Riata Resources Corp.

Riata Resources Corp.

December 14, 2010 14:58 ET

Riata Resources Corp. Corporate Update

CALGARY, ALBERTA--(Marketwire - Dec. 14, 2010) - Riata Resources Corp. ("Riata" or the "Corporation") (TSX VENTURE:RTR) advises that it has been issued a Demand Notice by the Canadian Western Bank (the "Bank") whereby Riata has been given a notice period up to January 3, 2011 to provide the Bank with a signed proposal for repayment of its Demand Loan with a current balance outstanding of $299,399.59. The Company intends to comply with the demand and will submit a loan repayment proposal within the prescribed timeframe. The terms of repayment set out in the proposal will be captured in a Forbearance Agreement. If Riata should breach any of the repayment terms set out in the Forbearance Agreement, the bank will have a right to immediately foreclose.

Except for historical information contained in this release, the matters discussed, including the preparation of a loan repayment proposal by the Company and the approval and execution of a Forbearance Agreement by each of the Company and the Bank, are forward looking statements that involve risks and uncertainties. When used in this release, words such as "anticipate", "believe", "estimate", "expect", "probable" and "intend" and similar expressions, as they relate to the Corporation or its management, identify forward looking statements. Such forward-looking statements are based on the beliefs of the Corporation's management, as well as assumptions made by and information currently available to the Corporation's management. Among the factors that could cause actual results to differ materially are the following: the ability to successfully negotiate the Forbearance Agreement; the effect of business and economic conditions; the impact of competitive products and pricing; capacity and supply constraints or difficulties; product development; commercialization or technological difficulties; the regulatory and trade environment. The Corporation undertakes no obligation to revise any forward-looking statements as a result of future events or developments.

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.

Contact Information

  • Riata Resources Corp.
    Jacqueline M. Tucker
    403 693-8009