DESERT MOUNTAIN ENERGY SIGNS LOI FOR SNC BATTERY PLANT IN ROSWELL, NEW MEXICO

Executive Summary

• Desert Mountain Energy Corp. has signed a non‑binding Letter of Intent to form a joint venture that will build and operate a sodium–nickel–chloride (SNC) battery manufacturing facility in Roswell, New Mexico.
• The project will repurpose produced water from regional oil and gas wells for cooling and processing, integrate natural‑gas‑generated electricity, and extract valuable salts and rare‑earth elements (REEs) as by‑products.
• The initiative is positioned to create new jobs, generate additional revenue streams, and align with federal and state incentives for energy‑transition manufacturing and critical‑materials management.

Key Details

• Letter of Intent (LOI): Non‑binding agreement to establish a joint venture for an SNC battery plant and adjacent AI data‑center complex in Roswell, NM.
• Technology: Sodium–nickel–chloride batteries – noted for stability, long lifecycle, and safety; suitable for grid support, industrial power, and data‑center applications.
• Produced‑Water Utilization: Treated produced water from local oil/gas operators will be used for cooling/processing, reducing aquifer extraction and lowering operating costs for smaller producers.
• Energy Integration: Desert Mountain’s natural‑gas resources will generate local electricity to power the produced‑water system and AI data‑center, creating a vertically integrated energy‑efficient footprint.
• By‑Product Streams:
• Sodium extracted from treated water will be dried and fed directly into SNC battery production.
• Critical REEs isolated during treatment will be dried, sealed, and shipped for further refining, providing additional revenue streams.
• Economic Impact: Expected to create jobs in Chaves County, diversify regional revenue, lower disposal costs for oil/gas operators, extend well life, and increase tax contributions to local schools and state programs.
• Regulatory Alignment: Project aligns with local, state, and federal incentive programs for energy‑transition manufacturing, critical‑materials management, and advanced‑technology deployment (referencing the Genesis Mission Executive Order).
• Next Steps: Parties will conduct detailed due diligence, engineering evaluation, and negotiate a definitive joint‑venture agreement; further updates to be provided as milestones are reached.

Notable Quotes

“The initiative supports our plan to use natural‑gas resources to generate local electricity for the produced‑water system and the adjacent AI data‑center infrastructure, creating a vertically integrated and energy‑efficient footprint.” – Robert Rohlfing, Exec Chairman & CEO

All forward‑looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied.