This paper proposes a compensation PWM technique for the extension of output voltage ranges in three-phase VSI applications using three shunt resistors. The proposed technique aims to solve the dead zone, which occurs in high modulation indexes. In the dead zone, two phase currents cannot be sampled correctly, so that the three-phase VSI cannot be operated up to the maximum output voltage. The dead zone is analyzed in detail, and the compensation PWM algorithm is developed. The proposed algorithm is verified by numerical analysis and experimental results.