/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES/
CALGARY, Dec. 9 /CNW/ - Whitemud Resources Inc. ("Whitemud" or the
"Company") (WMK - TSXV) provides an update on recent developments.
On December 6, 2010 the Alberta Securities Commission issued a cease
trade order resulting from the Company not filing interim unaudited
financial statements, interim management's discussion and analysis and
certification of interim filings for the interim periods ended
September 30, 2010.
In addition, the Company's trust company informed Whitemud that it has
suspended all transfer agent and registrar services for the Corporation
due to its failure to pay outstanding invoices.
With the limited cash available, the Company is currently not in a
position to fund operational costs and meet obligations to regulators
and its trust company. Whitemud continues to work with its bank towards
a short-term financial solution. Whitemud is also currently working on
finding a buyer for the Company and/or a source of finance to
recapitalize the Company. In the meantime, the Company's bank has
released funds necessary to hire some personnel back on a contract
basis to provide necessary administration and security of the plant.
Subsequent to the suspension of our operations on November 16, 2010 a
significant sale of metakaolin was made to a concrete producer for a
large potash mine project in Saskatchewan. Metakaolin provided unique
enhancements to the concrete quality on the project, including
increased strength development and improved durability.
About Whitemud Resources
Whitemud Resources Inc. is a Canadian-based corporation that is
exploiting a large kaolin deposit in southern Saskatchewan. The Company
produces Whitemud(MK), cement-grade metakaolin that enhances the
performance of cement used in construction using a patented process
that minimizes environmental impact. The Company is positioned to
benefit from expanding North American infrastructure needs and growing
environmental pressures facing the cement industry. Visit www.whitemudresources.com for more information.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
Forward Looking Statement
This press release may contain forward-looking statements which may
include estimates, plans, expectations, opinions, forecasts,
projections and guidance or other statements that are not statements of
fact, and guidance or other statements that are not statements of fact,
including without limiting the generality of the foregoing, statements
regarding the expectations: (i) finding a short-term financial
solution; (ii) finding a buyer for the Company and/or a source of
finance to recapitalize the Company. Actual results may vary from the
forward looking information provided. The statements are subject to
risks, including risks that the approvals necessary for financing will
not be obtained or the financing will not close, current economic
conditions in general, industry specific risks relating to the sale,
acceptance and distribution of concrete additives, and those other risk
factors related to the Company's business more specifically set forth
in its prospectus and Annual Information Form. The Company's
forward-looking statements are expressly qualified in their entirety by
this cautionary statement. Unless otherwise required by applicable
securities laws, the Company does not intend nor does it undertake any
obligation to update or review any forward-looking statements to
reflect subsequent information, events, results or circumstances or
SOURCE WHITEMUD RESOURCES INC.
For further information: For further information:
Burl Aycock, CEO, Whitemud Resources, Telephone: (403) 695-1012 or Kelly Babichuk, President and COO, Whitemud Resources, Telephone: (403) 517-0040