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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 otherwise.
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