Canadian Oil Sands Trust

Canadian Oil Sands Trust

April 16, 2010 17:45 ET

Canadian Oil Sands Trust Amends Terms Related to Its Conversion to a Corporation

CALGARY, ALBERTA--(Marketwire - April 16, 2010) - Canadian Oil Sands Trust (the "Trust" or "Canadian Oil Sands") (TSX:COS.UN) today revised certain terms related to its Plan of Arrangement for conversion to a corporation, as described in Canadian Oil Sands' Management Proxy Circular dated March 15, 2010. Having considered requests from RiskMetrics Group, ISS Governance Services for Canadian Oil Sands to make clarifications and non-consequential changes to its post conversion structure, Canadian Oil Sands has agreed to:

  • Limit the number of preferred shares that New COSL, as defined in the Management Proxy Circular, could issue to a maximum of 10 million and that management has confirmed that such preferred shares are not intended to be used to block any takeover. Prior to this amendment, the number of preferred shares New COSL could issue was unlimited; and
  • Specify that the quorum requirements for meeting of shareholders for New COSL will be at least two holders present in person and/or by proxy who together hold at least 25 per cent of the issued and outstanding number of Common Shares of New COSL. Prior to this clarification, the Management Proxy Circular had been silent on this issue.

With these amendments, RiskMetrics has confirmed that they will issue an updated alert whereby they will recommend voting FOR all resolutions at the Trust's unitholder meeting being held on April 29, 2010, including voting FOR the conversion from a trust to a corporation (item 1) and FOR the amendment to Section 5.1 of the Trust Indenture (Item 8).

Canadian Oil Sands Trust provides a pure investment opportunity in the Syncrude Project through its 36.74 per cent working interest. Located near Fort McMurray, Alberta, Syncrude operates large oil-sands mines and an upgrading facility that produces a high-quality, sweet crude oil. The Trust is an open-ended investment trust managed by Canadian Oil Sands Limited and has approximately 484.4 million units outstanding, trading on the Toronto Stock Exchange under the symbol COS.UN.

Canadian Oil Sands Limited

Marcel Coutu, President & Chief Executive Officer

Units Listed – Symbol: COS.UN

Toronto Stock Exchange

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