Desert Mountain Energy Corp V.DME

2023 gross profit

[Buyhigheatchips]

Does anyone have any clue what gross profit could be this year? The market doesn't seem to be expecting much. I know some of you are running models. What are you thinking?

[rmreism]

This is one of the reasons the share price is not moving. No one knows the answer to your question. Until the finishing facility is optimized, all the critical Helium parameters (%/pressure/flow/throughput) will remain unknown. 

[Buyhigheatchips]

Have to update the mc with the additional quantity of shares I guess so it's higher than what's showing here. 

[littledave55555]

I picked up some more today , the plant will be running on solar for the most part ... at the end of april, an if the plant starts pumping out helium... could be a gold mine..... very excited for the future of this company ... glta !!! GO DME GO !!!!! 

[mrfrankl]

McCauley at ~30% capacity, an average of ~3% helium input, an average of ~300 days/year of production, ~90% profit, means $0.49-$0.68 USD of profit/share fully diluted (depending on whether the gas sells for $2000/mcf or $2800/mcf).

[Bertie20]

Thanks Mr Frankl. So on a PE ratio of around ten, that would indicate a share price of some US$5 per share?

[mrfrankl]

Does it depend on how much we spend on growth?

[trifecta]

I would think that you are on the right path in asking this question. I would think that the profit will be nil because all cash generated via production will be reinvested into drilling more wells, building plants, acquiring property, etc,etc, etc.....

[Buyhigheatchips]

That's why I say gross profit. Revenue minus cost of production + royalties. 

[Bertie20]

It's a tough one to measure, and all highly speculative at this stage. DME did mention somewhere already though that their P&E is going to be funded from the trucking revenues. But, yes, a lot of money will be directed into new plants and wells in the coming year and more I'd think