Whitemud Resources Reports Operations Update


    CALGARY, July 30 /CNW/ - Whitemud Resources Inc. ("Whitemud" or the
"Company") (WMK-TSXV) is pleased to provide an operations update.

    Successful Gollier Creek Plant Maintenance Shutdown

    Whitemud Resources Inc. has completed a nine day planned shutdown to
replace the refractory brick lining of its rotary kiln. The poor quality of
the original refractory installation had been the major cause of start-up
delays earlier this year as well as a major concern in production reliability,
forcing us to reduce the plant throughput.
    The replacement work was carried out under the supervision of a leading
refractory expert to insure the elimination of further risk of failure.
    The plant restarted production on July 23rd and is now producing in a
very stable state. We have also increased the productivity level closer to
design capacity.
    The Company used the shutdown to carry out a variety of improvements to
the plant that will lead to further reliability and increased productivity.
    "We are confident that we are now well back on track," said Whitemud
Chief Executive Officer Burl Aycock. "While start-up challenges are not
unexpected for a major industrial facility, we are very pleased to have this
behind us. The full shut-down of the facility to completely replace the kiln
lining was the best long-term solution to ensure better reliability in the
future. Our customers remain enthusiastic about our product, and we are
looking forward to ramping up commercial shipments through the latter part of
the year."
    As of July 29, the Company has more than 6,000 tonnes of Whitemud(MK) in
inventory, ready for shipment to customers.

    Marketing and Product Introduction/Product Launch

    Currently, we have shipped product for commercial testing purposes to
19 customers and we have commitments from an additional 21 companies to
evaluate Whitemud(MK).
    Product has been delivered either by rail or trucks, in bulk or in bags,
to customers located in Montreal, Minneapolis, Chicago, California, the U.S.
Mountain region and throughout the western Canadian Provinces.
    To assess the value of our product in a variety of market segments we
have selected a diverse group of customers, including ready-mix concrete,
precast concrete, oil well cementing, and other concrete-related industries.
The product is being evaluated in a number of commercial applications; initial
positive feedback has been received both from customers and end users.
    The Company is very encouraged by feedback to date, as demonstrated by
the reordering of evaluation shipments from key customers.

    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. - Investor Relations - Email Alerts

    %SEDAR: 00024724E

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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