As Pulsar Helium prepares for flow testing on the Topaz Project near Babbitt, a moratorium on gas production remains in place throughout the state, and it could be about a year before it’s lifted.
Enacted in 2024, the moratorium was meant to give the state time to develop a regulatory framework for developing gas resources, a natural resource with which the state had little previous experience.
During this year’s legislative session, Sen. Grant Hauschild sponsored a bill that would have enacted a temporary framework favored by the Department of Natural Resources. Had the bill passed, it would have allowed production this year, but it died in committee.
“The Legislature did not pass a temporary regulatory framework for gas production,” Jess Richards, a DNR assistant commissioner, told the Timberjay. “Therefore, the moratorium remains in effect until the DNR completes rulemaking or the Legislature takes action to remove it. The DNR must publish draft rules by May 2026 for public input.”
According to Pulsar’s president and CEO Thomas Abraham-James, the delay won’t have much of an effect on the Topaz Project.
“As it stands, our current projections indicate that production at the Topaz Project would not commence prior to autumn 2026, so the moratorium has little impact on our overall timeline,” he said. “In the meantime, we remain focused on the upcoming flow tests, building out the size of the resource, environmental assessments, and community engagement. Our next steps involve continued collaboration with regulators and local stakeholders to ensure we’re fully prepared once the regulatory framework is in place.”
The wells have already shown impressive results. One well found helium concentrations of 14.5 percent — nearly 50 times higher than the minimum needed for profitable production — and produced over 820,000 cubic feet of gas per day during initial testing, according to a news release.
Asked when the company might start hiring for the project, Abraham-James couldn’t give a firm date.
“We must first await the outcome of a feasibility study, inclusive of work conducted by Chart Industries,” he said. “We are striving for, and are optimistic of a positive outcome, and only then would commence hiring production staff and begin construction.”
Abraham-James also declined to give a date for when production is expected to begin.