Helium: Algeria leaves 80% of its production capacity untapped amidst global supply shifts

Despite a global surge in demand for helium driven by disruptions in Qatari supply routes through the Strait of Hormuz, Algeria is currently utilizing only a small portion of its infrastructure. In 2025, the country produced 11 million m³ of helium, far below its 50 million m³ annual capacity. This shortfall is largely due to the fact that helium is a byproduct of liquefied natural gas (LNG), and domestic LNG plants are running at less than 40% capacity as Algeria prioritizes pipeline gas exports over liquefaction. With reserves estimated at 1.8 billion m³, the sector is awaiting capacity expansion in Arzew. Globally, the United States remains the top producer, while Russia faces export restrictions due to sanctions. Emerging projects in Canada, South Africa, and Tanzania are striving to increase supply, yet the industry continues to struggle with high financing requirements and logistical challenges regarding the transport of liquid helium.