Right now, we’re at a pivotal stage where our helium production plans, and energy infrastructure strategy are beginning to converge. We remain focused on hitting key production milestones while building a resilient business capable of meeting the energy needs of today with the infrastructure and scale to support the accelerating demands of tomorrow.”
In its annual report filed with the US Securities and Exchange Commission in March, the company said delays in project financing during its de-SPAC process and ongoing negotiations with its midstream gatherer and processor have extended the construction timeline for the Pecos Slope facility. New Era Helium said discussions with the new ownership and management of its midstream partner are ongoing and constructive.
To support future helium monetization, New Era Helium is also advancing contingency planning for offtake agreements. The company said it is in communication with current counterparties while pursuing additional commercial flexibility.
New Era Helium is one of only two companies on a major US exchange with both proved and probable helium reserves. Although its properties are currently producing helium, the company does not receive payment under its current marketing agreement, which is operating on a month-to-month basis following the end of its primary term.
The company said it is actively working to regain access to existing helium production through a resolution with its midstream partner, which would enable new revenue streams alongside natural gas sales.
Data center progress
In a parallel initiative, New Era Helium is continuing progress on its data center joint venture with Sharon AI through Texas Critical Data Centers. The venture recently signed a letter of intent to acquire 200 acres in Ector County, Texas, for the development of a 250MW net-zero AI and high-performance computing (HPC) data center.
The data center project forms part of the company’s broader strategy to integrate helium and natural gas reserves into AI infrastructure, targeting multiple points in the AI ecosystem including semiconductor manufacturing, GPU cooling, and power supply for compute-intensive workloads.