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 November 26, 2015 - 5:12 PM EST
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Bayshore Petroleum Corp. Provides Update on Initiatives to Jointly Develop Athabasca Oilsands Property and Produce Commercial Diesel Using New Technologies

Announces Private Placement Financing

CALGARY, ALBERTA--(Marketwired - Nov. 26, 2015) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Bayshore Petroleum Corp. ("Bayshore" or the "Company") (TSX VENTURE:BSH) and E-T Energy Ltd. ("ET" - together, the "Parties") previously announced that they had entered into a memorandum of understanding and were conducting due diligence with the objective of producing diesel at ET's Poplar Creek, (Fort McMurray, Alberta) bitumen property. The original memorandum was terminated because the structure and content did not reflect the ongoing discussion between the Parties. The Parties are continuing their discussions and efforts to reach a definitive agreement.

ET wholly owns 3,200 hectares of bitumen rights at Poplar Creek. It currently holds Alberta Energy Regulator approval to produce 1,000 b/d from this land using its electro-thermal dynamic stripping process ("ET-DSP") technology. ET's third party engineering report estimates that, as of October 1st, 2011, ET's Poplar Creek property contained approximately 607 million barrels of bitumen in-place.

ET and Bayshore have conducted due diligence on each other's technology during September and October 2015, and each party is satisfied with the results. In summary, the Parties are satisfied that the ET-DSP technology used at Poplar Creek will heat and extract bitumen using far less energy, and emitting far fewer greenhouse gas emissions, than SAGD (SOR equivalent typically less than 1.0); and that the CCC catalytic partial upgrade technology deployed downhole will in fact further lower the heat/energy required to produce bitumen to surface. Once at surface, the partially upgraded bitumen can be transformed to ULS diesel using CCC, which does not require high heat, hydrogen, water, pressures above ambient, or any exotic additives. Rack diesel fuel pricing is currently approximately three times the pricing of bitumen produced in the Athabasca Oilsands, and it is estimated that using these technologies can significantly reduce the costs of ULS diesel production, compared with traditionally deployed technologies. Therefore, Bayshore would like to further fund its operations and activities with ET.

Accordingly, Bayshore is pleased to announce that, subject to TSX Venture Exchange (the "Exchange") approval, it is conducting a non-brokered Private Placement of securities consisting of 5 million common shares at $0.30 per share (the "Offering Price"). The placement is expected to close on or before December 18, 2015. Net proceeds will be approximately $1.5 million, less any commissions or finders fees paid. According to Exchange policy, there will be a hold period of four months during which the shares cannot be traded. Bayshore will use the net proceeds to fund working capital, continue its analysis and documentation on CCC catalyst used downhole to partially upgrade bitumen, and further pursue its collaboration with ET.

About Bayshore Petroleum Corp.

Bayshore is a Calgary, Alberta based corporation focused on the exploitation of technology that increases the productivity and profitability of heavy oil and bitumen. Cold catalytic Cracking (CCC) enables the upgrading of heavy crude oil and bitumen directly into diesel. This technology, and other technologies such as desulphurization using ultrasonic oxidation, increase the sales price quality adjustment, reduce the need for diluent and other costs in the transportation of heavy oil or dilbit, and expedite the end to end process of delivering fuels to the downstream user.

On behalf of the Board of Directors

BAYSHORE PETROLEUM CORP.

Peter Ho

President and CEO

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities of the Company in the United States. The Company's securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Cautionary Statements

Statements in this press release may contain forward-looking information including expectations of future production, operating costs, commodity prices, administrative costs, commodity price risk management activity, acquisitions and dispositions, capital spending, access to credit facilities, income taxes, regulatory changes, and other components of cash flow and earnings. This press release may also contain forward-looking or subjective information regarding technology, processes, and the oil and gas industry. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the company. These risks include, but are not limited to, the risks associated with the mining and oil and gas industry, commodity prices and exchange rate changes. Industry related risks could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, technology and technology implementation, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.

Bayshore Head Office:
PHONE +1403 265 8820
FAX +1403 290 6565
ccc@bayshorepetroleum.com
14 - 3515 27th Street N.E.
Calgary, Alberta, T1Y 5E4, Canada


Source: Marketwired (November 26, 2015 - 5:12 PM EST)

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