New Era Helium pursues billion-dollar AI infrastructure project in Texas.

New Era Helium Inc (NASDAQ:NEHC) CEO Will Gray discussed the company's latest developments in Texas, highlighting its significant pivot into AI infrastructure. The company originally acquired 235 acres in Ector County, Texas, targeting a "powered land and or powered shell opportunity with the hyperscaler." The goal is to bring a top-tier hyperscaler to the Permian Basin, with the project centered on behind-the-meter power generation featuring an initial target of 250MW and eventual plans to connect to the ERCOT grid.

Gray emphasized that these negotiations are complex and require careful partner selection, noting that "discussions with multiple global entities are progressing extremely well" and the company hopes to have "near-term news to share with the market." Gray's background spans oil, gas, and helium, but the company has now pivoted to AI infrastructure in the Permian Basin in partnership with joint venture partners Sharon AI. He stressed the capital intensity of such projects, explaining that "it requires substantial capital — around $1.7 million per megawatt. So you're talking billions of dollars. It's not like you just have $1 million and get started." Gray noted that the Permian Basin is attractive because of competitive energy costs and that the company is "focusing on inference and AI learning models for potential customers," as the region will not serve as a cloud market.

The market response has been notably positive since New Era Helium went public on December 9 via a SPAC. Gray reported that pre-market trading involved 60 million shares, and the stock was "up 200% this morning." He stated that "the market is telling both our management and our board what they like," adding that "we need to respect that." In response to this momentum, the company is actively expanding its leadership by interviewing new board candidates to strengthen the board's composition.