Desert Mountain plant begins helium production

Sep 16, 2024

2024-09-16 16:55 ET – News Release

Mr. Robert Rohlfing reports

DESERT MOUNTAIN ENERGY CORP. ANNOUNCES COMMERCIAL PRODUCTION OF HELIUM

Desert Mountain Energy Corp. has achieved the separation of commercial volumes of helium from a complex natural gas stream. The processing plant has been recirculating and enriching helium with the end product going into an end-user’s tube trailer. The facility has been in commercial operation following the resolution of numerous issues by the Desert Mountain team during the start-up phase.

Current production revenue is expected to cover the overall corporate general and administrative expenses, but will not be reflected in the Sept. 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 Arizona, an artificial intelligence component was integrated. Currently, the AI is undergoing training through data collection while commercial processing remains in progress. Data points are essential for the system to learn and function effectively as more wells are brought on-line. Each well possesses distinct chemical compositions that the plant must adapt to. The plant is nearing autonomy, requiring minimal human intervention for operation.

The geological team continues to review downhole data to determine the most viable wells for increased helium production. It is 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 Corp.

Desert Mountain 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.

https://www.desertmountainenergy.com/