Whitemud announces closing of its previously announced C$15,001,000 "bought deal" financing


    CALGARY, June 26 /CNW/ - Whitemud Resources Inc. ("Whitemud" or the
"Company") (TSX VENTURE:WMK) is pleased to announce that it has completed the
"bought deal" private placement financing originally announced on June 5,
2008. The syndicate of underwriters was led by Thomas Weisel Partners Canada
Inc. and included Dundee Securities Corporation. Whitemud issued 2,143,000
special warrants of the Company at a price of C$7.00 per special warrant
("Special Warrant"), for aggregate gross proceeds of C$15,001,000 (the
    Each Special Warrant shall be automatically exercised for no additional
consideration to acquire one common share in the capital of the Company,
subject to adjustment in certain events, at 5:00 pm (Calgary time) on the
earlier of (a) the third business day after the date that a receipt is issued
by the principal securities regulator for a final prospectus qualifying the
common shares to be issued upon the exercise of the Special Warrants and (b)
the date that is 45 days following June 26, 2008 (the "Closing Date"). If the
principal securities regulator has not issued a receipt for the final
prospectus within 45 days of the Closing Date, the holder of each Special
Warrant shall be entitled to receive 1.1 common shares in lieu of one common
share upon exercise of the Special Warrant.
    Whitemud plans to use the net proceeds of this financing for general
corporate purposes.
    The securities issued under this Offering were offered by way of private
placement exemptions in certain provinces of Canada and in the United States
on a private placement basis pursuant to exemptions from the registration
requirements of the United States Securities Act of 1933, as amended.
    The securities offered have not, nor will they be registered under the
United States Securities Act of 1933, as amended, and may not be offered or
sold within the United States or to, or for the account or benefit of, U.S.
persons absent U.S. registration or an applicable exemption from the U.S.
registration requirements. This release does not constitute an offer for sale
of securities in the United States.

    About Whitemud Resources

    Whitemud is a Canada-based corporation that is exploiting a large kaolin
deposit in southern Saskatchewan. The Company produces Whitemud(MK), a
high-reactivity, cement-grade metakaolin that enhances the performance of
cement used in construction and in oil and gas wells. The Company is
positioned to benefit from expanding North American infrastructure needs and
growing environmental pressures. The TSX Venture Exchange does not accept
responsibility for the adequacy or accuracy of this release.

    Forward Looking Information

    This press release may contain forward-looking statements which may
include estimates, plans, expectations, opinions, forecasts, projections,
guidance or other statements that are not statements of fact, including
without limiting the generality of the foregoing, statements made regarding
the intended use of proceeds of the Offering. Although the Company believes
that the expectations reflected in such forward-looking statements are
reasonable, it cannot give any assurance that such expectations will prove to
be correct. The intended use of proceeds may be affected by Whitemud's ability
to achieve the plant facility's design capacity, timing for delivery of
commercial shipments of product and the success of the solutions made to
remedy equipment failures all of which may be affected by a variety of
variables and risks associated with the mining and mineral processing industry
such as, loss of market, competition, ability to access sufficient debt and
equity capital from internal and external sources, ability to expand in the
marketplace, exploration and development plans and results, anticipated
capital expenditures and financing thereof, timing of applications and
approvals. As such the future plans and objectives of Whitemud are
forward-looking statements that involve risks and uncertainties and may be
based on assumptions that could cause actual results to differ materially from
those anticipated or implied in such statements. 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 otherwise.

    For further information on Whitemud, go to www.whitemudresources.com.

    For email alerts regarding Whitemud Resources, please go to Whitemud
Resources Inc. - Email Alerts

For further information:

For further information: Burl Aycock, Chairman & CEO - Telephone: (403)
695-1012; Ron Love, Vice President, Finance and CFO - Telephone: (403)
517-0040; Kelly Babichuk, President and COO - Telephone: (403) 517-0040; Kevin
Graham, Vice President, Communications - Telephone: (403) 517-0040

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