Sunshine Oilsands Ltd.

Sunshine Oilsands Ltd.

December 01, 2009 09:15 ET

Sunshine Oilsands Ltd. Carbonate Pilot Application # 1587764 Approved by ERCB

CALGARY, ALBERTA--(Marketwire - Dec. 1, 2009) - Sunshine Oilsands Ltd., ("Sunshine" or the "Company"), is pleased to announce that the Sunshine Harper Carbonate Pilot Application # 1587764 has been approved by the ERCB. The ERCB approval number is 11379.

Mr. Brown, the company's Co-CEO & COO, stated, "this application approval is a significant element in the progression of our business plan. This in-situ pilot will move the evaluation of our carbonate resources ahead substantially. We anticipate the pilot's outcome will have a positive impact on the majority of our million acres, and with the results we will review our resource report and consider options for contingent barrel recognition." The Company has a diverse portfolio of assets, including conventional heavy oil, a large bitumen resource in the region that can be harvested with conventional SAGD and world class carbonate resources."

Sunshine is focused on the development of its contingent resources in the Legend, West Ells and Thickwood regions, which Sunshine believes can achieve a combined production potential of 180,000 bbls/day for a life cycle spanning at least 30 years.

About Sunshine Oilsands

Sunshine Oilsands Ltd. is a Calgary based company engaged in the development of its significant holdings (1 million acres) of in-situ oil sands deposits in the Athabasca region.

The Company's initial development plans include a conventional heavy oil project and an 180,000 bbl/d production profile from part of its cretaceous land inventory. Sunshine's initial adjudicated resource report which was based on 58 core holes encompassing 396 sections, attributed 9.1 Billion barrels of original bitumen in place, 2.5 Billion barrels high case gross lease recoverable resources and 1.3 Billion best case gross lease recoverable resources.

For more information, please visit the Company's website at www.sunshineoilsands.com.

Advisory Respecting Forward-Looking Statements:

This news release contains certain forward-looking information and statements. The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends", "confident", "might" and similar expressions are intended to identify forward-looking information or statements. In particular, but without limiting the foregoing, this news release may contain forward-looking information and statements pertaining to the following: the in-situ pilot, the reserve report, recognition of the Company's contingent resources, the Company's development plans, the Company's production potential and life span thereof; the timing and amount of estimated production; costs of production; capital expenditures; construction time lines; currency exchange rate fluctuations; environmental risks; unanticipated reclamation expenses; risk of obtaining regulatory approvals; engineering and design risk; fluctuation in commodity prices, operational challenges and other expectations, beliefs, plans, goals, objectives, assumptions, information and statements about possible future events, conditions, results of operations or performance. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this news release.

The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of the risk factors set forth below:

- General economic, market and business conditions in jurisdictions relevant to the Company's business;

- Access to capital;

- Volatility on market prices for oil;

- Liabilities inherent in oil sands operations;

- Uncertainties associated with estimating oil sands resources and reserves;

- Competition for, among other things, capital, acquisitions of resources and reserves, leases and skilled personnel;

- Incorrect assessments of the value of acquisitions and the likelihood of success of exploration and development programs;

- Geological, technical, drilling and processing problems;

- Change in tax laws and incentive programs relating to oil and natural gas industry;

- Changes in Government regulations;

- Failure to obtain regulatory, industry partner and third party consents and approvals where required;

- Fluctuations in foreign exchange or interest rates and stock market volatility;

- Failure to realize the anticipated benefits of acquisitions; and

- The other factors discussed under "Risk Factors" contained in the Company's Non-Offering Preliminary Prospectus dated April 8, 2008 filed on www.sedar.com.

The Company cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. The forward-looking information and statements contained in this news release speak only as of the date of this news release, and the Company assumes no obligation to publicly update or revise them to reflect new events or circumstances except as may be required by applicable laws.

Contact Information

  • Sunshine Oilsands Ltd.
    John Kowal
    Co-CEO
    (403) 984-1450
    or
    Sunshine Oilsands Ltd.
    Doug Brown
    Co-CEO & COO
    (403) 984-1450
    www.sunshineoilsands.com