WINNIPEG, MANITOBA--(Marketwire - March 14, 2013) - James E. Cohen, President and Chief Executive Officer of Gendis Inc. ("Gendis") (TSX:GDS) is pleased to announce that Osum Oil Sands Corp. ("Osum"), a private Alberta-based in-situ oil sands developer in which Gendis holds a substantial investment, has just released the results of its December 31, 2012 reserve and resource assessment, which is highlighted by an 821 million barrel increase in best estimate contingent resource.
Assessment Highlights include the following:
- 4.4 billion barrels of best estimate contingent resources (P50), an increase of 821 million barrels over the prior year
- 410 million barrels of probable reserves including 51 million barrels assigned to the Saleski Joint Venture project area
- In excess of 500,000 barrels per day of total long-term sustained production potential
The assignment of reserves prepared by GLJ Petroleum Consultants is the first reserve booking in the Grosmont carbonates in Alberta and applies to both the Grosmont C and D reservoirs in the initial development area for the 10,700 barrels per day commercial demonstration project. The Grosmont C and D reservoirs extend into Osum's 100% operated project area at Saleski East while the Grosmont D comprises a significant portion of the contingent resource in the 100% operated Saleski West project area. Saleski East and West bracket the joint venture lands.
"We congratulate Osum on this outstanding reserves report and wish them much success in their continued efforts to commercialize the Grosmont carbonates," Mr. Cohen stated. "This is very positive news not only for Osum but also for Gendis and its shareholders."
In other news, Mr. Cohen also noted that Input Capital Corp. ("Input"), a Regina, Saskatchewan-based company that provides upfront financing to Saskatchewan canola farmers in which Gendis invested last November, has reported that they have signed a new canola streaming agreement and deployed another $1.2 million in a 6-year streaming deal. This brings Input's total deployment to date to $6.1 million, or 27% of its initial planned deployment.
Also, in February, Input established working relationships with their strategic agrology partners: Farmers Edge of Winnipeg, and Agri-Trend Agrology of Red Deer, Alberta. Both provide agrology services across the Prairies and in other countries as well.
"We are delighted that Input is making significant progress on its planned deployment and that it is moving ahead on other initiatives," Mr. Cohen added. "We see Input as an important addition to our portfolio, especially as we begin to enhance our presence in the agri-foods sector."
A third Company in which Gendis is invested, MBAC Fertilizer Corp ("MBAC") of Toronto, recently raised $34.5 million in equity financing and is anticipating a spring 2013 start up to its new mill facility in Brazil.
"The ability to raise this amount of capital in tough market conditions is a very impressive accomplishment," Mr. Cohen stated. "We are excited about the prospects that lie ahead for MBAC."
MBAC is focused on becoming a significant integrated producer of phosphate and potash fertilizers and related products in the Brazilian and Latin American markets. It represents one of the first investments by Gendis into the agri-business sector.