Thank you bluemolly. Good luck to you too! That's great news about your visa extension. I applied for restoration of status 3 months ago, and I've heard nothing since. It seems very likely that I will have PR before my restoration is processed. Irony abounds!
crassy, perhaps someone else has received a similar letter, and may be able to elucidate further. I haven't come across such a case in the forums, but you never know. Someone else may have received a similar letter. There are a lot of inconsistencies in CIC documentation and communication, so I am not surprised that you are experiencing this frustration.
The email I received from the Sydney office stated to not contact them unless there was a change to the information provided in the application, and we were notifying them of this change.
You could certainly just email them and see what response you get (if they respond at all). In that case I would certainly mention that the letter instructed that they could be contacted 16 weeks after their last communication, and that this threshold has now passed. However, taking the Sydney spreadsheet as a guide, it's very likely that your application has not even been opened as yet for processing. In that case, even if they respond, you will not find out anything particularly helpful.
In terms of timelines: CIC treats sponsorship and PR application as two separate processes with distinct timelines. The 9 months timeline stated on the website for the Sydney office does not include the time spent waiting for sponsorship approval: "The tables below indicate application processing times at Canadian visa offices once Step 1 has been completed." You stated " I know my application is in Sydney, it has been there for nearly six months." but Sydney has had your application for 4 months at most (taking into account the Stage 1 AOR you provided, and considering that that Stage 1 is not processed in Sydney). Therefore you are only 4 months into the 9 months stated by CIC as normal processing time for Sydney, and that would be the only timeline I would be mentioning in any communication with Sydney CIC.
My personal plan is to not contact them until my application starts varying significantly from the timelines reported by other applicants on this forum. I assume they do not take kindly to multiple status requests from each applicant.