CUSIP# 678046 10 3
NYSE Amex: BQI
CALGARY,
May 11, 2012 /PRNewswire/ - Oilsands
Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest" or "the Company") has
requested and obtained an extension of the order from the
Alberta Court of Queen's Bench
(the "Court") providing creditor protection under the Companies'
Creditors Arrangement Act (Canada)
("CCAA"), which was to expire May 18,
2012. Creditor protection under the CCAA will now expire on
June 29, 2012, unless further
extended as required and approved by the Court.
As previously announced, Oilsands Quest is conducting a process
to solicit offers to acquire, restructure or recapitalize the
Company (the "Solicitation Process"), with the assistance TD
Securities Inc. While various proposals were received from
potential investors, none of these proposals are currently in a
form that the Company believes would result in a sale or investment
that would be in the best interests of Oilsands Quest or its
stakeholders. Negotiations are continuing to determine whether
certain of the proposals could be amended to form the basis of an
acceptable transaction to be brought before stakeholders and the
Court for approval.
There can be no assurance that the Solicitation Process will
result in a financing or a sale of the Company or in any other
transaction.
Trading in the common shares of Oilsands Quest remains suspended
while the NYSE Amex determines whether to resume trading or to
delist the Company for failure to meet listing requirements.
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.
Forward-looking statements:
This news release includes certain statements that may be deemed
to be "forward-looking statements". All statements, other than
statements of historical facts, included in this news release that
address activities, events or developments that management expects,
believes or anticipates will or may occur in the future are
forward-looking statements.
Forward-looking statements are statements other than relating to
historical fact and are frequently characterized by words such as
"plan", "expect", "project", "intend", "believe", "anticipate",
"estimate", "potential", "prospective" and other similar words or
statements that certain events or conditions "may" "will" or
"could" occur. Forward-looking statements are based on the opinions
and estimates of management at the date the statements are made,
and are subject to a variety of risks and uncertainties and other
factors that could cause actual events or results to differ
materially from those anticipated in the forward-looking
statements, which include but are not limited to the ability to
raise additional capital, risks associated with the Company's
ability to implement its business plan, its ability to successfully
complete the previously announced Solicitation Process while under
creditor protection, its ability to submit a timely plan to its
stakeholders and the Court under the CCAA and to resolve its
operational, legal and financial difficulties, the possible
delisting of its securities from NYSE Amex, risks inherent in the
oil sands industry, regulatory and economic risks, land tenure
risks and those factors listed under the caption "Risk Factors" in
the Company's Form 10-Q filed with the Securities and Exchange
Commission on March 8, 2012. The
Company undertakes no obligation to update forward-looking
information if circumstances or management's estimates or opinions
should change, except as required by law. The reader is cautioned
not to place undue reliance on forward-looking statements.
SOURCE Oilsands Quest Inc.