Key Highlights
- Big Sky Industrial reported a third-quarter net loss of $3.5 million on $2.0 million revenue.
- The company said fabrication has started for its Montana helium and carbon-capture plant, targeting spring 2027 startup.
- Big Sky has a five-year, 100% take-or-pay helium sales contract priced at $285 per Mcf.
- Big Sky said it is discussing a larger senior secured credit facility and monetizing Section 45Q tax credits.
Big Sky Industrial Inc. (NASDAQ: BSIN) reported third-quarter 2026 financial results and provided an update on construction and permitting for its Big Sky Carbon Hub project in Montana, including a target for first production in spring 2027.
The company reported a net loss of $3.5 million, or ($0.07) per share, on revenue of $2.0 million for the three months ended September 30, 2026. Production was 30,628 barrels of oil equivalent (76% oil), down from 35,326 barrels of oil equivalent a year earlier, while revenue rose from $1.7 million as higher realized prices more than offset lower volumes.
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Big Sky said fabrication has begun on the modular Phase 1 processing facility under a fixed-scope engineering, procurement, and construction agreement with CANUSA EPC. Equipment installation at the site is planned from late in the fourth quarter of 2026 into the first quarter of 2027, and the company said its in-field gathering and injection lines are complete, with three production wells ready for tie-in and two Class II permitted injection wells operational.
According to the company, the Phase 1 plant is designed to produce about 14 MMcf of high-purity helium per year and to capture and permanently sequester or utilize about 125,000 metric tons of carbon dioxide annually at initial operations.
Helium sales contract and permitting status
Big Sky said it signed a five-year helium sales agreement in April 2026 with an investment-grade global industrial gas company. The contract is structured as a 100% take-or-pay arrangement at a fixed, all-in price of $285 per Mcf realized at the plant gate, with consumer price index-linked escalation beginning March 1, 2028, and a year-three pricing redetermination. The buyer is responsible for transportation and logistics, the company said.
On permitting, Big Sky said its Big Rose Monitoring, Reporting, and Verification plan is in the final stage of the U.S. Environmental Protection Agency approval process. The company said it submitted the plan on October 9, 2025, and it was accepted by the agency on November 12, 2025 following a federal government shutdown. Big Sky said it has addressed EPA comments and is awaiting final agency action, while noting that approval is not a condition to starting the Phase 1 plant or selling helium.
Liquidity, financing discussions and other updates
As of September 30, 2026, Big Sky reported cash of $2.9 million and total available liquidity of $14.4 million, including $11.5 million of undrawn capacity under its amended senior secured credit facility. Total debt outstanding was listed at $8.5 million at quarter-end, up from $2.5 million at December 31, 2025.
Subsequent to quarter end, the company said it sold 15 non-core wells in East Texas for net proceeds of about $0.4 million, with the buyer assuming about $0.9 million of asset retirement obligations.
Big Sky also said it is in discussions on a new, larger senior secured credit facility and is progressing discussions to monetize Phase 1 Section 45Q tax credits. Separately, the company noted that the U.S. Department of Energy designated helium a critical material on October 23, 2026.
For Phase 2, Big Sky said engineering and planning are underway for a second processing plant on the same footprint, with a final investment decision expected in the coming months and to follow completion of financing and final plant sizing.
The original press release is available on stockhouse.com
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