Sunshine Oilsands Ltd. Announces Results for the Second Quarter Ended June 30, 2015 and an Update on West Ells Progress

HONG KONG and CALGARY, Alberta, Aug. 12, 2015 /CNW/ -- Sunshine Oilsands Ltd. (the "Corporation" or "Sunshine") (HKEX:  2012; TSX: SUO) is pleased to announce its financial results for the second quarter ended June 30, 2015 and an update on West Ells progress. The Corporation's consolidated financial statements, notes to the consolidated financial statements and management's discussion and analysis have been filed on SEDAR ( and with The Stock Exchange of Hong Kong Limited (the "Hong Kong Stock Exchange") ( and are available on the Corporation's website ( All figures are in Canadian dollars unless otherwise stated.

Message to Shareholders

In the second quarter of 2015, Sunshine continued to focus on financing initiatives and on West Ells construction and achieved progress in the following areas:

  • Obtained equity commitments for HK$393.6 million (approximately CDN$ 63.3 million as at May 31, 2015)
  • Achieved substantial completion of West Ells construction activities;
  • Installed all major modules at West Ells site;
  • Finished all central processing facility and well pad inspections; and
  • Continued with pre-commissioning assessments and start-up preparation activities.

Sunshine currently expects first steam in September of 2015 and first oil production in December of 2015.

Sunshine's Capital Raising and Joint Ventures Activities

During the second quarter, Sunshine obtained equity subscription commitments for HK$393.6 million (approximately CDN$ 63.3 million as at May 31, 2015) priced at HK$0.75 per share. On July 12, 2015, additional equity subscriptions for HK$155.0 million (approximately CDN$ 25.4 million as at July 12, 2015) were obtained at a price of HK$0.61 per share. Closings of these subscriptions are scheduled to commence on August 20, 2015 and be completed by September 30, 2015.

Sunshine has been positively examining opportunities, by various means and through various channels, to secure additional debt capital to fund Phase 2 expansion of West Ells. The target is to raise US$150 million to US$200 million of incremental debt capital. Sunshine is now intensively discussing with several potential investors on possible financing plan and solution in detail.

Summary of Financial Figures

As at June 30, 2015 and December 31, 2014, the Corporation notes the following selected balance sheet figures:

(Canadian $000s)

June 30, 2015

December 31, 2014






Current restricted cash and cash equivalents



Non-current restricted cash and cash equivalents



Exploration and evaluation assets



Property and equipment



Total liabilities



Shareholders' equity




For the second quarter of 2015, the Corporation had a net loss of $19.1 million compared to $8.9 million for the same period in 2014, representing a net loss per share of $0.00 for the 2015 period and $0.00 for the 2014 period.

2015 Outlook

The current board approved schedule for West Ells startup is targeting first steam commencing in September 2015, and first oil production in December 2015.

As at the date of this announcement, construction of the West Ells facilities is substantially complete. Sunshine is fully committed to advancing its corporate initiatives to ensure that West Ells achieves a smooth startup of the Phase 1 facilities and achievement of nameplate capacity of 5,000 bbls/day.

Hong Luo

                                                                                                          Dr. Qi Jiang


                                                                                                  President & COO

About Sunshine Oilsands Ltd.

The Corporation is a Calgary based public corporation, listed on the Hong Kong Stock Exchange since March 1, 2012 and the Toronto Stock Exchange since November 16, 2012. The Corporation is focused on the development of its significant holdings of oil sands leases in the Athabasca oil sands region. The Corporation owns interests in oil sands and petroleum and natural gas leases in the Athabasca region of Alberta. The Corporation is currently focused on executing milestone undertakings in the West Ells project area. West Ells has an initial production target rate of 5,000 barrels per day.


This announcement contains forward-looking information relating to, among other things, (a) the future financial performance and objectives of Sunshine; and (b) the plans and expectations of the Corporation. Such forward-looking information is subject to various risks, uncertainties and other factors. All statements other than statements and information of historical fact are forward-looking statements. The use of words such as "estimate", "forecast", "expect", "project", "plan", "target", "vision", "goal", "outlook", "may", "will", "should", "believe", "intend", "anticipate", "potential", and similar expressions are intended to identify forward-looking statements. Forward-looking statements are based on Sunshine's experience, current beliefs, assumptions, information and perception of historical trends available to Sunshine, and are subject to a variety of risks and uncertainties including, but not limited to, those associated with resource definition and expected reserves and contingent and prospective resources estimates, unanticipated costs and expenses, regulatory approval, fluctuating oil and gas prices, expected future production, the ability to access sufficient capital to finance future development and credit risks, changes in Alberta's regulatory framework, including changes to regulatory approval process and land-use designations, royalty, tax, environmental, greenhouse gas, carbon and other laws or regulations and the impact thereof and the costs associated with compliance. Although Sunshine believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. Readers are cautioned that the assumptions and factors discussed in this announcement are not exhaustive and readers are not to place undue reliance on forward-looking statements as the Corporation's actual results may differ materially from those expressed or implied. Sunshine disclaims any intention or obligation to update or revise any forward-looking statements as a result of new information, future events or otherwise, subsequent to the date of this announcement, except as required under applicable securities legislation. The forward-looking statements speak only as at the date of this announcement and are expressly qualified by these cautionary statements. Readers are cautioned that the foregoing lists are not exhaustive and are made as at the date hereof. For a full discussion of the Corporation's material risk factors, see the Corporation's annual information form for the year ended December 31, 2014 and risk factors described in other documents that the Corporation files from time to time with securities regulatory authorities, all of which are available on the Hong Kong Stock Exchange at, on the SEDAR website at or on the Corporation's website at

SOURCE Sunshine Oilsands Ltd.

For further information: Mr. Hong Luo, Chief Executive Officer, +1 (403) 930-5677,,,

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