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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 Engineersoilgason Jul 25, 2021 8:28pm
238 Views
Post# 33602568

This will take awhile before first sales. Good luck!

This will take awhile before first sales. Good luck!I am not sure where these wells are but more than 1/2 of their acreage is on state and federal land and 3000 acres next to petrified forest. As soon as they go to permit a plant that will vent co2, and methane from gas I can assure you there will be reviews and lawsuits in the permitting process.  There are already lawsuits on oil and gas in the basin and the potential to damage the aquifer in the basin. This could be tied up in courts for years.
To sell helium they need the membrane and adsorption towers along with compression.  This will be more than a year to set this  Refinery up and running. They give no plant data, but has to be high pressure trucks to make it worth transporting helium as a gas not liquid.  And no storage tanks. Capital cost will be high.  The way the plant diagram is set they are going to be producing to trucks. Makes no sense.  What do you do, shut the plant down ever time a truck leaves or will trucks be lined up 24 hours to take helium. Does not make sense unless they know something I don't. And why do you store raw gas at 7 percent helium in pressurized trucks.  Makes no sense
Prices will come under pressure in 2022 when the big boys bring on big projects from article https://cen.acs.org/business/instrumentation/Help-helium-users-way/97/i46

Nowhere but up

Big helium projects with an estimated total output equal to half the current world production are planned for the next few years.
 
Sources: Company data and industry consultants. Note: The Amur Gas Processing Plant is located near Svobodny, Russia. The Helium 3 facility is located in Ras Laffan Industrial City, Qatar.
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