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In 2002 The Blackeyed Susans returned to Sing-Sing Studios in Richmond to finally record the lost album of Shangri-La. Augmenting their sound with op-shop instruments and old vinyl. The album was finally released 21 July 2003 on Teardrop through Shock Records.
Shangri-La was nominated for 'Best Adult Contemporary Album' at the 2003 ARIA Awards, missing out to John Farnham's The Last Time. Since its release the band have played sporadically in Melbourne.
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