Helium experts have predicted that the demand for the gas, which is used widely within the balloon industry, will increase by 9% over next three years.
The price of helium has doubled over the past decade and experts at Bruin Point Helium Corp. predict demand for the gas will continue to grow.
According to research firm Technavio, the helium market is expected to see a compound growth rate of around 9% for the next three years, and market dynamics signal further potential upswings in the price of the gas.
Healthcare applications make up the largest share of helium consumption today, with MRI machines alone accounting for over 20% of total helium demand. However, new applications have emerged recently and these, coupled with increased usage in technology and electronics applications, will elevate helium market forecasts even higher.
However, poor reliability of supply is a hindrance to these applications, adding to the volatility of helium prices in general.
“Major concerns remain regarding the future of the domestic helium market,” said Energy and Mineral Resources Subcommittee chairman, Paul Gosar. “We need to ensure our country (US) will have access to such a necessary resource.”
Balloon gas – or ‘dirty helium’ as it is sometimes known – is a by-product of the Grade-A helium used in technology and medicine. Its price is directly affected when there is a shortage of local supply.
