Three weeks ago we explained the importance of the looming cliff [5]- in the government's reserves of helium. With a never-ending pun-trail related to "hot-air" or markets "blowing up", we stick to the facts. With the threat of a glonal helium shortage potentially weighing on fibre-optic cables and flat-screen TVs, the always-reaady-to-negotiate members at the Senate have agreed to support an amendment that prevents the October 7th termination of the helium storage program. So thanks to political "hot air" (we couldn't resist), the helium cliff is resolved... why so easy you wonder? Perhaps this is why "...Helium is also used in national defense applications such as rocket engine testing and purging, surveillance devices, air-to-air missiles and scientific balloons."
Via Bloomberg,
Administration strongly supports Senate amendment to H.R. 527, the Responsible Helium Administration and Stewardship Act, White House says in e-mailed statement.
Amendment would prevent Oct. 7 termination of federal program for crude helium sale, storage and delivery; allow for “orderly transition” for federal govt out of helium market
White House Letter [6]:
The Administration strongly supports the Senate substitute amendment, the High Technology Jobs Preservation Act, to H.R. 527, the Responsible Helium Administration and Stewardship Act. The substitute amendment would prevent the October 7, 2013, termination of the Federal program for crude helium sale, storage, and delivery. The impending abrupt shutdown of this program would cause a spike in helium prices that would harm many U.S. industries and disrupt national security programs. Instead, the substitute amendment would provide for an orderly transition of the Federal Government out of the helium market.
The Department of the Interior’s Bureau of Land Management (BLM) operates the Federal Helium Program as a strategic natural resource. This program supplies about 42 percent of U.S. crude helium and about 35 percent of the world’s demand. Helium is an essential resource for the aerospace industry, computer chip and optical fiber manufacturing, for medical uses including MRI magnet cooling, lung tissue visualization, heart catheterization methods, and medical lasers, and aluminum helium arc welding.
Helium is also used in national defense applications such as rocket engine testing and purging, surveillance devices, air-to-air missiles and scientific balloons. Under current law, the Federal Helium Program is scheduled to end on October 7, 2013, absent a new Congressional authorization. This legislation would provide the BLM with the authority necessary to continue this critical program.