forums

Off-Topic Stock Market & Crypto Discussion

CFLCane said:
@Bird4um @YUMU @Cryptical Envelopment

DME Trading Halt announced before market open. Expect well 4 news to drop before market open tomorrow. NO WHAMMIES!

stockhouse.com

2021-09-13 | IIROC Trading Halt - DME | TSXV:DME | Press Release

(2021-09-13 | TSXV:DME) IIROC Trading Halt - DME
stockhouse.com stockhouse.com
Click to expand...
@Bird4um @YUMU @Cryptical Envelopment


High Pressure hole with 14 pay zones, 1.1% Recovery 1.9 BFC. There's a lot of technical jargon i need to parse through when i get home from work but quick math says this is a 1 billion dollar + hole. No mention of HE3, there was mention of creating a simplified processing plant for this well and the few they'll drill around it since the majority is comprised of 94% nitrogen (easiest possible byproduct to process/bleed out).

The results on well 4 didn't quite equate to some of the hype, the overly technical news release definitely didn't help. Market sold off on reopen, I would be buying here if I had cash. They are still 4/4 on wildcat drills with next 10-15 holes all being branched off of these locations with high probability of success. A well with 1.1% recovery anywhere else in North America would be considered a massive success. I expect the price to rebound when they're able to explain their results in laymans terms. A lot of short term risk was removed from the table today.

www.newswire.ca

Desert Mountain Energy Reports on Gas in Place for Discovery Well #4

/CNW/ - DESERT MOUNTAIN ENERGY CORP. (the "Company") (TSX.V: DME) (U.S. OTC: DMEHF) (Frankfurt: QM01) From the President of the Company. Desert Mountain Energy...
www.newswire.ca www.newswire.ca
 
Last edited:
Advertisement
CFLCane said:
@Bird4um @YUMU @Cryptical Envelopment


High Pressure hole with 14 pay zones, 1.1% Recovery 1.9 BFC. There's a lot of technical jargon i need to parse through when i get home from work but quick math says this is a 1 billion dollar + hole. No mention of HE3, there was mention of creating a simplified processing plant for this well and the few they'll drill around it since the majority is comprised of 94% nitrogen (easiest possible byproduct to process/bleed out).

The results on well 4 didn't quite equate to some of the hype, the overly technical news release definitely didn't help. Market sold off on reopen, I would be buying here if I had cash. They are still 4/4 on wildcat drills with next 10-15 holes all being branched off of these locations with high probability of success. A well with 1.1% recovery anywhere else in North America would be considered a massive success. I expect the price to rebound when they're able to explain their results in laymans terms. A lot of short term risk was removed from the table today.

www.newswire.ca

Desert Mountain Energy Reports on Gas in Place for Discovery Well #4

/CNW/ - DESERT MOUNTAIN ENERGY CORP. (the "Company") (TSX.V: DME) (U.S. OTC: DMEHF) (Frankfurt: QM01) From the President of the Company. Desert Mountain Energy...
www.newswire.ca www.newswire.ca
Click to expand...

thanks, and ouch!

buying it up though
 
CFLCane said:
@Bird4um @YUMU @Cryptical Envelopment


High Pressure hole with 14 pay zones, 1.1% Recovery 1.9 BFC. There's a lot of technical jargon i need to parse through when i get home from work but quick math says this is a 1 billion dollar + hole. No mention of HE3, there was mention of creating a simplified processing plant for this well and the few they'll drill around it since the majority is comprised of 94% nitrogen (easiest possible byproduct to process/bleed out).

The results on well 4 didn't quite equate to some of the hype, the overly technical news release definitely didn't help. Market sold off on reopen, I would be buying here if I had cash. They are still 4/4 on wildcat drills with next 10-15 holes all being branched off of these locations with high probability of success. A well with 1.1% recovery anywhere else in North America would be considered a massive success. I expect the price to rebound when they're able to explain their results in laymans terms. A lot of short term risk was removed from the table today.

www.newswire.ca

Desert Mountain Energy Reports on Gas in Place for Discovery Well #4

/CNW/ - DESERT MOUNTAIN ENERGY CORP. (the "Company") (TSX.V: DME) (U.S. OTC: DMEHF) (Frankfurt: QM01) From the President of the Company. Desert Mountain Energy...
www.newswire.ca www.newswire.ca
Click to expand...

To paraphrase a long defunct boy band...."buy buy buy"

I'll add more here for sure.
 
CFLCane said:
@Bird4um @YUMU @Cryptical Envelopment


High Pressure hole with 14 pay zones, 1.1% Recovery 1.9 BFC. There's a lot of technical jargon i need to parse through when i get home from work but quick math says this is a 1 billion dollar + hole. No mention of HE3, there was mention of creating a simplified processing plant for this well and the few they'll drill around it since the majority is comprised of 94% nitrogen (easiest possible byproduct to process/bleed out).

The results on well 4 didn't quite equate to some of the hype, the overly technical news release definitely didn't help. Market sold off on reopen, I would be buying here if I had cash. They are still 4/4 on wildcat drills with next 10-15 holes all being branched off of these locations with high probability of success. A well with 1.1% recovery anywhere else in North America would be considered a massive success. I expect the price to rebound when they're able to explain their results in laymans terms. A lot of short term risk was removed from the table today.

www.newswire.ca

Desert Mountain Energy Reports on Gas in Place for Discovery Well #4

/CNW/ - DESERT MOUNTAIN ENERGY CORP. (the "Company") (TSX.V: DME) (U.S. OTC: DMEHF) (Frankfurt: QM01) From the President of the Company. Desert Mountain Energy...
www.newswire.ca www.newswire.ca
Click to expand...

Here's the math on well 4.


1.9 BFC for 2/14 zones = 1,900,000 MCF

1,900,000 MCF x 1.1% = 20,900 MCF

20,900 MCF x 269$ per MCF @ crude price = $5,622,000




$5,622,000 for 2 zones @ crude price $269 per MCF

$20,900,000 for 2 zones @ a refined MCF price of $1000 per mcf (this is middle to low end assumed value for refined)

Extrapolated for 14 zones (pure assumption the other zones produce similar results)

$39,354,000 for 14 zones @ crude price $269 per MCF

$146,300,00 for 14 zones @ a refined MCF price of $1000 per mcf (this is middle to low end assumed value for refined)

Cost

* A normal well averages 500k cost. This was a deeper well and encountered many delays , let's assume triple the cost @ 1.5M.

* Processing cost they've stated before will be paid entirely by selling other present rare earth gasses like argon. It's not large amounts but enough to pay daily cost. The cost of the production facilities are spread out over all the wells from now an till the end so hard for me to cost per well value here. Their budgeted plan for processing facility was 24m which included enough solar power to run the facility and limit ASIC.



Well 4 certainly wasn't a homerun as far as recovery % , if this had been 4-7% as many expected we'd be seeing better price action. The sell off today was disappointing but my conviction remains strong. DME continues to find helium at a higher recovery % and higher rate then any of their peers and they have a massive geographical advantage for transport/end consumers.

Tomorrow the CEO is doing two interviews so hopefully we'll get some additional insight into production plans.


(I did not sell a single share and i would be adding today if i had cash in that account. TD Ameritrade doesn't clear deposits for OTC purchases for like 3-5 days. F' them)
 
CFLCane said:
Here's the math on well 4.


1.9 BFC for 2/14 zones = 1,900,000 MCF

1,900,000 MCF x 1.1% = 20,900 MCF

20,900 MCF x 269$ per MCF @ crude price = $5,622,000




$5,622,000 for 2 zones @ crude price $269 per MCF

$20,900,000 for 2 zones @ a refined MCF price of $1000 per mcf (this is middle to low end assumed value for refined)

Extrapolated for 14 zones (pure assumption the other zones produce similar results)

$39,354,000 for 14 zones @ crude price $269 per MCF

$146,300,00 for 14 zones @ a refined MCF price of $1000 per mcf (this is middle to low end assumed value for refined)

Cost

* A normal well averages 500k cost. This was a deeper well and encountered many delays , let's assume triple the cost @ 1.5M.

* Processing cost they've stated before will be paid entirely by selling other present rare earth gasses like argon. It's not large amounts but enough to pay daily cost. The cost of the production facilities are spread out over all the wells from now an till the end so hard for me to cost per well value here. Their budgeted plan for processing facility was 24m which included enough solar power to run the facility and limit ASIC.



Well 4 certainly wasn't a homerun as far as recovery % , if this had been 4-7% as many expected we'd be seeing better price action. The sell off today was disappointing but my conviction remains strong. DME continues to find helium at a higher recovery % and higher rate then any of their peers and they have a massive geographical advantage for transport/end consumers.

Tomorrow the CEO is doing two interviews so hopefully we'll get some additional insight into production plans.


(I did not sell a single share and i would be adding today if i had cash in that account. TD Ameritrade doesn't clear deposits for OTC purchases for like 3-5 days. F' them)
Click to expand...
Appreciate the in depth analysis... for the record I also did not sell a single share. i think the bleeding is over and we will have a slow recovery back to the old SP ($3.50ish). this wont take off until they are in production and making some money,
 
Advertisement
Cryptical Envelopment said:
Making another firm rec. Might step away from posting these here FYI, but I won't leave anyone hanging on what to do with the ones we have working.

LPTX @ 1.70

I think its going to start moving very soon. I have a lot. Am going to have a lot more, shortly.
Click to expand...

LPTX $2.60 right now FYI. It’s been running. I haven’t sold, should be much higher still.
 
CFLCane said:
Sold more Penn calls @ + 303%, dumped SOFI @ -12%, Added more PLTR
Click to expand...

PLTR finally breaking out with good volume. My long calls are cruising in the triple digits. Looks a little overheated but it has gaps to fill in the 31 area so we could see some wild action tomorrow. The WSB kids are pushing this one hard atm.

1631826177463.png
 
Last edited:
CFLCane said:
Here's the math on well 4.


1.9 BFC for 2/14 zones = 1,900,000 MCF

1,900,000 MCF x 1.1% = 20,900 MCF

20,900 MCF x 269$ per MCF @ crude price = $5,622,000




$5,622,000 for 2 zones @ crude price $269 per MCF

$20,900,000 for 2 zones @ a refined MCF price of $1000 per mcf (this is middle to low end assumed value for refined)

Extrapolated for 14 zones (pure assumption the other zones produce similar results)

$39,354,000 for 14 zones @ crude price $269 per MCF

$146,300,00 for 14 zones @ a refined MCF price of $1000 per mcf (this is middle to low end assumed value for refined)

Cost

* A normal well averages 500k cost. This was a deeper well and encountered many delays , let's assume triple the cost @ 1.5M.

* Processing cost they've stated before will be paid entirely by selling other present rare earth gasses like argon. It's not large amounts but enough to pay daily cost. The cost of the production facilities are spread out over all the wells from now an till the end so hard for me to cost per well value here. Their budgeted plan for processing facility was 24m which included enough solar power to run the facility and limit ASIC.



Well 4 certainly wasn't a homerun as far as recovery % , if this had been 4-7% as many expected we'd be seeing better price action. The sell off today was disappointing but my conviction remains strong. DME continues to find helium at a higher recovery % and higher rate then any of their peers and they have a massive geographical advantage for transport/end consumers.

Tomorrow the CEO is doing two interviews so hopefully we'll get some additional insight into production plans.


(I did not sell a single share and i would be adding today if i had cash in that account. TD Ameritrade doesn't clear deposits for OTC purchases for like 3-5 days. F' them)
Click to expand...

One thing i overlooked in the press release is the 2 zones tested for "reserves" @ 1.9BCF only account for 17 of 378 feet of pay zone. There's still 361 feet of helium bearing hole within the remaining 12 payzones. (read in their words here ( https://stockhouse.com/news/press-r...-reports-on-gas-in-place-for-discovery-well-4 )

Major softball fluff interview today. Points are valid though. I've said my piece on the processing plant. They need to get the ball rolling now. I'll likely add 10-15% in the coming weeks if the price stays low and i can free up the funds (GO PLTR!)

 
Last edited:
CFLCane said:
One thing i overlooked in the press release is the 2 zones tested for "reserves" @ 1.9BCF only account for 17 of 378 feet of pay zone. There's still 361 feet of helium bearing hole within the remaining 12 payzones. (read in their words here ( https://stockhouse.com/news/press-r...-reports-on-gas-in-place-for-discovery-well-4 )

Major softball fluff interview today. Points are valid though. I've said my piece on the processing plant. They need to get the ball rolling now. I'll likely add 10-15% in the coming weeks if the price stays low and i can free up the funds (GO PLTR!)

Click to expand...

Another softball interview below, but more useful information in this one. Listened in bed @ 5am, will recap this weekend when i can fully digest and re listen.

"highlight" being he said processing plant Q2.

stockhouse.com

2021-09-14 | Desert Mountain Energy Reports on Gas in Place for Discovery Well #4 | TSXV:DME | Press Release

(2021-09-14 | TSXV:DME) Desert Mountain Energy Reports on Gas in Place for Discovery Well #4
stockhouse.com stockhouse.com
 
I’m over weighted in palantir. Which turned positive for me this week. I’m still in sofi. You don’t like it anymore?

Are we still buying more desert mtn after the crash?
 
Bird4um said:
I’m over weighted in palantir. Which turned positive for me this week. I’m still in sofi. You don’t like it anymore?

Are we still buying more desert mtn after the crash?
Click to expand...

I'm just stalking the Sofi chart waiting for a clearer reversal signal. (options not commons). DME i'll add 15% or so when i have the opportunity. I'm too overweight to buy more. I'll write more about that this weekend sometime.
 
CFLCane said:
Another softball interview below, but more useful information in this one. Listened in bed @ 5am, will recap this weekend when i can fully digest and re listen.

"highlight" being he said processing plant Q2.

stockhouse.com

2021-09-14 | Desert Mountain Energy Reports on Gas in Place for Discovery Well #4 | TSXV:DME | Press Release

(2021-09-14 | TSXV:DME) Desert Mountain Energy Reports on Gas in Place for Discovery Well #4
stockhouse.com stockhouse.com
Click to expand...
@YUMU @Bird4um @Cryptical Envelopment 5-6 "offset" wells in next 15 months, 1 more prospect well. Production facility #1 is significantly less expensive/complex. That leaves 18m or left in the bank for DME to drill the holes below and start getting some cash flow in. Well 1 & 2 are delayed till 2023 (parts continually delayed for more advanced processing on those wells) . Mixed news here, delays keep piling up but management has pivoted to remove the threat of dilution.

Price is getting hammered today with the broader market sell off. Horrible timing. I'm adding 18% shares this week even if it puts me overweight. DME sitting at 168m mkt cap is too good to pass up.

1632149359459.webp


I missed attaching this last friday

 
Advertisement
CFLCane said:
@YUMU @Bird4um @Cryptical Envelopment 5-6 "offset" wells in next 15 months, 1 more prospect well. Production facility #1 is significantly less expensive/complex. That leaves 18m or left in the bank for DME to drill the holes below and start getting some cash flow in. Well 1 & 2 are delayed till 2023 (parts continually delayed for more advanced processing on those wells) . Mixed news here, delays keep piling up but management has pivoted to remove the threat of dilution.

Price is getting hammered today with the broader market sell off. Horrible timing. I'm adding 18% shares this week even if it puts me overweight. DME sitting at 168m mkt cap is too good to pass up.

View attachment 155339

I missed attaching this last friday

Click to expand...


Someone is drilling a hole in the STOCK PRICE. Absolutely hammered.
 
Back
Top