Not misleading at all.
It is on Karnalye's website, under news, right next to the news release from November 2011 that you cut and pasted .
They pulled it at the end of 2011 because they didn't have enough time to answer the comments from the securities regulators.
Anyway BMO was providing investment banking services, they wouldn't have kept any of the bought deal. It was subscribed to by funds and investment managers.
CALGARY, ALBERTA--(Marketwire - Dec. 13, 2011) -
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
(all dollar figures expressed in Canadian Dollars)
Karnalyte Resources Inc. ("Karnalyte" or the "Corporation") (TSX:KRN) today announced that it will not be proceeding at this time with the $115 million bought deal financing previously announced on November 29, 2011. As part of the prospectus review process, Karnalyte received comments from the securities regulators in respect of its Technical Report titled "Reserve and Resource Estimate for the Wynyard Carnallite Project, Subsurface Mineral Permit KP 360A and Subsurface Mineral Lease KLSA 010, Saskatchewan, Canada" effective October 21, 2011. Karnalyte held discussions with the securities regulators to review these comments however, as a result of the delay, a final short form prospectus could not be filed in the required timeframe. Karnalyte remains 100% dedicated to moving the project forward.
Robin Phinney, CEO of Karnalyte commented, "Karnalyte is in a strong financial position with cash resources of approximately $30 million, and will continue to advance the Wynyard Carnallite Project. We will also continue to pursue financing strategies, including progressing debt financing and equity financing from either the capital markets or strategic partners and cornerstone investors."
About Karnalyte Resources Inc.
Karnalyte is engaged in the business of exploration and development of high quality agricultural and industrial potash and magnesium products. Karnalyte intends to develop and extract a carnallite - sylvite mineral deposit through a known solution mining process at competitive costs and with minimal environmental impact. Using a staged approached to potash plant construction, the Corporation plans to operate a solution mining facility that will initially produce 625,000 tonnes of potash per year, increasing to 2.125 million tonnes of potash per year. Karnalyte owns a 100% interest in Subsurface Permit KP 360A and Subsurface Mineral Lease KLSA-010 located near Wynyard, Saskatchewan, comprising a total of 85,126 acres.