VANCOUVER, BRITISH COLUMBIA (By Desert Mountain, 2.Dec.2025, Words: 253) — Desert Mountain Energy Corp. signed a non-binding Letter of Intent (LOI) to form a joint venture to build and operate a sodium–nickel–chloride (SNC) battery manufacturing facility in Roswell, New Mexico.
The proposed operation would utilize produced water from regional oil and gas wells as part of an environmentally responsible cooling and processing system designed to support both battery production and a planned artificial-intelligence (AI) data-center complex.
Strategic use of produced water & integration with AI data center
Under the contemplated structure, produced water from area operators would be treated and repurposed for cooling and processing needs, thereby significantly reducing the volume of water extracted from the aquifer, as well as lowering operating costs for smaller oil and gas producers. Desert Mountain Energy’s own wells generate minimal produced water, but the company’s processing expertise positions it to serve as a strategic solutions provider to neighboring operators.
The initiative also supports the company’s plan to use its 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.
Sodium, REE and By-Product Management
As part of the produced-water treatment process, salts and certain critical rare earth elements (REEs) are extracted and separated.
— sodium will be dried and utilized directly in the production of SNC battery units.
— isolated REEs will be dried, sealed, and shipped to qualified facilities for further refining.
This creates multiple value-added revenue streams while minimizing waste and maximizing the commercial usefulness of extracted materials.
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