TSX.V: DME
U.S. OTC: DMEHF
Frankfurt: QM01
VANCOUVER, BC, May 16, 2024
/CNW/ - DESERT MOUNTAIN ENERGY CORP. (the "Company") (TSXV:
DME) (U.S. OTC: DMEHF) (Frankfurt: QM01) From the President of
the Company. The Company is pleased to announce that it
has signed a new agreement with Beam Earth Ltd. to commence
hydrogen exploration in Arizona,
targeting the fourth quarter of 2024. The previously announced
agreement dated July 18, 2022 is
superseded by the new arrangement. Under the terms of the new
agreement, Beam Earth Ltd. will finance the following:
- A payment of $225,000 USD
to DME within 90 days from the signing date.
- Covering all geophysical and associated drilling costs,
including the completion of pilot wells.
- Engineering for a combined "white" hydrogen/helium plant,
leveraging DME's hydrogen separation unit currently located at
the McCauley Field in Arizona.
- The planning for a "green" hydrogen plant in Arizona.
- The planning and engineering for ammonia and loading facilities
in New Mexico and Arizona, as applicable.
- Conducting geophysical work in Chaves County, New Mexico, focused on "white" hydrogen.
- The planning and engineering work for "blue" hydrogen
processing/reformation and power generation plants in New Mexico.
DME will be the operator of record for all wells and plants in
Arizona and New Mexico. Additionally, the Company will
retain 100% rights, titles, and interests for all its currently
owned wells in New Mexico, as well
as wells #1-4, #6, and #8 in Arizona. DME and Beam Earth Ltd. will jointly
share in the hydrogen and helium profits from new wells in
Arizona. This partnership also
paves the way for DME to process helium from additional potential
sources in Arizona, should such
opportunities arise.
"As previously emphasized, we remain committed to our
Arizona projects," stated
Robert Rohlfing, CEO of Desert
Mountain Energy Corp. "This agreement offers a non-dilutive growth
opportunity, allowing DME to focus on its advanced helium
extraction technology and maximize return on investment. With the
up-front payment and the planned work extending through Q1 of 2025,
Beam Earth Ltd. is expected to invest between CDN $3.6 and $4.3
million before DME incurs more than minimal
expenditures."
The total funding by Beam Earth Ltd. in Arizona will be determined by the quantity of
"white" hydrogen generated from wells and their decision on the
extent of utilizing DME's properties for the most cost-effective
production of "green" hydrogen.
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 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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content:https://www.prnewswire.com/news-releases/desert-mountain-energy-announces-strategic-partnership-with-beam-earth-ltd-for-hydrogen-in-arizona-and-new-mexico-302147415.html
SOURCE Desert Mountain Energy Corp.