Vancouver, British Columbia DESERT MOUNTAIN ENERGY CORP.  (the “Company”) (TSX.V: DME, U.S. OTC: DMEHF, Frankfurt: QM01) From the President of the Company.

Desert Mountain Energy Corp. (“DME” or the “Company”) announces it is exercising its right to accelerate the expiry of all of the 8,203,062 warrants (the “Warrants”) issued under its private placements which closed on October 2nd and 14th, 2020.  The acceleration of warrants will require all warrant holders that wish to exercise their warrants to do so on or before the close of business 30 days from the date of this news release, being May 24, 2021 (the “Early Exercise Period”).  Those warrants that are not exercised on or prior to the Early Exercise Period will be deemed void and of no further force or effect.    

The Warrants are exercisable at a price of CAN$2.00 per common share

Depending on the number of Warrants exercised during the Early Exercise Period, the Company expects to: 1) receive gross proceeds of up to approximately CAN$16.4 million; 2) issue up to 8,203,062 million common shares pursuant to the exercise of Warrants. 

Warrant holders who wish to exercise their Warrants will be required to deliver to the Company at Suite 510, 580 Hornby St. Vancouver, BC, V6C 3B6, by 4:30 p.m. Vancouver time, on or before May 24, 2021, the following:

  • Duly completed and executed Warrant Exercise Form;
  • Their original Warrant certificate;
  • The applicable funds due to exercise their Warrants, payable to the Company by way of certified cheque, money order, bank draft, or wire transfer.

The exercise of the Warrants will strengthen the Company’s current cash position and provide the working capital to bring the Company’s objectives of being a fully vertically integrated helium production company further towards reality.   

“The early exercise places the Company in a very unique position of not being restrained with possible negative impacts within the capital markets in a timely and efficient manner”, said Robert Rohlfing, the Company’s CEO. “These monies come into the Company without additional fees or commissions, therefore, all of the money directly goes to the Company.  Furthermore, the Company shareholders benefit from no further share dilution outside of the current agreements.  The Company has demonstrated judicious use of the funds generated from the 10/2/20 & 10/14/20 private placements.  As of 04/07/21 the Company had in excess of $12,800,000 CDN in the treasury to facilitate all planned operational aspects.  The additional approximately $16,400,000 CDN, places the Company in the position, which is extremely unusual for a junior resource company with tier 1 assets.  We appreciate the continued support of our strategy to develop our assets.”


Desert Mountain Energy Corp. is a publicly traded exploration and resource company focused on the discovery and development of rare earth gas fields in the U.S.  The Company is primarily looking for elements deemed critical to the renewable energy and high technology industries.

We seek safe harbor

“Robert Rohlfing”

Robert Rohlfing

Chairman & CEO

For more information, contact:

Don Mosher, Vice President of Finance

(604) 617-5448

E-mail [email protected]

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 forwardlooking 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 does not assume any obligation to update such forward-looking statements or information, other than as required by applicable law.