DESERT MOUNTAIN ENERGY CORP. ANNOUNCES COMMERCIAL PRODUCTION OF HELIUM
Rhea-AI Summary
Desert Mountain Energy Corp. (TSXV: DME, OTC: DMEHF) has achieved commercial production of helium from a complex natural gas stream. The company's processing plant is now operational and generating revenue, expected to cover overall corporate G&A expenses. However, this won't be reflected in the September 30, 2024 audited year-end financials.
The facility incorporates AI technology, currently in training, to adapt to varying chemical compositions of different wells. The plant is approaching autonomous operation. The geological team is reviewing data to optimize helium production and identify locations with higher helium grades. Some wells are showing increased hydrogen levels, warranting further investigation.
Positive
- Achieved commercial production of helium
- Processing plant operational and generating revenue
- Revenue expected to cover corporate G&A expenses
- AI integration in the facility for improved efficiency
- Plant nearing autonomous operation
Negative
- Current production revenue not reflected in upcoming year-end financials
- Gradual rise in sales volumes and revenue expected, indicating slow ramp-up
- Presence of produced water, albeit in small percentages
- Unexpected increased hydrogen levels in some wells requiring investigation
News Market Reaction – DMEHF
On the day this news was published, DMEHF gained 7.67%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
TSX.V: DME
Current production revenue is now expected to cover the overall corporate G&A but will not be reflected in the September 30, 2024, audited year- end financials. The Company anticipates a gradual rise in sales volumes and revenue, with a current emphasis on well workovers and reducing the overall small percentage of produced water.
During the facility's relocation from
The geological team continues to review downhole data to determine the most viable wells for increased helium production. They are also examining regional data to enhance the understanding of geological controls and pinpoint locations with the potential for higher helium grades. Certain wells are showing increased levels of hydrogen, prompting a need for further investigation to determine the underlying causes of these occurrences.
ABOUT DESERT MOUNTAIN ENERGY
Desert Mountain Energy Corp. is a publicly traded 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 economic manner supplying elements deemed critical to the renewable energy and high technology industries.
We seek safe harbor
"Robert Rohlfing"
Robert Rohlfing
Exec Chairman & CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in polices of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The statements made in this press release may contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations.
Cautionary Note Regarding Forward-Looking Statements
This news release contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian securities legislation. Such forward looking statements and information herein include but are not limited to statements regarding the Company's anticipated performance in the future the planned exploration activities, receipt of positive results from drilling, the completion of further drilling and exploration work, and the timing and results of various activities.
Forward-looking statements or information involve known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company and its operations to be materially different from those expressed or implied by such statements. Such factors include, among others, changes in national and local governments, legislation, taxation, controls, regulations and political or economic developments in
Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to the continued operation of the Company's exploration operations, no material adverse change in the market price of commodities, and such other assumptions and factors as set out herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or information, there may be other factors that cause results to be materially different from those anticipated, described, estimated, assessed or intended. There can be no assurance that any forward-looking statements or information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements or information. The Company does not intend to, and nor does not assume any obligation to update such forward-looking statements or information, other than as required by applicable law.
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SOURCE Desert Mountain Energy Corp.
FAQ
What milestone has Desert Mountain Energy Corp. (DMEHF) recently achieved?
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Will Desert Mountain Energy's (DMEHF) current production revenue be reflected in the September 30, 2024 financials?
What unexpected element has been found in some of Desert Mountain Energy's (DMEHF) wells?
