Athabasca Oil Sands Completes $1.35B IPO

On April 8, 2010, Athabasca Oil Sands Corp. (“AOSC”) completed its initial public offering of 75,000,000 common shares at a price of $18 per share for gross proceeds of $1.35 billion.

AOSC also granted the underwriters an over-allotment option, exercisable for a period of 30 days from the date of closing of the offering, to purchase up to an additional 11,250,000 common shares at the offering price of $18 per common share to cover over-allotments, if any. If the over-allotment option is exercised in full, gross proceeds of the offering will be $1.5525 billion.

The underwriting syndicate for the offering was co-led by Morgan Stanley Canada Limited and GMP Securities L.P. and included FirstEnergy Capital Corp., Raymond James Ltd., TD Securities Inc., Peters & Co. Limited, Genuity Capital Markets, Barclays Capital Canada Inc., Acumen Capital Finance Partners Limited, Haywood Securities Inc. and Dundee Securities Corporation (collectively, the “Underwriters”).

AOSC is an Alberta corporation focused on the sustainable development of oil sands resources in the Athabasca region of northeastern Alberta. Ultimate gross production levels (clastics/sands only) are potentially greater than 500,000 barrels per day. The initial public offering was the largest in North America in recent history.

AOSC was represented by Burnet, Duckworth & Palmer LLP with a team that included William Maslechko, Jeff Oke and Lindsay Cox (securities); Michael Flatters (tax) and Alicia Quesnel and Aaron Rogers (oil and gas). AOSC was also represented by Guy Lander at Carter Ledyard & Milburn LLP as United States counsel.

The Underwriters were represented by Blake, Cassels & Graydon LLP with a team that included Scott Cochlan, Dan McLeod, Dana Hnatiuk, Michael Bantey and Chris Hewat (securities); Jana Prete and Julia Hughes (corporate); Krista Schofer (employment); Duff Harper (environmental) and Wanda Rumball (tax) and by Shearman & Sterling LLP with a team that included Adam Givertz, Kevin Roggow and Sonja Sun.