Desert Mountain Energy Corp. announced the successful reassembly of its natural gas and helium processing and extraction facility. The Company has received the final operational permit from the BLM.

The company has made several plant modifications to enhance safety and accommodate upcoming regulatory changes in 2024. These modifications have allowed DME to significantly increase overall gas production and begin plant operations for total natural gas throughput. Plant modifications include the ability to automatically bypass the main gas portion of the gas processing facility and continue natural gas sales.

The West Pecos Field Plant has been specifically designed to meet a variety of customer purity requirements for gaseous helium, ensuring a maximum return on investment. The purchase of the West Pecos Abo Gas Field included an existing offtake contract that requires all gas to be sold under its terms for the remaining short term of the contract. Depending upon the outcome of ongoing discussions, the Company may need to wait for the expiration of the current gas purchase agreement on May 31, 2024 to begin full-time helium extraction and sales.

The Company will not litigate any disputes with the offtake partner and is prepared to wait for the contract to expire. While the Company is negotiating with the current offtake partner, processed gas sale contracts are being explored and negotiated directly with end users.