Sunshine Oilsands Ltd. is committed to providing our investors and the public with timely and accurate information regarding our business and operating activies.
May 12, 2020


Sunshine Oilsands Ltd.

Announcement of Results for the First Quarter ended March 31, 2020

1Q20 net attributable loss (excluding non-recurring foreign exchange gain/ losses) decreased by 50.7% to CAD$15.1 m

versus CAD$30.6 m in 1Q19

CALGARY/HONG KONG – Sunshine Oilsands Ltd. (the “Corporation” or “Sunshine”) (HKEX:  2012) today announced its financial results for the first quarter ended March 31, 2020. 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.
Message to Shareholders
For three months ended March 31, 2020, the Company’s average bitumen production was 995 bbls/day. Diluent was blended at an 19.8% volumetric rate with the bitumen as part of the production process to create the marketable “Dilbit” blend product, and the average dilbit sales volume was 1,085 bbls/day in the first quarter of 2020.
Sunshine’s Capital Raising AND OTHER EQUITY Activities during 1Q20
On January 3, 2020, the Board proposed to implement the Share Consolidation on the basis that every fifty (50) Existing Shares will be consolidated into one (1) Consolidated Share. The total number of Consolidated Shares in the issued share capital of the Company immediately following the Share Consolidation was rounded down to a whole number by cancelling any fractional Shares of the Company arising from the Share Consolidation. The Share Consolidation was conditional upon, among other things, the approval of the Shareholders at the SGM. The Board proposed to change the board lot size for trading on the Stock Exchange from 500 Existing Shares to 1,000 Consolidated Shares conditional upon the Share Consolidation becoming effective.
On February 24, 2020, a Special General Meeting was held and approved the Share Consolidation and the Change in Board Lot Size which became effective on February 26, 2020.
On February 27, 2020, the Company entered into a settlement agreement for a total of 1,443,000 consolidated Class “A” common shares at a price of HKD $1.31 per share (post-consolidation) for gross proceeds of HKD $1,896,134.68. On March 5, 2020, the Company completed the closing of this settlement agreement. This settlement agreement was entered into for settlement of trade payables with an independent third party.
On March 31, 2020, the Board has decided to temporarily suspend production for 90 days due to volatility in the international crude oil market, severe decline in crude oil prices, and having considered the fact that the Company’s West Ells production equipment and road need repair, coupled with the outbreak of COVID-19 in Canada.
The Company expects that the temporary suspension will not have a material adverse impact on its operations. Management of the Company will continue to closely monitor developments in the international crude oil market and intends to take appropriate actions accordingly in response to the actual situation, and act in the best interests of the Company and its shareholders as a whole.


Summary of Financial Figures     


For 1Q20, net attributable loss (excluding non-recurring foreign exchange gain/losses) decreased by 50.7% to CAD$15.1 million, versus CAD $30.6 million in 1Q19.

As at March 31, 2020 and December 31, 2019, the Corporation notes the following selected balance sheet figures. 


(Canadian $000s)

March 31, 

December 31,










Trade and other receivables






Prepaid expense and deposits






Exploration and evaluation assets






Property, plant and equipment






Total liabilities






Shareholders’ equity







2020 Outlook

Sunshine will continue to focus on cost controls and carefully monitor developments in crude oil markets. The Company is also continuing with its joint venture for re-activation of the Muskwa and Godin Area activities as international oil price recover.

 Kwok Ping Sun


       Gloria Ho

Executive Chairman


       Chief Financial Officer


About Sunshine Oilsands Ltd.


The Corporation is a Calgary based public corporation, listed on the Hong Kong Stock Exchange since May 1, 2012. 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.


For further enquiries, please contact:


Kwok Ping Sun

Executive Chairman

Tel: + 852-3188-9298


Gloria Ho
Chief Financial Officer
Tel: + 852-3188-9298

Email: [email protected]






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, 2019 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