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Desert Mountain Energy Corp V.DME

Alternate Symbol(s):  DMEHF | V.DME.WT

Desert Mountain Energy Corp. is a Canada-based resource company primarily focused on the exploration, development and production of helium, hydrogen, natural gas and condensate. The Company is focused on helium extraction from different raw gas sources in an environmental and economical manner by supplying elements deemed critical to the renewable energy and high technology industries. Its Holbrook Basin Helium Project comprises more than 1000,000 acres of key helium prospects under lease. Its West Pecos Slope Abo Gas Field and gas gathering system is located in Chaves County, New Mexico. The West Pecos Gas Field encompasses a vast infrastructure, including 188 wells, over 50 miles of gas collection lines, and 77,000 acres of oil and gas leases. Its secondary focus is developing hydrogen assets located within their helium fields.


TSXV:DME - Post by User

Comment by FilProTradingon Feb 28, 2021 4:01pm
216 Views
Post# 32682236

RE:RE:RE:RE:RE:RE:RE:Hole 3

RE:RE:RE:RE:RE:RE:RE:Hole 3My guess on the ~$280MM revenue potential is based on the press release DME provided on on 21 Feb 2021 showing a preliminary estimate of helium reserves at State #10-1as 284,053 MCFfor both the 5' and 13' zones (perfed + possible) with 640 acre coverage for the well site.

Assuming DME sells at the higher refined price that Fredo alluded to in an earlier post as $1,000/Mcf this gets to ~$280MM. Even using the more conservative $275/Mcf price basis, ~$78MM revenue potential for State # 10-1 is still very compelling...but hopefully we'll get close to the estimated refined helium prices with the investment DME is making in on-site processing and solar power generation (1MW if I remember correctly).
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