News & Articles >DESERT MOUNTAIN ENERGY ANNOUNCES RESULTS OF RECENT HELIUM AUCTION BY THE U.S. BUREAU OF LAND MANAGEMENT WHICH REFLECTED SURGING HELIUM PRICES
News & Articles

September 18, 2018

DESERT MOUNTAIN ENERGY ANNOUNCES RESULTS OF RECENT HELIUM AUCTION BY THE U.S. BUREAU OF LAND MANAGEMENT WHICH REFLECTED SURGING HELIUM PRICES

Vancouver, British Columbia — DESERT MOUNTAIN ENERGY CORP. (the “Company”) (TSX.V: DME) reports that the recently concluded FY 2019 Crude Helium Auction by the U.S. Bureau of Land Management (“BLM”) reflected surging prices in the world Helium market. The auction took place in Amarillo, TX, site of the National Helium Reserve, on August 31, 2018. It was the fifth such auction by the BLM since passage of the Helium Stewardship Act of 2013. The average price per Mscf (thousand square cubic feet) of crude helium jumped to $279.95 from $119.31 in last year’s FY 2018 auction, reflecting an approximate 135% increase year-to-year. 210 MMscf (million square cubic feet) of crude helium was sold in a total of 12 lots. Prices for Grade A processed helium to distributors and end-users are expected to be even higher due to the processing costs involved. It is not clear to what extent wholesale and retail prices going forward will maintain or exceed these levels.

The FY 2019 crude helium auction is the last auction anticipated to be carried out by the BLM. Helium reserves in the National Helium Reserve are expected to decline to the minimum level of 3 Bscf (billion square cubic feet) mandated by legislation, which will effectively put an end to the sales.

According to Irwin Olian, CEO of the Company, “The Helium shortage which exists today is well-publicized throughout the industry and we have been expecting increases in Helium prices. The magnitude of this current jump is surprising, however, as it significantly exceeds increases that were anticipated. It appears to be a reflection of the fact prices at prior auctions may have been somewhat suppressed artificially and that the discontinuance of BLM auctions is sending fears throughout the market of further sharp increases. We are moving forward with our development plans in Arizona’s Holbrook Basin as expeditiously as possible.”

About Desert Mountain Energy

The Company is an exploratory resource company engaged in exploration and development of helium, oil & gas and mineral properties in the Southwestern United States. Until September 5, 2018, the Company also owned the Yellowjacket Gold Project in Atlin, British Columbia, which it had been developing. The Company has its executive offices in Vancouver, Canada. The Company was incorporated under the laws of the Province of British Columbia, on April 30, 2008, and was formerly named African Queen Mines Ltd. It initially received certain southern African assets in a spin off transaction related to the acquisition of Pan African Mining Corp. by Asia Thai Mining Co., Ltd.

ON BEHALF OF THE BOARD OF DIRECTORS OF DESERT MOUNTAIN ENERGY CORP.

“Irwin Olian”
Irwin Olian
Chairman & CEO

For more information, contact:

Irwin Olian
President and CEO
E-mail: tigertail@desertmountainenergy.com
Phone: (604) 899-0100
Fax: (604) 899-0200

Carrie Howes
Corporate Communications
Email: carrie@desertmountainenergy.com
Phone:
Dubai - +971 55 997 0427
London - +44 (0) 7780 602 788
Germany - +49 (0) 21141 740411
U.K. - +44 (0) 870 490 5443
 


The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of the information contained herein. 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.

 

Press Release Archive
11/02/18 - DESERT MOUNTAIN ENERGY CLOSES $689,707 PRIVATE PLACEMENT  10/15/18 - DESERT MOUNTAIN ENERGY ACQUIRES ADDITIONAL 3040 ACRES OF STRATEGIC HELIUM LEASES IN ARIZONA'S HOLBROOK BASIN FROM THE U.S. BUREAU OF LAND MANAGEMENT 10/10/18 - DESERT MOUNTAIN ENERGY ANNOUNCES SECOND TRANCHE OF PRIVATE PLACEMENT FINANCING 09/18/18 - DESERT MOUNTAIN ENERGY ANNOUNCES RESULTS OF RECENT HELIUM AUCTION BY THE U.S. BUREAU OF LAND MANAGEMENT WHICH REFLECTED SURGING HELIUM PRICES 09/06/18 - DESERT MOUNTAIN ENERGY CLOSES SALE OF ITS YELLOWJACKET GOLD PROJECT AND ATLIN, B.C. PROPERTIES TO BRIXTON METALS 08/07/18 - DESERT MOUNTAIN ENERGY ENTERS INTO AGREEMENT TO SELL ITS YELLOWJACKET GOLD PROJECT AND ATLIN, B.C. PROPERTIES TO BRIXTON METALS  08/02/18 - SOREN CHRISTIANSEN JOINS DESERT MOUNTAIN ENERGY BOARD OF DIRECTORS 07/30/18 - ARDITO MARTOHARDJONO RESIGNS AS A DIRECTOR OF DESERT MOUNTAIN ENERGY 07/23/18 - DESERT MOUNTAIN ENERGY CLOSES $640,500 FIRST TRANCHE OF PRIVATE PLACEMENT 06/10/18 - DESERT MOUNTAIN ENERGY ACQUIRES FURTHER TRANCHE OF 12,228 ACRES OF STRATEGIC HELIUM LEASES IN ARIZONA’S HOLBROOK BASIN  06/07/18 - DESERT MOUNTAIN ENERGY ANNOUNCES PRIVATE PLACEMENT 05/29/18 - DESERT MOUNTAIN ENERGY ACQUIRES ADDITIONAL 12,219 ACRES OF STRATEGIC HELIUM LEASES IN ARIZONA'S HOLBROOK BASIN, INCLUDING ZONE WITH ORIGINAL DISCOVERY WELL 05/08/18 - DESERT MOUNTAIN ENERGY SELLS ITS PLACER MINING INTERESTS AT ATLIN, B.C. 04/18/18 - GREG NOWAK JOINS DESERT MOUNTAIN ENERGY'S TECHNICAL TEAM 04/09/18 - AFRICAN QUEEN NAME CHANGE TO DESERT MOUNTAIN, ROLLBACK 02/27/18 - AFRICAN QUEEN MINES ACQUIRES KEY HELIUM LEASES IN ARIZONA’S PROLIFIC HOLBROOK BASIN 02/19/18 - AFRICAN QUEEN MINES SIGNS AGREEMENT FOR ACQUISITION OF THE KIGHT GILCREASE SAND UNIT OIL & GAS PROJECT IN OKLAHOMA 01/31/18 - AFRICAN QUEEN MINES EMBARKS ON DIVERSIFICATION PROGRAM WITH ESTABLISHMENT OF NEW U.S. OPERATIONS 11/13/17 - AFRICAN QUEEN MINES REPORTS RESULTS FROM ITS DRILLING PROGRAM AT GOLD RUN PROSPECT IN ATLIN, BC 09/18/17 - AFRICAN QUEEN MINES COMMENCES DIAMOND DRILLING AT GOLD RUN PROSPECT AT ITS YELLOWJACKET GOLD PROJECT 09/08/17 - AFRICAN QUEEN MINES TARGETS GOLD RUN PROSPECT FOR DRILLING AT YELLOWJACKET GOLD PROJECT
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Contact Information For investment information please contact our investor relations group.

Marketing Director - Canada
Lee Dunston
(604) 788-0300
lee@desertmountainenergy.com

Corporate Communications, Europe
Carrie Howes
London: +44 7780 602 788
Dubai: +971 55 997 0427
carrie@desertmountainenergy.com

 
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