December 19, 2008 Olivut Resources Ltd. Announces Year End Financial Results
Olivut Resources Ltd. ANNOUNCES YEAR END FINANCIAL RESULTS.
Toronto, December 19, 2008 – Olivut Resources Ltd. (“Olivut” or the “Company”– TSX-V: OLV) announces that the year end audited consolidated financial statements for the year ended October 31, 2008 have been filed. At October 31, 2008 the Company had cash in the bank totalling $6.0 million and working capital of $5.8 million. The financial statements may be viewed on SEDAR at www.sedar.com or at the Company’s website at www.olivut.com. We invite interested parties to visit those sites for additional corporate and project information.
On the basis of the Company’s current cash position, management of the Company believes that it has sufficient funds to complete a 2009 exploration program, pay its ongoing administrative expenses and to meet its existing liabilities until the next fiscal year end, October 31, 2009. In the current global economic and liquidity crisis, management will carefully monitor its cash balances over the course of the next 12 to 24 months and may postpone material exploration expenses if the liquidity crisis does not improve, so as to protect the Company’s working capital. As at October 31, 2008, the Company did not have any long-term debt, contractual liabilities or obligations other than as reported in the audited year end consolidated financial statements.
Olivut is a diamond exploration company with a 100% mineral interest in over 2,000,000 acres in the prospective HOAM Project in Canada’s Northwest Territories. On November 7, 2008 the Company announced the successful completion of the 2008 drilling program (the “Program”).
Highlights of the Program include the following:
Successful completion of the planned 2008 regional airborne, gravity and drilling programs8 new kimberlite bodies discovered23 drill holes completed16 drill holes intersected kimberlite15 targets tested including 13 new targets identified during the yearIncreased the number of known kimberlite bodies discovered from 10 to 18
The 2008 regional airborne program successfully delineated numerous new targets that will require a follow-up helimag program to establish drill prioritization. In addition, untested priority helimag targets identified during the 2007 program are scheduled to be drilled during the next field season. Kimberlite recovered during the 2008 program has been sent to SRC for microdiamond recovery and results will be reported as they become available.
This communication to shareholders and the public contains certain forward-looking statements. Actual results may differ materially from those indicated by such statements. All statements, other than statements of historical fact included herein, including, without limitations statements regarding future production, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Leni Keough, P.Geol.
President and Chief Executive Officer
For further information, please contact:
President and Chief Executive Officer,
Olivut Resources Ltd.
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