ASP Isotopes said its subsidiary Tetra4 has entered commissioning on the phase 1 liquid helium plant in South Africa, moving the Virginia gas project into the final startup stage for the helium portion of the facility.
Phase 1 is expected to produce about 2,500 gigajoules a day of LNG and about 70 thousand cubic feet a day of liquid helium. Commercial production is expected in the third quarter of 2026, with the company saying first commercial helium shipments are still targeted for September.
On a run-rate basis, the company said phase 1 could generate more than $27 million in annualized revenue, based on LNG pricing of $15 to $18 per gigajoule and helium at $600 per thousand cubic feet. ASP said it expects to begin recognizing those revenues in the second half of 2026.
The company said it has already signed take-or-pay contracts covering about 75% of phase 1 LNG output and 15% of phase 1 helium output. It expects to finish contracting for phase 1 during the third quarter of 2026.
ASP also said it expects to start phase 2 construction in the second half of 2026, describing that expansion as roughly 13 times the size of phase 1. The phase 2 build is expected to take about 44 months. The company said it is pursuing up to $750 million of senior debt funding for phase 2, with the U.S. International Development Finance Corporation and Standard Bank of South Africa previously indicating potential support of up to $500 million and $250 million, respectively.
ASP said it is also looking for ways to accelerate revenues and cash flow from phase 2. As a result of these announcements, the company's shares have moved -4.03% on the market, and are now trading at a price of $3.925. If you want to know more, read the company's complete 8-K report here.
