Federal Helium Program
Frequently Asked Questions

Summary	Developing a proposed rule would be part of the BLM’s effort to help manage the Federal Helium Program. BLM commits to carrying out the provisions of the Helium Privatization Act of 1996 (50 U.S.C. 167), with primary administration for the Federal Helium Program through the BLM’s Amarillo Field Office, New Mexico State Office. BLM would establish regulations that ensure proper management of the recovery, transportation, storage, disposal, and reporting programs of the Nation’s helium reserves.
Where were the Public Meetings held?	January 8, 2001 Amarillo, TX January 10, 2001 Houston, TX January 17, 2001 Portland, OR January 23, 2001 Aurora, CO January 25, 2001 Washington, D.C. General topics for discussion and comment included: Helium on federal lands Pipeline and storage facility operation and maintenance Crude helium sales (including in-kind and open-market) Reporting and data collection Gas analyses to determine helium content
How do I submit comments on the regulations?	Written comments on developing a proposed rule to help manage the Federal Helium Program must be made by March 26, 2001. BLM will consider comments received or postmarked on or before this date in the preparation of writing the rules. Comments may be hand- delivered to BLM, Administrative Record, Room 401, 1620 L St., NW, Washington, D.C. or mailed to BLM, Administrative Record, Room 401LS, 1849 C Street, N.W., Washington, D.C. 20240. Comments may be transmitted electronically via the Internet to: WOComment@blm.gov. Comments will be available for review at the L Street address during regular business hours from 7:45 a.m. to 4:15 p.m. Monday through Friday, except holidays.
Why do we need these regulations?	BLM needs to combine and set forth policies and guidance into regulations that would manage the various areas of the Federal Helium Program. The Federal Helium Program has undergone many changes since it’s inception in 1925. Its original purpose was to ensure supplies of helium to the Federal Government for defense, research and medical purposes. Over time, the program evolved into a conservation program with a primary goal of supplying the Federal Government with high-grade helium for high-tech research and aerospace purposes.
Is all extracted helium reserved to the United States?	Helium produced from state acreage or fee lands is not reserved. But if fee lands are included in an area which is producing Federal helium, then a percentage of all the helium is deemed to be Federal.
Can I obtain rights to the helium produced from my Federal oil and gas leasehold?	Rights to Federal helium are not granted on a lease by lease basis.
If I plan to build a gas processing plant with the capability to extract helium, what do I need to do?	The steps you must take are as follows: Contact the Federal Leased Lands Team, Amarillo Field Office, BLM Express your plans in writing; provide a map or listing of legal descriptions of acreage you plan to feed into the plant. (You will need to own the gas rights or obtain rights to process the gas stream using agreements with the oil and gas lessees.) Request rights to the Federal helium in the identified area. Negotiate an extracted Federal helium sales contract with BLM
How do I determine the percentage of extracted helium production that is Federal?	Currently, the government ownership percentage is determined by using acreage and mineral ownership. BLM uses acreage from Federal oil and gas leases and from agreement areas. The formula is as follows:
How are extracted helium production volumes and sales revenues allocated?	Both helium production and helium sales revenues are allocated based upon the helium content of the metered wellhead volumes.
Where do I send my extracted helium sales and royalties payments?	Helium payments are sent to the following address: Amarillo Field Office, BLM Attn: Federal Leased Lands 801 S. Fillmore, Suite 500 Amarillo, Texas 79101-3545
Can anyone access the helium pipeline and store helium in the Cliffside storage facility?	You must have a helium storage contract with the BLM or have a storage agreement with a company who has a helium storage contract.
Who do I contact to ask about a storage contract?	Amarillo Field Office, BLM Attn: Storage Contracts 801 South Fillmore, Suite 500 Amarillo, Texas 79101-3545
When am I required to buy crude helium from the Federal Government?	If you sell 200,000 standard cubic feet of helium, or more, in a year to a federal agency, you must buy crude helium from the BLM.  To view current regulation, please go to: www.access.gpo.gov/nara/cfr/waisidx_99/43cfr3195_99.html
Who must buy crude helium from the authorized Federal suppliers?	Federal agencies and their contractors and subcontractors who buy 200,000 standard cubic feet of helium, or more, in a year must buy crude helium from a BLM authorized supplier.
What does BLM do with the helium data and information that is collected?	The BLM uses the collected helium information to report salient statistics about helium to the general public, venture capitalists, and industry analysts. Helium statistics (i.e., sales of helium in the United States, use of helium, exports of helium, and identification of potential occurrences of helium resources in the United States) are collected and published annually to help determine current and future helium requirements.
Who pays for the gas samples which are analyzed for helium content?	When an opportunity for a gas sample analysis arises, BLM analyzes the gas sample at no cost to the person or company submitting the sample. BLM maintains a database of domestic helium occurrences and associated helium concentrations. Natural gas analyses and helium resources information from this database are routinely published. However, helium occurrences on private mineral estates require approval from the owner before the data can be released to the general public. In instances of requests for special gas analyses, BLM analyzes gas samples on a cost reimbursable basis.
Whom can I contact with questions about the upcoming proposed rule?	Joe Peterson, Assistant Field Manager, Helium Resources, (806) 356-1030 Connie Neely, Crude Helium Sales Analyst, (806) 324-2635 Gordon Hansen, BLM Legislative Affairs Group, (202) 452-7704 Shirlean Beshir, BLM Regulatory Affairs Group, (202) 452-5033 Debbie Harrington (405) 790-1009 Jeff Krauss (202) 452-5127 BLM Public Affairs Group.