ARMSTRONG, BC, Dec. 18 /CNW/ - GWR Resources Inc. (TSX Venture: GWQ) announces that it is no longer proceeding with the acquisition of Deep Creek Oil & Gas Inc. ("Deep Creek") at this time. Deep Creek was under creditor protection when it entered into a letter of intent with GWR. The Letter of Intent called for GWR to issue 7,666,666 common shares at a deemed price of approximately $0.26 per share. Deep Creek is no longer under creditor protection. Given GWR's current stock price, it would be necessary to issue a larger number of shares in order to complete this acquisition. GWR's management does not feel it is desirable to issue a larger number of shares, as this would deleteriously dilute GWR's existing shareholders who have invested in GWR on the basis of its advanced stage copper-gold Lac La Hache property. With the return of good copper prices, and the record setting gold prices, GWR is of the opinion that its common shares are undervalued. Management of GWR and Deep Creek continue to be on very friendly terms.
About GWR Resources Inc.
GWR RESOURCES INC. is an active mineral exploration company, currently exploring multiple zones containing commercial grades of copper and gold within its large Lac La Hache copper-gold porphyry project. GWR's project is in the prolific Quesnel Trough area of British Columbia, between producing mines at Imperial Metals' Mt. Polley Copper-Gold Mine and New Gold Inc.'s New Afton Copper-Gold project (Teck-Cominco's legendary Afton mine). The Lac La Hache project is well-served by rail, road and power infrastructure.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information: For further information: Responsible Officer: Irvin Eisler, President, Company Telephone Number: (250) 546-8048