Business
Delay in Publication of 2021 Audited Annual Results and Update Regarding Management Cease Trade Order Application
VANCOUVER, BC / ACCESSWIRE / March 28, 2022 / SouthGobi Resources Ltd. (TSX:SGQ)(HK:1878) ("...
About this update from Southgobi Resources Ltd.
[{"type":"text","content":"Delay in Publication of 2021 Audited Annual Results and Update Regarding Management Cease Trade Order ApplicationVANCOUVER, BC / ACCESSWIRE / March 28, 2022 / SouthGobi Resources Ltd. (TSX:SGQ)(HK:1878) (\"SouthGobi\" or the \"Company\") wishes to provide the Company's shareholders and potential investors with an update in relation to the delay in publication of 2021 Audited Annual Results, and its application for a Management Cease Trade Order (the \"MCTO\") made to the British Columbia Securities Commission (\"BCSC\"), the Company's principal securities regulator in Canada.Reference is made to the announcements of the Company dated March 11 and March 24, 2022 (the \"Announcements\"). Unless otherwise defined herein, capitalized terms used in this announcement shall have the same respective meanings as defined in the Announcements.DELAY IN PUBLICATION OF 2021 AUDITED ANNUAL RESULTS AND DELAY IN ANNUAL FILINGSAs disclosed in the Announcements, the Company has been advised by its Auditors that they will be unable to render an unmodified opinion on the 2021 Financial Statements prior to the filing deadline of March 31, 2022 (the \"Annual Filing Deadline\"), as they have not been able to obtain sufficient evidence to support management's going concern assumptions. As a result, it is anticipated that the Company will not be able to publish the 2021 Audited Annual Results prior to the Annual Filing Deadline. Furthermore, the Company will not be able to file the 2021 Annual Filings prior to the Annual Filing Deadline as required under applicable Canadian securities laws. Accordingly, subsequent to the Annual Filing Deadline, the Company will be in default of its continuous disclosure obligations under applicable Canadian securities laws and placed on the defaulting issuers list of the BCSC.APPLICATION OF MANAGEMENT CEASE TRADE ORDEROn March 17, 2022, the Company made an application to the BCSC under National Policy 12-203 of the Canadian Securities Administrators (\"NP 12-203\") requesting that a MCTO be granted in respect of the late filing of the 2021 Annual Filings. As of the date hereof, the BCSC has not issued a decision in respect of the Company's MCTO application. There is no guarantee that a MCTO will be granted.If a MCTO is granted, the Company will attempt to obtain and provide to the Auditors sufficient evidence to support ...