Argonaut Games this morning released a statement to the stock markets indicating possible financial difficulties, resulting in all trading in the companies shares being suspended pending confirmation of the developers monetary position.

The statement mentioned that Argonaut has experienced further delays in signing important developmental contracts, and the company can only survive for "an extremely limited period" on existing cash reserves. Pending contracts need to be sorted ASAP for the company to stay afloat.

This morning's statement read: "In the absence of these development agreements being immediately secured, the Group's existing cash resources will provide funding for only an extremely limited period and Argonaut may not be able to continue to trade."

This news comes not too long after the story of Acclaim being declared bankrupt and folding, and paints yet another grim picture for a videogames company. More news as it breaks.

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