Sunshine Oilsands Ltd. (the Company) announced today that the Company signed a Memorandum of Understanding (MOU) on 11 January 2013 (Calgary time) with China Oilfield Services Ltd. (COSL) to amicably negotiate and communicate with each other in respect of cooperation in developing multiple thermal fluid oilsands exploration technology in Canada and, if accpetable, sign a cooperation agreement under which COSL will conduct thermal fluid tests within the oilsands areas of the Company in order to confirm the feasibility of multiple thermal fluid techniques and other relevant technologies with respect of oilsands exploration. The technology which was developed and patented by COSL has the potential to reduce the facility foot print and operation cost for generating steam and other thermal fluids to inject into reservoirs.
Mr. Songning Shen, Co-Chairman, said this technology has been proven successful in an CNOOC limited offshore project, and Sunshine Oilsands research of the "multi-component thermal fluid thermal recovery technology" gives a possible indication that it could work economically in bitumen reservoirs.
The MOU is not legally binding except for those provisions in respect of exclusivity, confidentiality and dispute resolution. The MOU is in effect for one year and can be automatically extended for another year unless terminated. The MOU may or may not lead to the entering into of a cooperation agreement and the technology may or may not result in any benefit to the Companys operations.
ABOUT SUNSHINE OILSANDS LTD.
Sunshine Oilsands Ltd. is one of the largest non-partnered holders of oil sands leases by area in the Athabasca oil sands region, which is located in the province of Alberta, Canada. Since the Companys incorporation on 22 February 2007, Sunshine has secured over 464,897 hectares (1,189,762 acres) of oil sands leases (equal to approximately 7% of all granted leases in this area).
The Companys principal operations are the exploration, development and production of its diverse portfolio of oil sands leases. Its principal operating regions in the Athabasca area are at West Ells, Thickwood, Legend Lake, Harper, Muskwa, Goffer, Pelican and Portage. Sunshines oil sands leases are grouped into three main asset categories: clastics, carbonates and conventional heavy oil.
For further enquiries, please contact:
Sunshine Oilsands Ltd.
|Mr. John Zahary
President & CEO
|Mr. David Sealock
Executive VP, Corporate Operations
Tel: (1) 403 984 1446
FORWARD-LOOKING INFORMATION AND DISCLAIMER
This News Release may contain forward-looking information that 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 any words 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 Sunshines 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 Albertas 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 the Company 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 information release are not exhaustive and readers are not to place undue reliance on forward-looking statements as our 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 News Release, except as required under applicable securities legislation. The forward-looking statements speak only as of the date of this News Release 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 our material risk factors, see Risk Factors in our most recent Annual Information Form dated April 30, 2012 (AIF), Risk Management in our current MD&A 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 www.hkexnews.hk, on the SEDAR website at www.sedar.com or our website at www.sunshineoilsands.com.
This document does not constitute and is not an offer to sell or a solicitation of an offer to buy Common Shares of the Company in the United States (including its territories and possessions, any State of the United States and the District of Columbia) or elsewhere.