HONG KONG, CHINA and CALGARY, ALBERTA–(Marketwired – June 21, 2016) – Sunshine Oilsands Ltd. (a corporation incorporated under the Business Corporations Act of the Province of Alberta, Canada with limited liability) (HKSE:2012)
By Order of the Board of Sunshine Oilsands Ltd.
Sun Kwok Ping, Executive Chairman
Hong Kong, June 22, 2016
Calgary, June 21, 2016
As at the date of this announcement, the Board consists of Mr. Kwok Ping Sun, Mr. Hong Luo and Dr. Qi Jiang as executive directors; Mr. Michael John Hibberd, Mr. Hok Ming Tseung, Mr. Jin Hu and Mr. Jianzhong Chen as non-executive directors; and Mr. Raymond Shengti Fong, Mr. Robert John Herdman, Mr. Gerald Franklin Stevenson and Mr. Zhefei Song as independent non-executive directors.
* For identification purposes only
The Board of Directors of Sunshine Oilsands Ltd. (the “Corporation” or “Sunshine“) (HKSE:2012) wishes 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 (Hong Kong Time) / March 15, 2016 (Calgary Time) and April 28, 2016 (Hong Kong Time) / April 27, 2016 (Calgary Time) (collectively, the “Announcement“) in relation to the proposed issue of a total of 558,823,500 new Class “A” Common Voting Shares (“Common Shares“) to Bright Hope Global Investments Limited under the General Mandate (as defined in the Announcement).
Sunshine is pleased to announce today that it has completed the closing of 58,871,000 Common Shares (the “Partial Closing“) under the General Mandate (as defined in the Announcement) at a price of HK $0.34 per Common Share (approximately CDN $0.056 per Common Share at current exchange rates). Upon the Partial Closing, the Corporation has received total gross proceeds of HK $20,016,140 (approximately CDN $3,306,704 at current exchange rates) for the allotment and issue of 58,871,000 Common Shares (the “Issued Shares“). Placement expenses are estimated to be approximately HK $500,000 (approximately CDN $82,601 at current exchange rates). In addition, an introduction fee of HK$400,322.80 (approximately CDN $66,134.08 at current exchange rates) being 2% of the gross proceeds of the Partial Closing has been incurred in relation to the Partial Closing.
The Issued Shares represent (i) approximately 1.36% of the total issued and outstanding Common Shares prior to the Partial Closing and (ii) approximately 1.34% of the total issued and outstanding Common Shares as enlarged by the Partial Closing.
The Corporation intends to apply the net proceeds from the Issued Shares (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 411,718,500 Common Shares (HK$139,984,290 or CDN $23,125,667 at current exchange rates) subscribed for by Bright Hope Global Investments Limited which will be closed in one or more tranches with the last tranche closing no later than June 30, 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. 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.
