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JinHong Gas Has Taken The 'first Step' in The Layout Of The Entire Helium Industry Chain

Date: Apr 14, 2022

In the early morning of March 25, 2022, a storage tank came to JinHong Gas after experiencing a long and arduous journey. What is in the storage tank is one of the most rare and expensive in the industrial gas - Helium!

This action marks that JinHong Gas has opened a new chapter in the industry of "Helium storage" and "helium transport".

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Knowledge about Helium

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Helium is a rare gas with the element symbol He, which is colorless and odorless under normal circumstances. It is lighter than air and less flammable and explosive, so it is now used in place of hydrogen in everything from balloons to airships.

The greater value of helium is at the industrial level. For example, in the liquefied state, it can be used as a coolant for magnetic resonance equipment. It is also widely used in aerospace, optical fiber transmission, and low-temperature superconductivity industries.

With the rise of the Internet, helium has become the backbone force of the semiconductor industry: it can control the rate of heat transfer, help chip components cool quickly, and improve production accuracy overall and reduce product defects.

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Helium has important strategic value, but its distribution is extremely uneven, with about 90% located in the United States, Qatar, Algeria and Russia.

In the field of helium production, the United States dominates the global market. It controls 43.6% of the world's production. There are also multinational companies such as Exxon Mobil and Air Liquide of France and Linde of Germany to dominate the global market in the form of agreements, which can even affect the production and sales of Qatar, Algeria and other countries. Since 2020, it has become increasingly difficult to obtain helium from the international market for several reasons:

1. The global outbreak of COVID-19 in 2020 has greatly affected the helium production and transportation industry.
2. After the outbreak of the Russian-Ukrainian conflict in 2022, Air Liquide and other international gas giants collectively imposed “sanctions” on Russia, which made it difficult for Russia to produce, transport and sell helium.

Take precautions to serve the domestic market
At present, there is a sharp contradiction between the demand for helium in worldwide economic development and the lack of global helium resources. By March 2022, the price of high-purity helium with Tube-Trailer and cylinder package both rose sharply, not only reaching the highest level in history, but also accompanied by a serious shortage of helium, not only reaching the highest level in history, but also accompanied by a serious shortage of helium.

Since 2020, JinHong Gas has been deploying the whole industry chain of purchasing liquid helium tanks and directly filling liquid helium. After unremitting efforts, we finally ushered in the first helium tank on 25th March, which marks the new strategic layout of the company to actively analyze the domestic and foreign industrial situation and boost the development of global manufacturing industry ushered in a shining starting point.

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