U.S. OTC: DMEHF
FOR IMMEDIATE RELEASE
DESERT MOUNTAIN ENERGY ANNOUNCES PRIVATE PLACEMENT
Vancouver, British Columbia — DESERT MOUNTAIN ENERGY CORP. (the “Company”) (TSX.V: DME, U.S. OTC: DMEHF, Frankfurt: QM01) is pleased to announce that it is proceeding with a non-brokered private placement offering to raise up to CAD $5 Million. Under the terms of the private placement, the Company will offer for sale up to 1.667 million Units (the “Units”) at CAD $3.00 per Unit. The Company may in its sole discretion increase the maximum of the offering by up to 5% to a maximum of 1.75 million Units.
Each Unit will consist of one common share of the Company and one share purchase warrant (the “Warrants”), with each whole Warrant allowing the subscriber to purchase one additional share of the Company for a period of three years from the date of the closing at a price of CAD $4.00 per share. The expiry of the Warrants may be accelerated at the election of the Company by written notice if the closing price for the common shares on the TSX Venture Exchange shall be equal to or greater than CAD $8.00 per share for a minimum of ten consecutive trading days. Finder’s fees are payable of up to 7% in cash and 5% in finder warrants, with the finder warrants having an exercise price of CAD $4.00 per share, but with no forced conversion. Proceeds from the private placement will be utilized for exploration and development of the Company’s helium projects, as well as working capital and general corporate purposes.
The Units will be subject to a 4-month hold period. The private placement is subject to the approval of the TSX Venture Exchange.
“We, like every other Company, are dealing with inflationary and supply chain bottleneck pressures,” says Robert Rohlfing, CEO of Desert Mountain Energy Corp. “Having a healthy treasury has been invaluable in staying ahead of inflation by prepaying for essential components of our business such as cement, fuel and steel. This raise with minimal dilution allows us to continue with that strategy.”
ABOUT DESERT MOUNTAIN ENERGY
Desert Mountain Energy Corp. is a publicly traded resource company primarily focused on exploration, development and production of helium, hydrogen and noble gases. The Company is primarily looking for elements deemed critical to the renewable energy and high technology industries.
We seek safe harbor
Exec Chairman & CEO
For more information, contact:
Don Mosher, President & Director
E-mail [email protected]
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.