Member Info for dai2belts

Von, I agree from everything I have read 10-14% seems really low, even 20% sounds conservative..
I do wonder if the given COS was considered good enough to get the required investment without promising too much.
When investing with a COS of 10-14% you can not complain if you end up with nothing, but a 50% COS, P50, and 21 prospects you would be upset..

Another positive is there is talk of a commodities super cycle as economies invest to grow, so we have a commodity, already showing growing demand, and we are in early, fingers crossed we do find the biggest reserve in the whole world..
I could pay a whole years bills with my investment, so will be kicking myself if we get dust

My wild guesses, no calculations
Pre-drill: 7/8p
Receipt of Drilling Permits 14/15p
Announce Start of drill 20/24p
Good 1st drill, announce straight to appraisal : 60p
Appraisal 1st hole exceeding P50 +£1
then lots more as FOMO kicks in..

Noob67 syme

always thought the CoS were 10-14% or He1's higher value 20%, both from same document ,not seen any other values

cheers Marley182
youtube link for those with old browsers
https://www.youtube.com/watch?v=ryI9TmEggN0

Good question "Wonder what some of the experienced traders make of lots of buys and fewer, but large sells."
Big investors get it wrong, play games too..
DME Salts Basin
Rukwa lake Salt Beds
DME source Decaying Uranium
Rukwa source Decaying Uranium
DME Volcanic
Rukwa Volcanic
DME 267km^2
Rukwa 3448km^2 , plus Balangida 260km^2, Eyasi 804km^2
Rukwa The prolific occurrence of helium springs is unique, 15 were sampled, 5 in Rukwa, plus Balangida, Eysai and ??
Rukwa porous sandstones are potentially excellent reservoirs
Rukwa based on existing drill data there appears to be ample potential reservoirs in the Rukwa region.
Institutional investors have lock-in conditions, so its not those guys

Rukwa Rift Basin possesses the unique and ideal characteristics with potential to host a globally significant helium project
======================================================================================================
The rift extends into Kenya and Uganda where it hosts multiple hydrocarbon discoveries and active field
developments. Helium is known as radiogenic helium and is produced by the natural decay of uranium and
thorium which exists in small amounts in rocks such as granite. Time is the essence here, a lot of time. Very
old rocks can build up a large stock of helium over the aeons. The Company’s project areas contain very
old helium rich rocks underneath our project. However, there then need to be a mechanism to release the
Helium, and subsequently to trap it. In Tanzania there is a relatively recent geologic phenomena called the
East African Rift, which is involves the ripping apart of the Earth’s crust. This and the associated volcanism
provide a mechanism to release the stored ancient helium. Sedimentary basins, which form within the rift
valley such as the Rukwa Rift Basin, provide the reservoir, trap and seal necessary to form an accumulation.

Good wine tonight, and still running on winter time hours, so still early..

And after spending $8Million surely a company would know its time to call it a day or not?
but its not their money ?? Mmmm

noob67 who is your RTO?
They seem quite fashionable at the moment..
My other high risk came about via the RTO route, its been a trip so far, and the BB is something else, like that bar in star wars..

Might be of interest, all the geological wording kills me...
old, older, oldest and olderest is my level
https://www.researchgate.net/publication/272152069_Sedimentology_and_depositional_environments_of_the_Red_Sandstone_Group_Rukwa_Rift_Basin_southwestern_Tanzania_New_insight_into_Cretaceous_and_Paleogene_terrestrial_ecosystems_and_tectonics_in_sub-equa

Its a good percentage of my portfolio, I have another high risk share, hopefully both will come in, or at least one of them.
So hedging my bets kind of..
Also been thinking about buying to sell, thinking as we get closer the price will rise significantly, so de-risking and keeping original holding, ???

Maybe make this one into a bit of a hobby since it has a good BB, and we get good updates from DM.

Spock, secrets out
Elon wants the helium for his rocket ships to the moon where there is an abundance of helium-3 to power his next generation of rocket ships..

Much speculation has been made over the possibility of helium-3 as a future energy source. Unlike most nuclear fission reactions, the fusion of helium-3 atoms releases large amounts of energy without causing the surrounding material to become radioactive.

The geology of the Pinta Dome-Navajo Springs helium fields, Apache County, Arizona
(a long read, was in the references of "Regional Geology of the Holbrook Basin, Arizona")

https://repository.arizona.edu/bitstream/handle/10150/552036/AZU_TD_BOX262_E9791_1969_21.pdf?sequence=1

Been wondering about those positive/negative trades. thanks..

its the weekend, still in lockdown, so beer & research makes up for the lack of drruggs and rock n roll :)
or is it age?

Prompted by scott22s comments I found an interesting article about the formation of Holbrook, slow reading for me though as i need to google a lot of words as its geologist speak,,

https://www.researchgate.net/publication/325698490_Regional_Geology_of_the_Holbrook_Basin_Arizona

I wonder if there will be a bit of profit taking before new tax year, and a good price to top up.
Can you buy outside ISA then transfer in, or would you have to sell and buy back?

still got beer to finish..not sure about tables values, so
10 years,, output per well 1.5mmcf/d raw,, 4% helium,, 30 wells(page 15)
30x1,500,000x0.04=1,800,000cf/d helium
1,800,000x365x10=6.57bcf
But
Table 17 points to 4.1bcf(page 18)
so my final guess is 4 bcf- 6.5bcf..?
Mmmm...?

DME well life 10 years(used for valuation)
figures for each year 6 new DME wells are brought into production are not linear.
so first 6 years 1.2 bcf....
but could say 30 wells operational produce >0.4bcf/year, using years 7/8 values.
Wells estimated life 10 years so >4bcf,,
just a very rough figure..

Found this..1.2bcf
Our valuation of Desert Mountain Energy’s Holbrook Basin assets is based on a risked
(75%) after-tax NAV using a 10% discount rate. We would highlight that our model assumes 30 wells drilled over a six-year period, 4.0% helium concentrations, 1.5 MMcf/d raw gas volumes per well,
So my best effort is, assuming raw is straight out of the well
1.2bcf over 6 years...
I think you just need to add the mmcf for each year in table(fig)13,
plus they got to discover it first..
page 15,,noob67s doc link for full details

Interesting post,
Have you seen Noob67's DME Doc link..(Cormark Securities)
I think you have seeing you mention $5, after a quick scan,,
It mentions the Kerr McGee 01 Macie-State well which i think could be the one you are referring to,

https://dashboard.cormark.com/servlet/display.pdf?repid=mmueller%40cormark%2Ecom_20201026113550930&userid=don%40desertmountainenergy%2Ecom

Thanks
Dallas I remember that, I was just a boy then...more interested in the cowboy hats than Sue..

Heliox is also used by divers..(said google)
A mixture of helium and oxygen with 0% nitrogen, used as a breathing gas in deep commercial diving operations.
Nitrogen (N2) is a diatomic gas and the main component of air, the cheapest and most common breathing gas used for diving. It causes nitrogen narcosis in the diver, so its use is limited to shallower dives.
Wish I could remember all this stuff, next week I will probably post it all again...

Lots of informative posts making up a very interesting BB, thanks all