Renergen, South Africa’s first integrated producer of liquefied helium and liquefied natural gas (LNG) saw its share price surging by more than 78% on May 20, following an announcement of its potential acquisition by American advanced materials firm ASP Isotopes, Engineering News reported.

In a joint statement by JSE- and ASX-listed Renergen and Nasdaq-listed ASP Isotopes, the companies informed shareholders of ASP Isotopes’ offer to acquire 100% of the ordinary shares in Renergen to create a strategic materials company and issue new common stock to Renergen’s shareholders.

Renergen’s share price on the JSE jumped to ZAR12.50 (about $0.67) per share on May 20, up from ZAR7 (around $0.38) on May 19, representing a 78% increase. The price then dropped slightly to ZAR9.91 ($0.53), but it was still more than 40% higher than the previous day’s closing price.

Renergen is an integrated energy company focused on the exploration, production and sale of LNG and helium in South Africa. Its primary asset is the Virginia Gas Project (VGP), located in the Free State province, which encompasses approximately 187,000 hectares of onshore gas fields across Welkom, Virginia and Theunissen.

The company’s innovative approach to energy production and its focus on sustainable solutions have positioned it as a key player in South Africa’s energy sector. Renergen’s audited annual financial statements for the year ended February 28, 2025, released on May 19, reflected a widening loss related to some technical challenges in the commissioning of the helium production train at the VGP.

However, following interventions to address multiple maintenance shutdowns in September 2023 and February 2024, Renergen announced an improved performance in 2025, with plans to ramp up both LNG and helium output in the coming year. According to the company, it has several significant tailwinds and unique opportunities, which make it an attractive asset. It is the only producer of liquid helium on the African continent and one of the few globally.

“This is an exciting step for ASP Isotopes. With the imminent spin-out of QLE [Quantum Leap Energy], I have been considering the expansion of the ASP Isotopes business, and this opportunity is the perfect fit for us. Both isotopes and helium are viewed by many governments as critically and strategically important materials,” said Paul Mann, chairman and CEO of ASP Isotopes, and chairman and CEO of QLE.

QLE is a US-based company focused on developing advanced nuclear fuels, including High Assay Low-Enriched Uranium (HALEU) and Lithium-6. It operates as a wholly owned subsidiary of ASP Isotopes, which plans to spin it off as a separate publicly traded company by late 2025. QLE is actively pursuing uranium enrichment initiatives in South Africa and has attracted significant customer interest.

According to Mann, the combination of ASP Isotopes and Renergen will create a company with huge strategic value and a vital part of a fragile supply chain enabling many industries.

Stefano Marani, CEO of Renergen, said that after a turbulent 18 months, he was excited about the prospects of the newly formed company. He explained that gaining access to the US investor base – known for its strong understanding of critical minerals, oil and gas – had long been the final crucial element needed to unlock the VGP and support the long-term development of the unique natural resource.

“In joining our two companies not only do we get this, but even more exciting is the expansion of the business horizontally across our key helium customer bases of nuclear, healthcare, semiconductors and rocketry,” Marani said in the statement. “As the world becomes more insular, critical materials are quickly becoming the most sought-after commodities, and our merger places ASP Isotopes Inc. front and centre. Offering customers a fully integrated supply chain reduces a significant amount of risk for them, and makes our offering incredibly valuable.”