Desert Mountain Energy Corp V.DME

Update...

[JS4900]

Nice update. It looks like DME is on the path to becoming a major cash generating company! - jmo

[niggle]

I like this:  "Management has decided to sell helium at spot price and not sign any long-term contracts. The recent deficit in the global helium market has resulted in strong demand and unprecedented helium prices. Desert Mountain Energy Corp. does not project any short-term solutions for the helium market and prices are expected to be at historically high levels for the foreseeable

[Buyhigheatchips]

The new VP sounds like a great addition.  A couple questions for the board: How is the spot price for helium determined? Is there an exchange that discovers the price? Also, can someone elaborate on the bit (hehe) about the pre-payment on the drill rig? I'm not getting it.  Thanks P.S. Cashflow!

[tylerod1]

There is no exchange, futures, or spot market for helium. It's all negotiation based and word of mouth.  Government auction prices used to be starting point but those days are gone. Truly the wild west right now.  I'd like to know more about the drill too. I was under the impression they were making deposits to secure use, but this last updates sound like the deposits were

[tylerod1]

I meant rigging and drilling. 

[Buyhigheatchips]

So maybe they'll set up an auction system and just sell to the highest bidder? 

[tylerod1]

Price is only 1 determining factor, RR said he's looking for long term local consumers so i'd imagine they'll consider several factors.  Auction is possible but i'd imagine they've already built a short list of primary targets.  *Long term demand  *Payment Terms *Can they pick up ? (RR mentioned prior several companies were willing to do their own trucking

[Buyhigheatchips]

What you're describing sounds like contracts to me so now I'm just confused : )

[mrfrankl]

They'll still be writing contracts. They just won't lock in a stable price over the long term. That's how I understood it anyways