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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

Post by HeliumHighon Apr 23, 2021 4:10pm
496 Views
Post# 33057076

Well 3

Well 3Hi all.  First, I can’t express how grateful I am for all of the thoughtful discussion I’ve found here over the last 6 months or so.  Thanks to all of you who have contributed your diligence and analysis.  The enormous upside opportunity here is a rare gem for those who find it.  

I checked with a lawyer and apparently Flagstaff was actually awarded an injunction against Well 3 by the trial court back in February.  DME (represented by a prominent Arizona appellate law firm) has already filed an appeal, but the filing of respective court briefings will take through the summer, the arguments before a 3-judge panel would likely occur in the fall, and a decision may take up to 90-120 days after that.  Basically, it seems like Well 3 is going to be tied up for a while... https://apps.supremecourt.az.gov/aacc/appella/1CA/CV/CV210168.PDF

It would seem we are unlikely to see any data or activities at Well 3 for the rest of 2021.  While the potential validation that the data would immeidately offer would be valuable right now (while we wait for updates on wells 4-6), we seem to have plenty of other (of the 70+) well sites on which to focus in the interim while we wait for the court of appeals to (hopefully) correct an errant decision by the trial court.  It seemed to me that Well 3 was really on the edge of the area relevant to DME - and actually quite far from most of the potential well sites.  However, I wanted to ask the group here (who I think understand the relevant geography and geology better than I do), what (if any) ramifications the current Well 3 issues will likely be for DME’s broader helium interests, potential well sites and other associated activiites. 

Thanks in advance for your thoughts.

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