Calgary, AB / TheNewswire / May 30, 2018 – Whitemud Resources Inc. (“Whitemud” and the “Company”) (NEX – “WMK.H”) announces that it has released its financial statements and Management Discussion and Analysis for the first quarter ended March 31, 2018.

 

In addition to its metakaolin business, the Company continues with the marketing and distribution of liquefied petroleum gas (“LPGs”) through its Midstream Energy Partners division, the creation of which was first announced in a new release dated September 22, 2015.  Whitemud’s net income for the quarter ended March 31, 2018 was $23,780.  During the first quarter ended March 31, 2018 the marketing of LPGs contributed $542,168 of net income, offsetting losses from the metakaolin division of $518,388. The Company intends to continue with its LPG marketing initiatives in an attempt to generate income and stabilize the Company financially.

 

The LPG marketing business is dependent upon commodity price, access to and cost of transportation, risks associated with product supply, risks of customer demand, weather related demand conditions and the ability of customers to pay for LPGs delivered to them.  Commodity marketing contracts are subject to a bidding process with contracts usually entered into for a term of one year.  There is no assurance that further contracts may be obtained, extended or re-negotiated on terms that are commercially acceptable to the Company.

 

The Company is pleased to announce that it has renegotiated a number of commodity contracts which are to be effective April 1, 2018 for a one year term (the “New Agreements”).  The New Agreements were entered into with a single source arm’s length third party vendor and obligate the Company to purchase up to 10,000 m3 of LPGs per month at current market prices.  The Company intends to market the LPGs at a profit.

 

The Company will continue to seek additional business opportunities in the LPG marketing business segment.

 

About Whitemud Resources Inc.

 

Whitemud is a Canadian-based corporation holding mineral rights to exploit a large kaolin deposit in southern Saskatchewan, together with a processing facility located on the property. Whitemud’s product, Whitemud (MK) is a cement-grade metakaolin that enhances the performance of cement for oil and gas wells and construction applications. The Company uses a process that minimizes environmental impact.

 

Midstream Energy Partners, a division of Whitemud Resources Inc. formed in 2015, engages in the business of commodity marketing and logistics.

 

For further information, please contact:

  

Whitemud Resources Inc.

General Inquiries

Suite 3900, 205 5th Avenue SW

Calgary, Alberta T2P2V7

Telephone: 403-266-1985

 

Reader Advisory

This news release contains forward-looking statements, within the meaning of applicable securities legislation, concerning Whitemud’s business and affairs.  In certain cases, forward-looking statements can be identified by the use of words such as ‘‘attempts’’, ‘‘intends’’, “continues” or variations of such words and phrases or state that certain actions, events or results ‘‘may’’, ‘‘could’’, ‘‘would’’, ‘‘might’’ or ‘‘will be taken’’, ‘‘occur’’ or ‘‘be achieved’’.  These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements.  Although Whitemud believes these statements to be reasonable, no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon.  Such statements include statements with respect to the Company’s ability to market the LPGs purchased under the New Contracts at a profit, to continue seek additional business opportunities in the LPG business marketing and the success of any efforts in respect thereof.  Actual results could differ materially from those anticipated in these forward-looking statements as a result of prevailing economic conditions, and other factors, many of which are beyond the control of Whitemud. The forward-looking statements contained in this news release represent Whitemud’s expectations as of the date hereof, and are subject to change after such date. Whitemud disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as may be required by applicable securities regulations.  

 

Neither the TSXV 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.

 

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