Gendis Inc.

Gendis Inc.

April 29, 2009 13:00 ET

Update on Gendis' Investment in OSUM

WINNIPEG, MANITOBA--(Marketwire - April 29, 2009) - Gendis Inc. (TSX:GDS) is pleased to provide an update on its significant investment in privately held Osum Oil Sands Corp. (OSUM).

Since 2006, when Gendis initially invested in OSUM, great progress has been made in land acquisitions, share offerings and a tremendous increase in recoverable resources.

Gendis currently owns 2.1 million shares of OSUM at an average cost of $2.10 per share. In 2008 OSUM successfully raised $275 million at an average price of $10.50 per share. This has resulted in the company being well capitalized to fund its aggressive growth plans in the coming years.

As a leading company in the Alberta oil sands, OSUM owns 84,152 acres of land, has cash and cash equivalents of approximately $210 million as at April 1, 2009 and recoverable resources have increased 42% to an estimated 2.16 billion barrels, or an incremental 600 million barrels in the past year. OSUM also has a much more environmentally sensitive process to extract the oil sands with no resultant requirements for tailing ponds or open pit mining.

OSUM has attracted world-class investors such as Warburg Pincus and the Blackstone Group, both of whom have board representation at OSUM.

Gendis continues to be very optimistic on the future possibilities of OSUM and will continue to provide updates on this important investment in the months to come.

Contact Information

  • Gendis Inc.
    Mr. James E. Cohen
    Executive Vice-President
    (204) 474-5200