Avanti Helium Corp. announced that it has signed a midstream agreement to commercialize and achieve cashflow at the Sweetgrass Pool within its Greater Knappen asset. Helium Recovery Plant.

Avanti has signed a binding midstream agreement with IACX Resources Montana LLC a subsidiary of industry leader IACX Energy ("IACX") to build, finance and operate a Helium recovery plant to process the raw gas from Avanti's Sweetgrass Helium pool. The plant is expected to initially process 10 MMcf/d of raw gas with the option to increase production to 15 MMcf/d. The initial components for the plant are expected to start being delivered on site in fourth quarter, 2023 with initial production expected in early first quarter, 2024. Developing the Helium recovery plant independently posed a major capex and expertise requirement for Avanti, but through the IACX transaction, and the liquification tolling agreement, the Company will have access to the required infrastructure to achieve cashflow in an attractive commercial environment.

Under the terms of the agreement, Avanti will pay a scheduled monthly fee for seven years with an option to renew annually for the life of the pools. IACX will build, finance, install, and operate the helium recovery plant on site near the Sweetgrass helium pool. The Company will be required to complete minor associated infrastructure work (which is already in process) in order to commence production from the plant.