CALGARY, ALBERTA and HONG KONG, CHINA--(Marketwired - Aug. 14, 2017) - Sunshine Oilsands Ltd. (the "Corporation" or "Sunshine") (HKSE:2012) today announced its financial results for the second quarter ended June 30, 2017. The Corporation's condensed consolidated interim financial statements, notes to the condensed consolidated interim 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 used in this release are in Canadian dollars unless otherwise stated.


On March 1, 2017, the Corporation achieved a key milestone. The Project commenced commercial production. Hence, effective March 1, 2017, the Corporation started recording revenue, expenses and depletion of the West Ells Project.

Sunshine's Capital Raising Activities

On April 5, 2017 the Corporation entered into a subscription agreement for a total of 140,874,000 class "A" common shares at a price of HKD $0.241 per share (approximately CAD $0.041 per common share), for gross proceeds of HKD $33.95 million (approximately CAD $5.8 million). On April 13, 2017 the Corporation completed the closing of this subscription agreement.

On May 31, 2017 the Corporation entered into a subscription agreement for a total of 67,511,000 class "A" common shares at a price of HKD $0.237 per share (approximately CAD $0.041 per common share), for gross proceeds of HKD $15.88 million (approximately CAD $2.74 million). On June 7, 2017 the Corporation completed the closing of this subscription agreement. In addition, a placing commission of HKD $122,314 (approximately CAD $0.02 million), was incurred in relation to the Closing.

Summary of Financial Figures

2Q17 net loss narrowed to CAD$19.5 million.

For the second quarter of the 2017, the Corporation's net loss narrowed to CAD $19.5 million from CAD $21.2 million for 2017 Q1 and from CAD $20.7 million for 2016 Q2, representing a net loss per share of CAD $0.004, CAD $0.004, and CAD $0.005 for the 2017 Q2 period, 2017 Q1 period and 2016 Q2 period respectively.

The Corporation's external auditor has not performed a review of the condensed consolidated interim financial statements for the three and six months ended June 30, 2017. As at June 30, 2017 and December 31, 2016, the Corporation notes the following selected balance sheet figures.

(Canadian $000s) June 30,
December 31,
Cash $ 4,544 $ 13,635
Trade and other receivables 4,627 2,654
Prepaid expense and deposits 2,556 5,054
Exploration and evaluation assets 293,281 291,716
Property, plant and equipment 686,688 684,531
Total liabilities 397,876 390,135
Shareholders' equity 593,820 607,455

2017 Outlook

Due to the extensive damage associated with the disastrous wild fire in Fort McMurray in May 2016, start up at West Ells was interrupted and delayed. Significant progress has been achieved since then. On March 1, 2017, the West Ells Phase I project commenced commercial production. The West Ells Phase I project is expected to ramp up to its Phase I designed capacity of 5,000 bbls/day. The Corporation continues to focus on carefully improving production performance and developing SAGD chambers, which will increase production at West Ells.

Hong Luo, Chief Executive Officer

Qiping Men, President & Chief Operating Officer


The Corporation is a Calgary based public corporation, listed on the Hong Kong Stock Exchange since March 1, 2012. The Corporation was also listed on the Toronto Stock Exchange from November 16, 2012 to September 30, 2015, when it chose to voluntarily delist. The Corporation is focused on the development of its significant holdings of oil sands and heavy oil 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 Phase 1 is operational and has an initial production target 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; (b) the plans and expectations of the Corporation; and (c) the anticipated closings of the current private placements and the timing thereof. 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, 2016 and risk factors described in other documents we file 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 the Corporation's website at

By Order of the Board of Sunshine Oilsands Ltd.,

Sun Kwok Ping, Executive Chairman

Hong Kong, August 14, 2017

Calgary, August 14, 2017

As at the date of this announcement, the Board consists of Mr. Kwok Ping Sun, Mr. Hong Luo, Mr. Qiping Men and Ms. Gloria Pui Yun Ho as executive directors; Mr. Michael John Hibberd, Ms. Linna Liu and Ms. Xijuan Jiang as non-executive directors; and Mr. Raymond Shengti Fong, Mr. Jeff Jingfeng Liu, Ms. Joanne Yan and Mr. Yi He as independent non-executive directors.

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

This announcement appears for information purpose only and does not constitute an invitation or offer to acquire, purchase or subscribe for securities of Sunshine Oilsands Ltd.

(a corporation incorporated under the Business Corporations Act of the Province of Alberta, Canada with limited liability)

Contact Information:

Sunshine Oilsands Ltd.
Mr. Hong Luo
Chief Executive Officer
(1) (403) 930-5677

Sunshine Oilsands Ltd.
Qiping Men
President & Chief Operating Officer
(1) (403) 984-5142