Oilsands Quest Responds to Class Action Complaint

Mar 01, 2011, 08:00 ET from Oilsands Quest Inc.

CALGARY, March 1 /PRNewswire/ - Oilsands Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest" or "the Company") has been notified of a purported class action lawsuit. The complaint, filed in the U.S. District Court for the Southern District of New York, alleges that, due to an overstatement of the accounting value of the Company's assets during a three-year period between 2006 and 2009, the trading price of the Company's securities was artificially inflated during that period, to the detriment of shareholders.

Oilsands Quest management believes that the complaint is without merit. The Company intends to defend this lawsuit vigorously.

About Oilsands Quest

Oilsands Quest Inc. (www.oilsandsquest.com) is exploring and developing oil sands permits and licences, located in Saskatchewan and Alberta, and developing Saskatchewan's first commercial oil sands discovery.  It is leading the establishment of the province of Saskatchewan's emerging oil sands industry.

SOURCE Oilsands Quest Inc.