Pulsar Helium Sets Debt-Led Funding Path for Minnesota Rare Gas Hub

• Preferred financing strategy prioritises project-level debt and public-sector financing, supplemented by existing cash resources.
• Discussions under way with University Bank, Minnesota DEED, USDA Rural Development and IRRR.
• Binding US$85.5 million equipment proposal accepted from Chart Energy & Chemicals, a wholly owned subsidiary of Baker Hughes.
• Six development workstreams under way, with the equipment workstream complete.
• Preliminary internal modelling indicates potential for the Rare Gas Hub to operate as a stand-alone midstream business using third-party gas.

Pulsar Helium Inc. (AIM:PLSR, TSXV:PLSR, OTCQB:PSRHF) is a Canada-based primary helium company, meaning it targets helium that occurs independently of oil and gas production. Its shares trade on the AIM market of the London Stock Exchange, the TSX Venture Exchange and the OTCQB. The portfolio comprises the flagship Topaz helium project in Minnesota, the Falcon project in Michigan and the Tunu helium project in Greenland. Pulsar is a first mover in these locations, where primary helium occurrences not associated with hydrocarbon production have been identified.

Preferred Project-Financing Strategy Prioritising Project-Level Debt and Public-Sector Financing Including University Bank, Minnesota DEED, USDA Rural Development and IRRR Discussions to Limit Reliance on New Equity Capital

The Rare Gas Hub combines a commercial-scale helium purification and liquefaction plant with a carbon dioxide (CO₂) processing plant in Minnesota. Pulsar intends to fund a substantial portion of the remaining costs through project-level debt, which is borrowing tied to the project and repaid from its earnings, along with public-sector financing and a contribution from existing cash. The final structure will depend on the installed-cost estimate, lender due diligence, final terms, approvals and market conditions.

University Bank, whose parent University Bancorp is a Pulsar shareholder, is in discussions on potential part financing for the current project scope. The prospective site lies within IRRR’s Taconite Assistance Area, and talks have begun on potential low-interest direct or bank-participation financing and other economic-development assistance. Pulsar also believes the site meets the rural-area criterion for the USDA’s Business & Industry Guaranteed Loan Program, under which the agency may guarantee a loan made by an eligible commercial lender. Any agency support remains subject to formal review and approval.

Chief Executive Officer Thomas Abraham-James said:

“Our preferred strategy is to finance a substantial portion of the Rare Gas Hub through debt and public-sector financing, supplemented by existing cash resources, with the objective of limiting reliance on new equity capital. We are progressing multiple financing channels in parallel, including discussions with University Bank, DEED, USDA Rural Development and IRRR.”

Six Interdependent Workstreams Advancing in Parallel Covering Equipment, Site, EPC Engineering, Feed-Gas Commercialisation and Financing Toward Financial Close

The equipment workstream is complete, with TSX Venture Exchange approval of the Chart proposal expected shortly. On the site, Pulsar is completing technical, commercial, environmental, title and utility due diligence on its preferred industrial location and negotiating definitive documentation. The current site proposal includes a defined price for specified land and infrastructure, including electricity connection and road and rail access.

Pulsar is evaluating several parties for the EPC (engineering, procurement and construction) contractor role. The selected contractor will complete engineering and estimate the capital cost, contingency and schedule for project elements outside the equipment and site scope. Work is also progressing on feed-gas supply, meaning the raw gas delivered to the plant, as well as offtake agreements with product buyers and logistics, including the evaluation of third-party gas sources.

Once costs, schedule and commercial terms are sufficiently defined, Pulsar intends to seek binding financing commitments and advance toward financial close, when funding agreements are finalised. The company held unaudited cash of approximately US$24.6 million and expects to preserve sufficient liquidity for its other work programmes. The final workstream covers manufacture, construction and commissioning, beginning with a second milestone payment that authorises orders for long-lead items, which are components with extended manufacturing times.

US$85.5 Million Baker Hughes Equipment Proposal Accepted With Preliminary Internal Modelling Indicating Rare Gas Hub Potential as Stand-Alone Midstream Business on Third-Party Gas Supply

Pulsar accepted the binding proposal on October 1, 2026, through its wholly owned subsidiary Pulsar Helium MN Inc. It sets out a staged framework for the supply of helium purification, liquefaction, liquid-helium storage and loading equipment, together with a CO₂ processing plant. The US$85.5 million figure covers equipment supply only and does not represent the total installed project cost.

The helium system has a nameplate (maximum design) capacity of 861 litres per hour, equivalent to approximately 7.5 million litres of liquid helium a year at continuous operation, before operating allowances. The CO₂ system is designed to process 300 tonnes per day, or approximately 109,500 tonnes a year. Design purities are 99.999% for helium and 99.99% for CO₂, subject to performance testing, with CO₂ storage and loading to be addressed separately.

Preliminary internal modelling indicates the Rare Gas Hub has the potential to operate as a stand-alone midstream business using gas supplied by third parties. Midstream refers to processing raw gas into saleable products between production and end users. As helium and CO₂ market conditions may change before commissioning, Pulsar intends to advance supply and offtake arrangements within its commercial and financing workstreams.

Milestones and Next Steps

Near-term milestones include TSX Venture Exchange approval of the equipment proposal, definitive site agreements and EPC contractor selection to define the installed project cost. Binding financing commitments and financial close will follow. Equipment manufacture is expected to take approximately two years after the second milestone payment, and Pulsar will provide a target date for first commercial production once the installed scope, permitting path, financing timetable and EPC schedule are sufficiently defined.

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