HONG KONG, CHINA and CALGARY, ALBERTA–(Marketwired – Oct. 23, 2016) – The Board of Directors of Sunshine Oilsands Ltd. (the “Corporation” or “Sunshine“) (HKSE:2012) is pleased to announce the following:
Partial Closing of Private Placement under General Mandate
Reference is made to the announcements of the Corporation dated March 16, 2016, April 28, 2016, May 16, 2016, June 22, 2016, July 4, 2016 and September 1, 2016 (all Hong Kong time) (collectively, the “Bright Hope Announcement“) in relation to the proposed issue of a total of 558,823,500 new Class “A” Common Voting Shares in the capital of the Corporation (“Common Shares“) to Bright Hope Global Investments Limited (“Bright Hope“) under the General Mandate (as defined in the Bright Hope Announcement).
Sunshine is pleased to announce today that it has completed the closing of 137,941,176 Common Shares (the “Bright Hope Partial Closing“) under the General Mandate at a price of HK $0.34 per Common Share (approximately CDN $0.06 per Common Share at current exchange rates). Under the Bright Hope Partial Closing, the Corporation received total gross proceeds of HK $46,900,000 (approximately CDN $8.05 million at current exchange rates) for the allotment and issue of 137,941,176 Common Shares (the “Bright Hope Shares“) to Bright Hope. An introduction fee of HK $937,995.40 (approximately CDN $160,927.03 at current exchange rates) being 2% of the gross proceeds of the Bright Hope Partial Closing has been incurred in relation to the Bright Hope Partial Closing.
The Bright Hope Shares represent: (i) approximately 2.948% of the total issued and outstanding Common Shares prior to the Closings (as defined below); and (ii) approximately 2.856% of the total issued and outstanding Common Shares as enlarged by the Closings.
The Corporation intends to apply the net proceeds from the Bright Hope Partial Closing: (i) for general working capital of the Corporation; and (ii) as funds for future development of the existing business of the Corporation, including funding the development and operation costs of the West Ells project.
An announcement will be issued when the Corporation completes the closing of the remaining 273,777,324 Common Shares (HK $93,084,290 or CDN $15.97 million at current exchange rates) subscribed for by Bright Hope which will be closed in one or more tranches with the last tranche closing no later than October 31, 2016.
Partial Closing of Private Placement under Specific Mandate
Reference is made to the announcements of the Corporation dated June 1, 2015, July 28, 2015, August 21, 2015, October 1, 2015, November 2, 2015, December 6, 2015, March 2, 2016, May 3, 2016, June 3, 2016, June 23, 2016, July 21, 2016, August 1, 2016 and August 4, 2016 (all Hong Kong time) (collectively, the “Prime Union Announcement“) and the circular of the Corporation dated June 22, 2015 (the “Circular“) in relation to, among other matters, the proposed issue of new Common Shares under the Specific Mandate (as defined in the Prime Union Announcement) and the connected transactions involving subscriptions for new Common Shares by connected persons.
Sunshine is pleased to announce today that it has completed the closing of 13,333,333 Common Shares (the “Prime Union Partial Closing” and together with the Bright Hope Partial Closing, the “Closings“) under the Specific Mandate at a price of HK $0.75 per Common Share (approximately CDN $0.13 per Common Share at current exchange rates). Under the Prime Union Partial Closing, the Corporation received total gross proceeds of HK $10,000,000 (approximately CDN $1.72 million at current exchange rates) for the allotment and issue of 13,333,333 Common Shares (the “Prime Union Shares“) to Prime Union Enterprises Limited (“Prime Union“).
The Prime Union Shares represent: (i) approximately 0.285% of the total issued and outstanding Common Shares prior to the Closings; and (ii) approximately 0.276% of the total issued and outstanding Common Shares as enlarged by the Closings.
The Corporation intends to apply the net proceeds from the Prime Union Partial Closing: (i) for general working capital of the Corporation; and (ii) as funds for future development of the existing business of the Corporation, including funding the operation costs of the West Ells project.
A further announcement will be issued when the Corporation completes the closing of the remaining 98,453,334 Common Shares (HK $73,840,001 or approximately CDN $12.68 million at current exchange rates) subscribed for by Prime Union which will be closed in one or more tranches with the last tranche closing no later than December 1, 2016.
ABOUT SUNSHINE OILSANDS LTD.
The Corporation is a Calgary-based public corporation listed on the Hong Kong Stock Exchange since March 1, 2012. The Corporation is focused on the development of its significant holdings of oil sands leases in the Athabasca oil sands region of Alberta, Canada. The Corporation owns interests in approximately one million acres of oil sands and petroleum and natural gas leases in the Athabasca region. 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.