TSX.V: DME
U.S. OTC: DMEHF
Frankfurt: QM01
VANCOUVER, BC, June 8, 2022
/CNW/ - DESERT MOUNTAIN ENERGY CORP. (the "Company") (TSXV:
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
"Robert Rohlfing"
Robert
Rohlfing
Exec Chairman & CEO
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.
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content:https://www.prnewswire.com/news-releases/desert-mountain-energy-announces-private-placement-301563680.html
SOURCE Desert Mountain Energy Corp.