DESERT MOUNTAIN ENERGY ENTERS INTO LICENSING AGREEMENT WITH HETHOS LTD.

Rhea-AI Summary

Desert Mountain Energy Corp. (DMEHF) has signed an exclusive licensing agreement with Hethos for its proprietary helium extraction plant design in South West England. The agreement covers Cornwall, Devon, Bristol, and Gloucestershire, including offshore prospects drilled from onshore locations.

Under the terms, DME will receive a 5% royalty on extracted helium gases and retains rights to participate as operator for projects within the exclusive area. The company's autonomous plant design is energy-efficient, capable of operating with alternative energy sources like solar and wind power. DME's first plant, initially solar-powered in Arizona, was relocated to New Mexico's West Pecos Abo Gas Field due to regulatory delays and now operates using natural gas.

The partnership aims to leverage Hethos 's proprietary process for hydrogen extraction and processing for safe bulk transportation, while utilizing DME's energy-efficient modular plant design.

Positive

• Secured exclusive licensing agreement for helium extraction in South West England
• 5% royalty stream from helium extraction
• Retained operator rights in licensed territory
• Energy-efficient plant design reduces operational costs

Negative

• Previous regulatory delays forced plant relocation from Arizona to New Mexico
• Switched from solar to natural gas power, increasing operational costs

TSX.V: DME
U.S. OTC: DMEHF
Frankfurt: QM01

VANCOUVER, BC, March 3, 2025 /PRNewswire/ - DESERT MOUNTAIN ENERGY CORP. (the "Company") (TSXV: DME) (U.S. OTC: DMEHF) (Frankfurt: QM01) from the President of the Company. Desert Mountain Energy Corp. has entered into an exclusive licensing agreement with Hethos Ltd. for its proprietary helium extraction plant design, targeting operations in South West England.

Hethos Ltd. is focused on a cost-effective proprietary process to extract hydrogen and then process it into a form suitable for safe bulk transportation. Desert Mountain Energy's autonomously operating plant is designed to be highly energy-efficient, allowing it to operate using alternative energy sources like solar and wind power. This design significantly reduces energy consumption compared to other processing plants. The first plant built by DME was initially powered by solar energy in Arizona. However, due to regulatory delays, it was relocated to New Mexico's West Pecos Abo Gas Field. Currently, it now operates using natural gas from the field. The strategic reduced energy consumption design of the modular plant demonstrates its flexibility and adaptability.

This agreement is between Desert Mountain Energy Corp. (DME), a Canadian publicly traded company currently producing processed natural gas and helium, and Hethos Ltd, a United Kingdom-registered company. Under the terms of the agreement, DME will receive a 5% royalty on helium gases extracted by the plant, and DME retains the rights to participate in and be named as the operator for any or all projects within the designated area of exclusivity. The licensed area covers Cornwall, Devon, Bristol, and Gloucestershire, including any offshore prospects that may be drilled from onshore locations. Both companies are exploring opportunities for the exploration, development, and production of hydrogen and helium.

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 and natural gas. 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 Canada and the United States; financial risks due to helium prices, operating or technical difficulties in exploration and development activities; risks and hazards and the speculative nature of resource exploration and related development; risks in obtaining necessary licenses and permits, and challenges to the Company's title to properties.

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 are the terms of DMEHF's licensing agreement with Hethos ?

DME will receive 5% royalty on helium extraction and maintains operator rights in the licensed area covering Cornwall, Devon, Bristol, and Gloucestershire.

Where is DMEHF's helium extraction plant currently operating?

The plant is operating in New Mexico's West Pecos Abo Gas Field, after being relocated from Arizona due to regulatory delays.

What energy sources can DMEHF's helium extraction plant use?

The plant is designed to operate using alternative energy sources like solar and wind power, though it currently runs on natural gas.

What geographical areas are covered in DMEHF's agreement with Hethos?

The agreement covers Cornwall, Devon, Bristol, and Gloucestershire in South West England, including offshore prospects drilled from onshore locations.