SK TARSANDS at La Loche - on & on & . . .

SK TARSANDS at La Loche - on & on & . . .

Postby Oscar » Mon May 07, 2007 5:09 pm

Lawsuit involving Oilsands Quest, Pamela Wallin settled for $10.2M

[ http://www.thestar.com/news/canada/2013 ... _102m.html ]

As a director of Calgary-based Oilsands Quest, Senator Pamela Wallin was named in a securities fraud class-action lawsuit.

By: Bill Graveland The Canadian Press, Published on Mon Aug 26 2013

CALGARY—A U.S. court has approved a multimillion-dollar settlement in a securities fraud class-action lawsuit against a bankrupt energy exploration company for which embattled Sen. Pamela Wallin was a director.

MORE:

[ http://www.thestar.com/news/canada/2013 ... _102m.html ]

= = = = = =

Oilsands Quest Inc. Hit By Investor Lawsuit Over Alleged Securities Laws Violations

[ http://shareholdersfoundation.com/case/ ... violations ]

Company Name(s): Oilsands Quest
Case Name: Oilsands Quest Shareholder Class Action 02/25/2011
Case Status: Lawsuit Filed
Case Status: Settlement Proposed

Affected Securities
AMEX: BQI

Lawsuit Overview

Type of Lawsuit: Shareholder Class Action
Date Filed: 02/25/2011
Class Period Begin: 03/20/2006
Class Period End: 01/13/2011
Court of Filing: U. S. District Court for the Southern District of New York
Deadline To File for Lead: 04/22/2011
Date Settled: 06/14/2013
Settlement Amount: $10,235,000
Deadline to Participate in Settlement: 06/24/2013

Settlement Notice:

[ oilsands_quest_inc_settlement_notice_2013.pdf ]

Settlement Proof:
[ oilsands_quest_inc_settlement_proof_2013.pdf ]


Summary:

March 21, 2013 - Settlement proposed.

February 25, 2011 - An investor in Oilsands Quest (AMEX: BQI) filed a lawsuit in the U.S. District Court for the Southern District of New York again Oilsands Quest Inc. over alleged violations of Federal Securities Laws.

According to the class action complaint the plaintiff alleges on behalf of those who purchased the common stock and other publicly-traded securities of Oilsands Quest between August 14, 2006 and July 14, 2009, that Oilsands Quest Inc. and certain of the Company's officers and directors violated the Securities Exchange Act of 1934 by overstated the value of the Company's assets by more than $136 million in violation of Generally Accepted Accounting Practices ("GAAP").

The lawsuit seeks class action status on behalf of those purchasing the common stock and other publicly-traded securities of Oilsands Quest between August 14, 2006 and July 14, 2009, inclusive , including Oilsands Quest's "Exchangeable Shares" offered as consideration for the minority interest in OQI Sask on August 14, 2006; Oilsands Quest's "units" first publicly offered on December 5, 2007 at $5.00 per unit; Oilsands Quest common stock shares publicly offered on December 5, 2007 on a flow-through basis at $6.11 ($6.17 CDN) per share; and Oilsands Quest's "units" first publicly offered on May 1, 2009 at $0.85 per unit.

As alleged in the complaint, on August 14, 2006, Oilsands Quest acquired the minority interest in its operating subsidiary, OQI Sask, that Oilsands Quest did not already own. The plaintiff alleges that between August 14, 2006 and July 14, 2009 Oilsands Quest's financial reports and statements issued thereafter were false and misleading.

MORE:

[ http://shareholdersfoundation.com/case/ ... violations ]

= = = = = = = =

IN THE BEGINNING . . . . .



SK TARSANDS - TOO TEMPTING - OILSANDS QUEST

Published in Wadena News on May 16, 2007

Dear Editor,

Starting in August 2007, (according to a recent Government Press Release New Regulations for Oil Sands and Oil Shale Resources), the Crown oil sands, oil shale rights, and work commitment bid process will be available for purchase, along with more land sales.

According to Minister Cline, after consultation with the industry and other jurisdictions, the new regulations are “…what we consider a careful yet moderate approach to development of this resource.”

Is that how the current environmental nightmare taking place in Fort McMurray started out, ….as a moderate development? Today, thanks to NAFTA and human greed, not only is this so-called ‘development’ out of control, it is Canada’s biggest polluter, and will, under continued pressure from our oil-thirsty neighbour to the south, only get worse. And, while a few people make the money, other people and nature for miles around will continue to be harmed from dirty air, dirty water, with sick and dying lakes and forests, and sick and dying people …

What areas in our own beautiful province will this latest feeding frenzy affect?

We can say goodbye to the clean air, clean water, and clean environment of the as-yet pristine area in the Clearwater River Provincial Park (that’s right - IN the park!) north of La Loche. . .and of the as-yet pristine Hudson Bay area of northeastern Saskatchewan!

The temptation was too great…it was just a matter of time!


Elaine Hughes
Archerwill, SK
Last edited by Oscar on Sun Sep 22, 2013 9:25 am, edited 2 times in total.
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Postby Oscar » Tue Nov 20, 2007 3:34 pm

NEW REGULATIONS FOR OIL SANDS AND OIL SHALE RESOURCES

http://www.gov.sk.ca/news?newsId=1f85d9 ... a006ff2831

News Release - May 7, 2007

New regulations come into effect today that will encourage more exploration of Saskatchewan’s oil sands and oil shale resources.

The new regulations have been developed after consultation with the industry and other jurisdictions, and are an update of regulations approved over 40 years ago. Under The Petroleum and Natural Gas Amendment Regulations 2007 oil sands and oil shale mineral rights will be available under the competitive bid and work commitment bid processes, respectively. Crown oil sands, oil shale rights and work commitment bid processes will be available for purchasers in the August 2007 land sale. The first ever bid process for crown oil sands and shale rights will occur along with the August 2007 land sale.

“We are optimistic about the potential for an oil sands and oil shale industry in the province,” Industry and Resources Minister Eric Cline said. “The regulations approved by the government today are competitive with Alberta, but are tailor-made to fit a Saskatchewan model in terms of land dispositions and what we consider a careful yet moderate approach to development of this resource.”

Previously issued oil sands and oil shale dispositions will continue to be administered under amended provisions to The Oil Shale Regulations, 1964 that have also been updated to today’s technical and economic realities.

Oil sands were identified in the province in the 1970s in an area north of the Primrose Lake Air Weapons Range but there has been limited interest until the last few years. One company has been drilling in the area north of the Clearwater River, and has reported encouraging results from the exploration. Exploration for oil shales in the Hudson Bay area of the province was conducted 40 years ago, and the area has seen renewed exploration by industry to evaluate the extent of the resource.

-30-

For more information, contact:

Bob Ellis
Industry and Resources
Regina
Phone: 306-787-1691

==================================

Temptation was too great….

Published in Wadena News on May 16, 2007

Dear Editor,

Starting in August 2007, (according to a recent Government Press Release New Regulations for Oil Sands and Oil Shale Resources), the Crown oil sands, oil shale rights, and work commitment bid process will be available for purchase, along with more land sales.

According to Minister Cline, after consultation with the industry and other jurisdictions, the new regulations are “…what we consider a careful yet moderate approach to development of this resource.”

Is that how the current environmental nightmare taking place in Fort McMurray started out, ….as a moderate development? Today, thanks to NAFTA and human greed, not only is this so-called ‘development’ out of control, it is Canada’s biggest polluter, and will, under continued pressure from our oil-thirsty neighbour to the south, only get worse. And, while a few people make the money, other people and nature for miles around will continue to be harmed from dirty air, dirty water, with sick and dying lakes and forests, and sick and dying people …

What areas in our own beautiful province will this latest feeding frenzy affect?

We can say goodbye to the clean air, clean water, and clean environment of the as-yet pristine area in the Clearwater River Provincial Park (that’s right - IN the park!) north of La Loche. . .and of the as-yet pristine Hudson Bay area of northeastern Saskatchewan!

The temptation was too great…it was just a matter of time!

Elaine Hughes
Archerwill, SK

-----------------------------------

Letter was also published by the Saskatoon Star Phoenix on May 16, 2007 under the title: Saskatchewan set to repeat Alberta's environmental folly.

==================================

PROVINCE DELIVERS FUNDS TO PRIMROSE LAKE COMMUNITIES TRUST FUND

http://www.gov.sk.ca/news?newsId=b14c49 ... 20c19598ec

News Release - July 31, 2007

The provincial government today delivered $4.5 million to the Community Development Fund of four northwest communities affected years ago by the creation of the Primrose Lake Air Weapons Range.

The money fulfils the province's commitment to the fund, which will be held in trust for the communities of Beauval, Ile-a-la-Crosse, Cole Bay and Jans Bay. The fund will enable the communities to pursue development opportunities and to capitalize on the North's strong economic potential.

"The province has delivered on its promise to assist the communities and families whose lives were affected by the creation of the weapons range," Northern Affairs Minister Joan Beatty said. "It took years of work with community leaders and our federal colleagues, but now we believe these northwest communities are well-positioned to play a greater role in a Saskatchewan economy that is the most prosperous in recent memory."

The province's money forms part of a larger package worth $19.5 million, which also includes funds from the federal government. The money will be held in a trust managed by a board of directors appointed by the four communities. The communities will be able to draw upon dividends earned by the fund to invest in worthwhile projects that further the local economy.

In addition, some of the provincial money will be used to make direct one-time payments of up to $10,000 to the few remaining Métis elders negatively affected by the range, or to their surviving families.

"I am very proud that the province has seen fit to acknowledge the important role of our elders, a longstanding request from the communities," Beatty said. "Community representatives have agreed on a list of approximately 185 eligible elders and families."

"This is directed, in part, to the elders," Highways and Transportation Minister and Athabasca MLA Buckley Belanger said. "We need to show respect for the leadership and perseverance they have demonstrated through the years."

"We're very happy that the Province has recognized the historical position of our elders and the current needs of our families," Beauval Mayor Alex Maurice said on behalf of the four communities. "We look forward to using the funds from our senior governments to better the lives of our people today, and for future generations."

The Primrose Lake Air Weapons Range was formed after the Province agreed in 1953 to give the federal government a lease in perpetuity to use the land for military purposes. However, several Métis families have long said that the creation of the range hindered their pursuit of traditional activities such as hunting and fishing.

-30-
For more information, contact:
Scott Boyes
Northern Affairs
La Ronge
Phone: 306-425-6669
Email: sboyes@sna.gov.sk.ca
Cell: 306-425-8869

===============================

Petrobank also has oilsands plans

http://www.canada.com/reginaleaderpost/ ... d1a60b94e7

Bruce Johnstone, The Leader-Post November 07, 2007

Move over, Oilsands Quest. Another Calgary-based oil and gas company has plans to develop oilsands in Saskatchewan, too.

Petrobank Energy and Resources Ltd. purchased the rights to explore 23,000 acres of land in the Clearwater River area of northwestern Saskatchewan in the October land sale, smack dab in the middle of Oilsands Quest's 58-square-kilometre exploration area.

"We're the hole in Oilsands Quest's doughnut," said Chris Bloomer, vice-president of heavy oil for Petrobank. Bloomer added that while Petrobank's township-sized land base is a fraction of Oilsands Quest's extensive land position, Petrobank has licences, rather than more restrictive permits.

And he said the geology of Petrobank's exploration area is similar to that of Oilsands Quest. "If you look along the Clearwater River, there's bitumen outcrop ... Geologically, it's prospective (for bitumen).''
More importantly, Petrobank believes it has the technology to recover a large proportion of the bitumen in place.

Oilsands Quest recently announced that it has an independent report estimating reserves ranging from 1.1 billion to 1.5 billion barrels of original bitumen in place.

"You can have all the resources you want, but how do you get it out?" Bloomer said.

"Even using SAGD (steam-assisted gravity drainage), with these type of resources, it may not be all that feasible. So you need alternative technology.''

That's where Petrobank's THAI (toe-to-heel air injection) technology comes into play.

Developed by the University of Bath in the United Kingdom and licensed by Petrobank subsidiary Archon Technologies, THAI is an "in-situ combustion process'' that injects air into the oil-bearing formation, Bloomer said.

"We actually gasify a portion of the oil in place -- the bad part of it, the asphaltenes -- to create very, very high temperature that mobilizes a lot of oil, which drains into the horizontal well and is brought to surface,'' Bloomer said.

Petrobank has been testing its THAI technology at its Whitesands oilsands project in northern Alberta.

"We've been in operation for a year and we're getting very good results,'' he said.

"Since it's a low-pressure process, it doesn't involve the burning of natural gas or the use of water and is a very efficient process. We expect to get very high recoveries -- 70 to 80 per cent of the oil in place.''

While used initially in heavy oil projects, THAI can be adapted to recover bitumen from oilsands deposits using vertical injection and horizontal production wells, he added.

Bloomer believes other companies, including Oilsands Quest, should be using THAI technology to recover heavy oil and bitumen in Saskatchewan and elsewhere.

"It's our chip in the game. They (Oilsands Quest) should be interested.''

Meanwhile, Petrobank is busy drilling the 17,000 hectares of land in Saskatchewan it acquired earlier this year. The company paid $59.4 million, or 85 per cent, of the total $70.2 million in bonus bids in the April sale.

This year, Petrobank drilled about 60 wells in southeastern Saskatchewan, primarily in the deeper Bakken formation, and plans to drill another 80 wells next year.

Petrobank is also using new technology to increase production and recovery rates from its Bakken wells.

"We had a unique way of completing wells ... where we were able to get a much better initial production rate, which means a higher recovery rate."

At about $2 million per well, that's a lot of money being invested in Saskatchewan.

"It's good news for Saskatchewan. Because of the policies they've put in place, we've created a whole new business,'' Bloomer said.

Unlike Alberta, which has announced a 20-per-cent increase in royalty rates by 2009, Saskatchewan's new government -- whatever party wins the election -- should leave its royalty regime alone.

"Why mess with a good thing?"


© The Leader-Post (Regina) 2007

======================
Related topic:

The Beginning of an Oil Sands Industry in Saskatchewan

Updated August 6, 2007

Oilsands Quest: http://www.oilsandsquest.com/our_projects/axe_lake.html
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Bitumen find in Saskatchewan could spawn new industry

Postby Oscar » Tue Nov 20, 2007 4:01 pm

Oilpatch eyes neighbour - Bitumen find in Saskatchewan could spawn new industry

Claudia Cattaneo, Financial Post - Tuesday, April 17, 2007

http://www.canada.com/nationalpost/fina ... =55517&p=1

By oil sands measures, the core sample plucked from 200 metres below a spindly Jack-pine forest last month was a beauty. Saturated with bitumen, the brownish, one-metre cut, part of a 20-metre oil sands zone, smelled like fresh asphalt. The sand was as warm and homogenous as that of a Caribbean beach.

But it was not from Alberta. The core was unearthed in northwest Saskatchewan. In fact, it was one of 174 brought to light over the past two winters by drilling crews working for Oil sands Quest Inc., a junior oil sands company that is well on its way to demonstrating that a rich sliver of the Athabasca basin, centred in the Fort McMurray area of northeast Alberta, spills over into this neighbouring province.

If its aggressive exploration program shows there's enough of the stuff to support a commercial project, Saskatchewan could be producing oil from its first multi-billion-dollar in-situ oil sands project by the middle of the next decade.

"What we see in the reservoir is uncharacteristically good," Christopher Hopkins, CEO of the startup, said during a recent tour of his company's vast leases. "It's basically as good as it gets. "Saskatchewan has been fortunate enough to have a clear glimpse of the opportunity the energy industry offers [in Alberta]. We hope we can deliver an oil sands industry to them here."

If there is one to be had, a Saskatchewan oil sands industry would ramp up about half a century behind Alberta's. But it would also do it at faster speed, benefiting from Alberta's experience and a more receptive environment -- labour here is abundant, costs are lower, the fiscal terms more competitive.

A project would elevate Oil sands Quest to the big leagues. The company is among an aggressive, new generation of oil sands startups trying to beat the challenges faced by bigger companies -- such as high costs and labour shortages -- by using new technologies, looking in new areas, watching their pennies and even embracing higher environmental standards as a way to impress investors.

Mr. Hopkins and his team of oil sands explorers first became confident that the Athabasca deposits don't stop at the provincial boundary in early January, 2006, when their first well encountered oil bearing sands near Axe Lake, about 100 kilometres northeast of Fort McMurray on the Saskatchewan side of the border.

Oil sands Quest took on the prospect for two main reasons: It was away from the highly competitive environment on the Alberta side, and there had been evidence of rich bitumen deposits, some of which could be seen lining the banks of the nearby Clearwater River.

Still, skepticism was huge; to the point even the government of Premier Lorne Calvert didn't have rules in place to deal with such an industry.

"As recently as months ago, the Saskatchewan government was saying, 'Of course we know that there is oil sands here, but it will be too shallow and too deep to mine, too thin, too this and too that'," Mr. Hopkins said.

The oil community was similarly skeptical. At a recent fundraising dinner in Calgary with a big turnout from the oil patch, the leader of the Saskatchewan Party, Brad Wall, dramatically held up a scoop of one of Oil quest’s core samples to show the deposits indeed exist in his province.

"There was always the question: 'Is it really there or not? Its 2007, and so how come nobody has looked in Saskatchewan? Why didn't any of the big companies come across here yet'," said Errin Kimball, vice-president exploration at Oil sands Quest.

Mr. Kimball's exploration team was convinced the main reason the Saskatchewan oil sands hadn't been discovered was that no one had seriously looked for them. Industry was too busy developing the deposits on the Alberta side and ignoring left-wing Saskatchewan, until recently perceived as unfriendly to oil companies.

In fact, the province, Canada's second largest oil producer, has been revamping its oil and gas regime to promote investment and now has even more favourable terms than Alberta's. Mr. Hopkins said the province has been very supportive of his company's efforts.

The Axe Lake discovery well was drilled not far from where two oil majors, Shell Canada Ltd., a subsidiary of Royal Dutch Shell PLC, and Gulf Canada Ltd., now a part of ConocoPhillips, found bitumen in 1974 -- and then moved on. In those days, bitumen oil sands were hardly stuff to get excited about.

Now, finding it was a big deal for Oil sands Quest. Reaction in the company's offices in Calgary and its camps in the frigid Saskatchewan wilderness ranged from elation to pride that the discovery was made in the province, in a brand new area, and that the task ahead involved not only building a company, but an industry.

"Our first hole exceeded our expectations, and it was a clearly a discovery hole," Mr. Hopkins said. "Our thinking was validated. We just continued to drill and continued to demonstrate through the drill bit that the oil is here."

The Company?s stock, heavily traded on the American Stock Exchange, shot up above US$8 last year. It has since retreated to less than US$3.50 (it closed yesterday at US$3.28, down US14?) on uncertainty about new greenhouse gas regulations, lower oil prices and tax and royalty changes. Oil sands Quest plans to list on the Toronto Stock Exchange this year.

Last year, the company kicked off one of the largest oil sands drilling programs in Western Canada. Last month, eight drilling rigs were working its leases.

It was no routine undertaking. The Axe Lake project is located about 100 kilometres northeast of Fort McMurray --close enough to see the thick columns of smoke billowing from the major oil sands projects, but so isolated it's hard to reach by motor vehicle or airplane.

The Company flies people in and out on a bush plane that lands on a frozen lake as it waits for a permit to build a permanent airstrip.

Its leases are so vast they required building and maintaining 350-kilometres of ice roads and three camps. Employees -- there are 200 on site -- travel with cigarette lighters even if they don't smoke, just in case they get lost and need to start a fire. They're expected to check in and out as they move around the project. If they don't show up when expected, a search party is mobilized. Six ambulances are always on stand-by.

Mr. Hopkins estimates running the operation costs about $150,000 to $200,000 a day.

But the area's isolation is also its advantage. The natural barriers that keep people from coming in are also keeping them from going away to lucrative jobs in Fort McMurray, leaving more available for Oil sands Quest to hire from nearby Metis and First Nations communities like La Loche.

"We are not faced with nearly the competition that you see in McMurray," said site supervisor Morris Kimball. "We are finding qualified people."

The Company buys services, food and equipment in Saskatchewan to support the local economy, while at the same time benefiting from its lower costs.

So far, the drilling program has been encouraging. At the end of last year, the company reported it found 500 million barrels of resource after drilling 24 wells into 20-metres thick geological structure stretching about 60 square kilometres. Following a 150-well drilling program this winter, that estimate was boosted to 1.5-billion barrels.

Simon Raven, chief geologist of Oil sands Quest, said the sands found so far are of excellent quality.

"The saturation of this core is excellent," he said as he inspected a specimen, laid out in a core shack near a drilling rig noisily penetrating the ground. "I suggest that the saturation is about 14% by weight. Generally, in Alberta, they are running at about 12%.

"It's all sand, no clay or shale material

in here," he said. "The sand is all the same size. It's sorted into very consistent grain size, which gives you a lot of porosity and permeability. Generally, those are the attributes we seek."

More drilling is expected this summer and next winter as the company looks for the boundaries of the deposits.

Meanwhile, Oil sands Quest has been working with the Saskatchewan government to nail down fiscal terms.

A year ago, the province announced an oil sands royalty regime that involves a 1% royalty until the project has recovered its costs, and 20% after. That's more favourable than in Alberta, where the government collects 1% through payout, then 25% and is currently holding a review to determine whether royalties should be increased.

What's still missing in Saskatchewan is a regulatory framework. Those rules are expected to be finalized shortly.

"They won't simply Xerox the Alberta regulations. I don't blame them," Mr. Hopkins said. "But because they have to develop them, it takes time."

As the rules become clearer, other oil sands explorers are expected to move into Saskatchewan.

Eventually, Oil sands Quest wants to line up a partner to help out with building a project and share costs, expected to range between $5-billion and $10- billion.

It's also pondering upgrading options in Saskatchewan, where there are upgrades in Lloydminster and Regina.

"We are knocking down the barriers one at a time," Mr. Hopkins said. "The first one was: there is no oil. That one is done. Secondly, it's to demonstrate that there are sufficient barrels here. We hope to demonstrate that with this program. And then, commerciality."

ccattaneo@nationalpost.com © National Post 2007
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Oilsands Quest Sask. Inc. - on the move!!

Postby Oscar » Tue Jun 15, 2010 11:59 am

Oilsands Quest Sask. Inc. - on the move!!

- - - - - -

QUOTE: "The company's oil sands permits and licenses (100 per cent owned) now total 651,565 acres."

(NOTE: the southern boundary of this permit is directly adjacent to the northern edge of Clearwater River Heritage Park!)

MAP: http://www.oilsandsquest.com/pdf/
OQI_Contiguous_Land_May_17_2010.pdf

- - - -

Oilsands Quest files for environmental approval of Axe Lake SAGD project

[ http://www.oilsandsquest.com/pdf/BQI_Ax ... gs_May.pdf ]

CUSIP# 678046 10 3 NYSE Amex: BQI NEWS RELEASE DATE: May 17, 2010

Calgary, Alberta -- (May 17, 2010) – Oilsands Quest Inc. (NYSE AMEX:BQI) (“OQI” or “the Company”) has filed key regulatory submissions to advance the development of its Axe Lake oil sands project in northwestern Saskatchewan. The first is a proposal to the Saskatchewan Ministry of Environment (SME) for approval to produce up to 30,000 barrels per day of bitumen using steam-assisted gravity drainage (SAGD). The second submission is for approval of a SAGD test to confirm the containment characteristics of the glacial till overlying the Axe Lake reservoir and to determine the operating parameters of a commercial project. Filing with the SME is the first step in a two-stage process to apply for approval of a commercial lease for oil sands development. This proposal provides the complete vision for the project, giving the regulator helpful context when approving testing activity and giving all stakeholders clarity around the long-term development plans. The second stage of the process consists of an application for commercial project approval to the Saskatchewan Ministry of Energy and Resources (SMER). OQI plans to submit the commercial application following the successful completion of the SAGD test. In preparing the commercial application, OQI will continue to develop detailed engineering plans, cost estimates and financing plans for the project based on the ongoing production testing activities at Axe Lake. “Filing for the environmental approval of our proposed commercial project at Axe Lake is an exciting milestone not only for Oilsands Quest, but also for the province of Saskatchewan," said Susan MacKenzie, Chief Operating Officer of OQI. “We are now taking concrete steps toward building Saskatchewan’s first commercial SAGD oil sands project at Axe Lake.” The proposed project includes components typical of SAGD operations such as multi-well production pads of horizontal well pairs, and a central processing and bitumen treatment facility that includes produced fluid separation, water recycling, steam generation and tank storage facilities. Options for site access, utility service corridors, bitumen transportation, electricity and natural gas supplies are also being evaluated. The Company has also filed for approval of a SAGD test at Test Site 1 at the Company's Axe Lake discovery in Saskatchewan. The test plan will use one 100 metre long horizontal well pair, with the upper well placed five metres below the top of the interface between the overburden and the oil sands, and will also make use of the existing surface facilities. The results of this test will demonstrate the steam containment properties of the glacial till overburden and provide information essential for the front-end engineering design for the commercial development.

Coincidental with these submissions, OQI has filed for the second one-year extension of its Saskatchewan oil sands permits. OQI has also notified the SMER that it plans to relinquish two of its northernmost land permits (permits 213 and 215) as it focuses its development opportunities to include only those lands that recent exploration activity has demonstrated to be prospective. OQI's exploration activities on these permits include over 42 miles (68 kilometres) of 2-D seismic and 14 core holes. Relinquishing these permits will not impact the Company's resource estimates or development plans The company's oil sands permits and licenses (100 per cent owned) now total 651,565 acres. A map showing the revised permit area is posted on the company's web site (http://www.oilsandsquest.com) with this news release. About Oilsands Quest Oilsands Quest Inc. (http://www.oilsandsquest.com) is developing Saskatchewan’s first global-scale oil sands discovery at Axe Lake, while exploring one of Canada's largest holdings of contiguous oil sands permits and licenses, located in Saskatchewan and Alberta. It is leading the establishment of the province of Saskatchewan's emerging oil sands industry. Cautionary statement about forward-looking statements This news release includes certain statements that may be deemed to be “forward-looking statements” within the meaning of the U.S. federal securities laws. All statements, other than statements of historical facts, included in this news release that address activities, events or developments that our management expects, believes or anticipates will or may occur in the future are forward-looking statements. Such forward-looking statements include discussion of such matters as:

• the eventual outcome of the process to apply for approval of a commercial oil sands development permit;

• the outcome of the filing for approval of a SAGD test at Test Site 1.

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 such as references to Oilsands Quest’s drilling program, geophysical programs, reservoir field testing and analysis program, preliminary engineering and economic assessment program for a first commercial project, and the timing of such programs are based on the opinions and estimates of management and the company’s independent evaluators 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 risks inherent in the oil sands industry, regulatory and economic risks, lack of infrastructure in the region in which the company’s resources are located and risks associated with the company’s ability to implement its business plan. Many of these risks and uncertainties are beyond the control of the Company. The Company undertakes no obligation to update forward-looking statements 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. For more information: Riyaz Mulji Manager, Investor Relations Email: ir@oilsandsquest.com Investor Line: 1-877-718-8941

MAP of Exploration Permit:

http://www.oilsandsquest.com/pdf/
OQI_Contiguous_Land_May_17_2010.pdf

= = = = = =

Power station on track

[ http://www.leaderpost.com/story_print.h ... 5&sponsor= ]

The Leader-PostJune 15, 2010

A groundbreaking ceremony was held in North Battleford on Monday for the North Battleford Energy Centre, a new $700-million, 261-megawatt (MW) natural gas power station.
Northland Power, an independent power producer based in Toronto, was chosen earlier this year by SaskPower to provide baseload electricity to the provincial grid.
The combined-cycle, natural- gas-fired power station is expected to begin operations in 2013.
"We were standing here today at a sod-turning ceremony and I was impressed how much preliminary work had already been done on this site," said Garner Mitchell, acting president and CEO of SaskPower. "So I know it'll be up and running by fall of 2013.''
SaskPower is expanding natural gas fired generation to serve the rapid load growth in Saskatchewan. Mitchell said the province's electricity load growth is expected to average three to 3.5 per cent a year for the next 10 years, compared with 1.5 per cent for the previous 10 years.
"That's huge, absolutely huge,'' Mitchell said. "We need another 100 MW each year, so this 261 MW plant ... is going to a major part of our future supply."
Northland has signed a 20-year supply agreement to sell power to SaskPower, but the terms of the deal are confidential.
"These are very complex contracts,'' Mitchell said, adding the deal includes "everything from capital and fuel to labour costs and financing. So there are many factors that go into it. That's why we don't go public (with the contract details)."

MORE:
[ http://www.leaderpost.com/story_print.h ... 5&sponsor= ]

= = = = = =

2010-032, Oilsands Quest Sask Inc - Axe Lake Project

Developments With Pending Ministerial Decisions

[ http://www.environment.gov.sk.ca/Defaul ... be626dcb29 ]

Oilsands Quest Sask Inc is proposing to produce 30,000 barrels (4800 m3) per day of bitumen at their Axe Lake Project in T. 94, 95, R. 24, 25 W3M, 90 km northwest of the Northern Village of La Loche and abutting the Alberta border. The project will use horizontal well pairs drilled from production pads and steam-assisted gravity drainage (SAGD) technology. The bitumen will be pipelined from the site.

Screening Project Proposal

Section 10 Notice

Project Specific Guidelines - pending

Section 11(2) Notice - pending

Environmental Impact Statement - pending

Technical Review Comments - pending

Minister's Decision - pending

Minister's Reasons for Decision - pending

For more information or to submit a comment:

Graham Mutch
EA Development Project Administrator
Environmental Assessment Branch
Saskatchewan Ministry of Environment
3211 Albert Street
Regina, SK S4S 5W6
Phone: (306) 787-6241
Fax: (306) 787-0930

= = = = = =

COMMENTS: More info on Oilsands Quest:



OIL SANDS DEVELOPMENT RIDES ROUGHSHOD OVER PROTECTED AREAS

[ viewtopic.php?t=705 ]

- - - -

Sask Tarsands: Temptation was too great....:

[ viewtopic.php?t=449 ]

Oilsands Quest Inc.Prospectus (August 2007):
[ http://www.secinfo.com/dvjdn.uj4.htm#1stPage ]

- - - -

It is uncertain whether electricity to cook the muck for Oilsands Quest SAGD project will be provided by small, easily-transported on a flat-bed and protected from the elements and prying eyes by a tarp (Hyperion-style?) nuclear reactors ("batteries") and buried on site in remote areas (the size of a dumpster)

[ viewtopic.php?t=759 ]

or

by the new privately-owned (Northland Power) natural gas power plant north of North Battleford as above:

[ http://www.cbc.ca/canada/saskatchewan/s ... -1002.html ]
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Sask. oilsands alarm raised

Postby Oscar » Wed Jun 16, 2010 1:00 pm

Sask. oilsands alarm raised

Proposed type of development has greater emissions: group

http://www.thestarphoenix.com/business/ ... rm+raised/
3151230/story.html

By James Wood, The StarPhoenix June 14, 2010
The method that would be used in the potential development of oilsands in Saskatchewan presents significant environmental concerns, even if it does not entail the mammoth oilsands mining projects that have attracted public attention and controversy in northern Alberta, says an environmental think-tank.
A recent fact sheet released by the Alberta Pembina Institute compares "in situ" extraction used for deep reserves of bitumen -- as are found in Saskatchewan -- and the surface mining used for shallower deposits. ( http://www.pembina.org/pub/1980 )
Based on two previous studies done by the organization, the fact sheet says in situ oilsands projects actually have greater emission of greenhouse gasses and sulphur dioxide per barrel of bitumen produced than surface mining.
Simon Dyer, oilsands program director with the Pembina Institute, said as in situ development increases in Alberta there has been a tendency for industry and governments to downplay its impact and present it as a more environmentally friendly option.
"There are very significant per barrel impacts associated with in situ developments, as our report shows. There are very significant land use impacts. This is nothing like conventional oil and gas development despite the attempts of some boosters in the industry to paint it that way," he said in a telephone interview from Fort McMurray.
"This is a very serious form of industrial development that needs to be considered and managed carefully."
Saskatchewan currently has no producing oilsands but two companies are conducting extensive exploration and testing activities in the province's northern boreal forest.
About 27,000 square kilometres of northwestern Saskatchewan, an area covering about five per cent of the province, has some level of oilsands potential. Independent estimates put the size of the resource at as much as 2.3 billion barrels of bitumen, according to a report put out by the Saskatchewan Environmental Society last year.
The Saskatchewan Party government has been bullish on oilsands development in the province, although a reference to oilsands was removed from the updated mandate letter recently given to Energy and Resources Minister Bill Boyd.
"My advice to Saskatchewan would be, if you actually want a high-performing industry, you should ensure you actually have regulations that demand best practices and demand continuous improvement. And currently neither Alberta or Saskatchewan has a regulatory framework to actually drive the kind of improvements that are possible," said Dyer.
The most common form of in situ extraction involves injecting high-pressure steam underground so the heated bitumen can flow to a well and be pumped above ground. Other solvents and extraction methods are being reviewed by companies but are not at this point being used, according to Pembina's report.
The greater natural gas inputs needed to heat water to become steam is the main reason for the greater intensity of greenhouse gas and sulphur emissions, said the Pembina Institute, which studied nine operational in situ operations in Alberta.
Nitrous oxide emission intensity for in situ operations is just lower than oilsands mining but the latter has significantly larger water use intensity and cleared area intensity levels.
While oilsands mining operations see large-scale clearing of forests and wetlands and the digging up of land, in situ projects are much smaller.
However, Pembina is concerned because in situ operations may potentially spread across a much larger land base.
Roy Schneider, a spokesperson for the Ministry of Energy and Resources, said the province does not as yet have specific rules for oilsand development separate from regulations for conventional energy development.
Companies are still working to determine if Saskatchewan's resource is recoverable on an economic basis.
"Until we see a game plan from them it's really premature to comment on what specifically might be needed there. What modus operandi are they going to use? We don't really know other than it will be in situ they are looking at and there are a number of different ways they can go," said Schneider.
Schneider noted the potential size of the projects may also trigger a full environmental impact assessment.
jwood@sp.canwest.com
© Copyright (c) The StarPhoenix
- - -
The "Drilling Deeper Fact Sheet" published March 17, 2010 by the Pembina Institute is available for download at:
http://www.pembina.org/pub/1980
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Rising water demands in Tar Sands threaten famous Canadian H

Postby Oscar » Tue Jun 29, 2010 9:44 am

Rising water demands in Tar Sands threaten famous Canadian Heritage River: Alberta’s Clearwater River

http://www.waterkeeper.ca/2010/04/07/clearwater/
Lake Ontario Waterkeeper April 7th, 2010

(TORONTO) — Opti-Nexen, one of the largest steam plant operators in the oil sands, wants to withdraw 17,000 cubic meters of water a day from Alberta’s Clearwater River. The Clearwater is a pristine, culturally significant wilderness river near Fort McMurray. The Clearwater received “Heritage River” designation in recognition of the its unspoiled beauty and its historical importance as a connecting link between the Churchill and Mackenzie river systems in the fur trade era.

Opti-Nexen’s daily water taking would be roughly equal to a city of 50,000 people. In contrast to a city, Opti-Nexen would not return the water to the Clearwater after using it. Opti-Nexen’s request is unprecedented. Most oil sands operators that melt deep deposits of bitumen with steam get their water from salt or freshwater aquifers. No water for steam plants is currently removed from the Clearwater or nearby Athabasca rivers.

“The Canadian Heritage Rivers Board designated the Clearwater River one of Canada’s leading rivers because it is remote and pristine and a precious part of Canadian history. If Opti-Nexen is allowed to start taking water from this river, what does that say about our priorities?” asks Ruth Kleinbub, a long-time advocate for the Clearwater River.

This pristine river originates in Saskatchewan and runs into Alberta where it empties into the Athabasca River at Fort McMurray. It was designated a Heritage River first by Saskatchewan in 1987 and later by Alberta in 2004. Historically, the Clearwater River was at the centre of the 18th century fur trade and was part of the voyageur route to the Arctic. The explorers Peter Pond, Alexander Mackenzie and Sir John Franklin canoed this legendary river. It is one of the few western rivers that remain as the voyageurs and Cree and Beaver nations once paddled it. The request for Clearwater River water is the result of Opti-Nexen’s failure to meet water-use targets. The company initially predicted that it would need two barrels of steam to produce one barrel of bitumen. In actual practice, it requires six barrels. Opti-Nexen is now scrambling to find a new source of water for its upgrader, and it hopes to draw upon the Clearwater River.

“We are deeply concerned about the example this water taking could set for the rest of the country. Canada’s environmental laws are supposed to protect the environmental and cultural integrity of the nation’s waterways. If the Clearwater River water taking is approved without public consultation and without independent scientific review, then any
Canadian river is vulnerable. If a river like the Clearwater does not get the best protection possible, then there is no hope at all for less pristine areas,” says Mark Mattson, an environmental lawyer and full-time Waterkeeper based in Toronto.

Opti-Nexen confirmed earlier this week that it plans to sell some of its heavy oil p properties and will focus on projects like the Opti-Nexen Long Lake project. Long Lake is just one of many steam plants facing water challenges in Alberta. The total area under lease for oil development in Alberta’s north is more than 80,000 square kilometres.

Contacts
Ruth Kleinbub: long-time resident who fought for the river’s protection (Fort McMurray): 780-791-2736
Mark Mattson: environmental lawyer and co-founder of several Waterkeeper organizations, including Lake Ontario
Waterkeeper (Toronto): 416-861-1237

More Background

Backgrounder: Oil Sands Steam Plant Industry & the Clearwater River
Opti-Nexen is one of the largest steam plant operators in the oil sands (also known as SAGD: Steam Assisted Gravity Drainage).

Opti-Nexen wants to withdraw 17,000 cubic meters of water a day the Clearwater River. One cubic meter of water is equal to 1,000 liters. The average Canadian uses 343 liters a day. Therefore Opti-Nexen wants to remove enough water from a protected Canadian Heritage River to sustain nearly 50,000 Canadian households every day.

The Clearwater River is a pristine river. It originates in Saskatchewan and runs into Alberta where it empties into the Athabasca River at Fort McMurray. It was designated a Heritage River first by Saskatchewan in 1987 and by Alberta in 2004 (more information).

Historically, the Clearwater River was at the centre of the 18th century fur trade and was part of the voyageur route to the Arctic (more information). The explorers Peter Pond, Alexander Mackenzie and Sir John Franklin canoed this legendary river. It is one of the few western rivers that remain as the voyageurs, and Cree and Beaver nations once paddled it (more information).

Opti-Nexen’s request is without precedent. According to the National Roundtable On the Environment most steam plants now draw their water from salty or freshwater aquifers. But no water for steam plants is now removed from the Athabasca or Clearwater rivers (more information).
Opit-Nexen’s troubled Long Lake project, like the majority of industry’s steam plants, has failed to meet its water targets and has now doubled its water demand. It has also failed to achieve bitumen production goals. The company initially predicted that it would need two barrels of steam to produce just one barrel of bitumen. Now it requires six barrels (more information).

According to its 2008 Sustainability Report, fresh water withdrawals increased from 735,000 cubic meters in 2007 to 1,890,000 cubic meters in 2008 due to increases in bitumen production (more information). Statoil has also expressed concerns about “water management challenges” and shortages for its SAGD operation (additional information as
referenced by: John Kus, Extra Heavy Oil in Canada, TEKNA Conference, Stavanger, Norway, January 23, 2008).

A 2009 report, commissioned by JOGMEC (Japan Oil Gas and Metals National Corporation) on the problems encountered by steam plants, notes that all projects, with the exception of two companies, have exceeded original water estimates or steam to oil ratios by often-extreme volumes. Some companies have used as much as 14 barrels of steam to produce one barrel of bitumen (more information).

In an exhaustive 2009 report on groundwater, the Council of Canadian Academies concluded that steam plants (also known as in situ) could ultimately use more water than mining operations:

Since more than four-fifths of the total bitumen reserves in Alberta are accessible only by in situ methods, the demand for groundwater for in situ production could be as great as or greater than the demand for surface water for oil-sands mining, unless new extraction processes are adopted. (p. 210) View background information as a PDF file.

Additional documents: NEXEN1 NEXEN2
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Nexen's "bait and switch" means trouble for the Cl

Postby Oscar » Tue Jun 29, 2010 9:45 am

Nexen's "bait and switch" means trouble for the Clearwater River

[ http://www.water-matters.org/story/383 ]

By JULIA KO, WATER MATTERS AND JEFF GALIUS — JUN 28, 2010

You've heard of "bait and switch," right? It's when a company advertises something that it can't deliver (say, a TV for $200), and then tries to get you to buy something at a higher price (say, a $500 TV) once you've made the trip to the store.

Bait and switch seems to be Nexen's strategy for its Long Lake oil sands project — with Alberta on the hook to ultimately supply more water to the project. The Long Lake project is different from other projects because it integrates steam-assisted gravity drainage (SAGD) with upgrading. The original plan indicated that only saline water, which is unfit for human consumption, would be used to create steam to bring up bitumen (the SAGD process). The freshwater for upgrading the bitumen, through which some of the water is lost or consumed, would come from underground wells.

But like the $200 TV, the promise was too good to be true, and Albertans, and at least one of their cherished rivers, are being asked to pay a higher price. Nexen has now applied to withdraw up to 17,000 cubic metres of freshwater from the Clearwater River each day for this project. So, instead of this freshwater coming from already approved underground wells, Nexen is asking for water from the Clearwater River.

MAP: [ http://www.water-matters.org/story/383 ]
Credit: Canadian Heritage River Systems, 2010

Nexen argues that it needs water to upgrade oil, but it's not asking for more water. It maintains that water from the Clearwater River is needed to "meet current and long-term upgrader water requirements in a sustainable and environmentally responsible manner" (Nexen, 2010: p.10). Nexen says it is "not increasing the volume of water our facility requires relative to the updated water balance that was submitted to the regulators as part of the Long Lake South [Environmental Impact Assessment Review]" (Bhardwaj, June 10, 2010); rather, it is looking for a change in the source of water.

Here's what's wrong with this picture.

The Long Lake Project has a history of using more water. In 2006, Nexen requested an increase in the use of water from an original plan of 2.4 barrels of steam for one barrel of bitumen to 3.3 barrels of steam for one barrel of bitumen produced. It also said that it might need more freshwater in the future if it needed more steam to bring up oil.

From the 2009 year end results reported by OPTI, who partnered with Nexen, and in an update by Nexen in February 2010, Nexen reported an average of five to six barrels of steam for every barrel of bitumen. The Long Lake Project was approved for three barrels of steam for one barrel of bitumen, so from 2009 to 2010 the Long Lake project has used almost twice as much water as originally planned. Industry averages indicate that most projects use 1 barrel of steam for 1.1 barrels of bitumen. (For more information please see, Drilling Deeper: The In Situ Oil Sands Report Card by the Pembina Institute, 2010). Thus, the argument that freshwater from the Clearwater River is needed to meet water requirements in an environmentally responsible manner seems contradictory.

The Clearwater River is not just any river. It is a Canadian Heritage River that deserves the best protection possible. It originates in Saskatchewan and flows into Alberta, where it empties into the Athabasca River at Fort McMurray. It was designated as a Heritage River first by Saskatchewan in 1987 and later by Alberta in 2004. The Clearwater River was an important route for fur traders in the eighteenth century and was part of the voyageur route to the Arctic. Peter Pond, Alexander Mackenzie, and Sir John Franklin canoed this legendary river. It is one of the few western rivers that has remained relatively untouched since the time the voyageurs, Cree, and Beaver nations once paddled it.

Albertans deserve a clear and transparent system to ensure the rivers and wetlands in the Fort McMurray region are not over exploited. Albertans are being asked to sacrifice a Canadian Heritage River for a secure water source in future oil production. Federal and provincial officials need to ensure that the Clearwater River is protected and that avenues for efficient water use are exhausted before Albertans lose a part of their Canadian heritage.

On July 5, 2010, Nexen plans to issue a public notice under the Water Act for public consultations for its application to withdraw 17,000 cubic metres of water a day from the Clearwater River. Look for the notice in local papers in Anzac, Wood Buffalo, and Saprae Creek. This notice will invite members of the public, which could include you, to submit Statements of Concern that will be reviewed by Alberta Environment.

Sources
Bhardwaj, Sachin. 2010. Environmental Specialist, Community Consultation and Regulatory Affairs email communication. May 14, 2010

Canadian Heritage River System. 2010. The Clearwater River. Website. (accessed May 13, 2010).
[ http://www.chrs.ca/Rivers/Clearwater/Clearwater-F_e.htm ]

Griffiths, Mary and Simon Dyer. 2008. Upgrader Alley: Oil Sands Fever Strikes Edmonton. Drayton Valley, AB: The Pembina Institute.

Healing, Dan. 2010. "Oilsands water plan raises fears for river: Long Lake project to draw 17,000 cubic metres a day." Edmonton Journal, April 9, 2010. (accessed May 14, 2010).
[ http://www.edmontonjournal.com/business ... story.html ]

Nexen Inc. 2010. Nexen Provides Long Lake Project Update. News release. February 9, 2010. (accessed June 16, 2010).
[ http://www.nexeninc.com/en/Investors/Ne ... id=1114148 ]

Nexen Inc. 2010. Long Lake Source Water Project. April 2010. Application to Fisheries and Oceans Canada, Transport Canada, and Alberta Environment.

Moorhouse, Jeremey, Marc Huot, and Simon Dyer. 2010. Drilling Deeper: The In Situ Oil Sands Report Card. Drayton Valley, AB: The Pembina Institute (accessed May 14, 2010).
[ http://www.oilsandswatch.org/pub/1981 ]

Nexen Inc. 2006. Long Lake South Environmental Impact Assessment. December 2006.

Long Lake South. Application to Alberta Energy and Utilities Board and Alberta Environment.

Nexen Inc. 2006. Request for Amendment Steam Capacity, Ash Processing Unit &

PAD 11 Approval No. 9485 to the Alberta Energy and Utilities Board. February 22, 2006.

OPTI Canada Inc. 2010. OPTI Canada Announces First Quarter 2010 Results. News release, April 29, 2010. (accessed May 14, 2010).
[ http://cnrp.marketwire.com/client/opti_ ... &year=2010 ]

OPTI Canada Inc. 2009. OPTI Canada Announces Year End 2009 Results. News release, February 9, 2010. (accessed June 16, 2010).
[ http://cnrp.marketwire.com/client/opti_ ... leaseSeq=1 ]

Schlumberger. Oilfield Glossary: Steam-Oil Ratio. Sclumberger Inc. (accessed May 14, 2010).
[ http://www.glossary.oilfield.slb.com/Di ... il%20ratio ]

= = = = = =

Brian MacNeill Appointed Acting CEO of Oilsands Quest

[ http://www.oilsandsquest.com/pdf/nr-CEO ... 7_2010.pdf ]

NYSE Amex: BQI

CALGARY, Sept. 7 /CNW/ - The Board of Directors of Oilsands Quest Inc. (NYSE Amex: BQI) (the "Board") announces senior organizational changes following the recently announced decision to initiate a review of strategic alternatives and to appoint a Special Committee to oversee this process. The changes are effective immediately.

Brian MacNeill has been appointed acting CEO of Oilsands Quest, replacing T. Murray Wilson. Mr. MacNeill will serve as CEO and direct day to day operations through the period in which the Company is evaluating strategic alternatives. The Board's decision on a permanent CEO appointment will depend on the outcome of the strategic alternatives process.

Mr. MacNeill joined the Board of Oilsands Quest on August 25, 2009. He is a seasoned energy and financial industry executive who served as the President and Chief Executive Officer of Enbridge Inc., an integrated pipeline company, from 1991 to 2001. He has also been a non-executive member on boards of a number of major Canadian organizations, including serving as Chairman of the Board of Petro-Canada from 2000 to 2009.

The Board has also appointed Ron Blakely as non-executive Chairman of the Board. Mr. Blakely joined the Board of Oilsands Quest on April 7, 2009. He has extensive and varied executive-level experience spanning a 38 year career in the oil and gas industry.

Paul Ching, as part of his role on the Special Committee, will provide added support to the technical staff of the company through the period of the strategic alternatives review. Mr. Ching joined the Board on January 7, 2010, with an exceptional background in heavy oil production, operations, development and reservoir research achieved during a 34 year career with the Royal Dutch Shell group of companies.

T. Murray Wilson, who was most recently Chairman and CEO, has been appointed as Executive Deputy Chairman of Oilsands Quest. Mr. Wilson will advise the Special Committee, providing dedicated support to the evaluation and pursuit of the options expected to emerge from the review process and he will also remain a member of the Board of Directors and the Board committees of which he is currently a member.

Independent of these appointments, Susan MacKenzie has tendered her resignation as Chief Operating Officer of Oilsands Quest. The Company would like to thank Ms. MacKenzie for her contributions since joining Oilsands Quest.

"With the initiation of the review of strategic alternatives and Sue MacKenzie's decision to resign, we believe that these changes will contribute to a timely and successful conclusion of the process," said Ron Blakely, non-executive Chairman of the Board of Oilsands Quest. "This structure enables us to make best use of Murray Wilson's extensive experience from his prior investment banking career, while also drawing increasingly on the expertise that is resident in our Board of Directors."

The Special Committee is overseeing the review of strategic alternatives. Because Mr. MacNeill is assuming the acting CEO position, Mr. Blakely will now serve as Chair of the Special Committee, which will also continue to include Mr. MacNeill and Mr. Ching.

There can be no assurance that the review of strategic alternatives will result in a financing or a sale of the company or in any other transaction. There is no timetable for the review, and the company does not intend to comment further regarding the evaluation of strategic alternatives unless the Board agrees to a definitive transaction or the process is concluded.

About Oilsands Quest

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

For further information: Garth Wong, Chief Financial Officer, Email: ir@oilsandsquest.com, Investor Line: 1-877-718-8941
Last edited by Oscar on Tue Jan 18, 2011 9:06 am, edited 1 time in total.
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Oilsands Quest Completes Upsized Share Offering

Postby Oscar » Fri Nov 05, 2010 9:31 am

Oilsands Quest Completes Upsized Share Offering

http://www.oilsandsquest.com/pdf/nr-Nov5-2010.pdf

CUSIP# 678046 10 3
NYSE Amex: BQI

CALGARY, Nov. 5 /CNW/ - Oilsands Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest" or the "Company") has completed its previously announced offering of common and flow-through shares (the "Offering") and increased the size of the Offering from US$12.2 million to US$12.9 million. The Company received additional commitments for 1,360,900 flow-through shares at a price of CDN$0.51345 (US$0.50) per share. TD Securities Inc. acted as agents for the Offering.

Oilsands Quest issued approximately 20.8 million common shares at a price of US$0.45 per share for total proceeds of approximately US$9.4 million.

Oilsands Quest also issued approximately 7.1 million common shares on a flow-through basis to investors at a price of CDN$0.51435 (US$0.50) per share, for gross proceeds of approximately CDN$3.7 million (US$3.5 million).

The net proceeds from the Offering will be used for a winter drilling program of up to 10 wells at Wallace Creek and for general corporate purposes.

This news release does not and shall not constitute an offer to sell or the solicitation of any offer to buy any of the securities, nor shall there be any sale of the securities, in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any state.

About Oilsands Quest

Oilsands Quest Inc. is exploring and developing oil sands permits and licences, located in Saskatchewan and Alberta, and developing Saskatchewan's first global-scale oil sands discovery. It is leading the establishment of the province of Saskatchewan's emerging oil sands industry.

MORE:
http://www.oilsandsquest.com/pdf/nr-Nov5-2010.pdf
Last edited by Oscar on Tue Nov 29, 2011 7:20 pm, edited 1 time in total.
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Oilsands Quest New VP & Trade Mission to China

Postby Oscar » Tue Jan 18, 2011 9:12 am

Oilsands Quest Announces Executive Appointment and Participation in Saskatchewan Trade Mission to China

http://news.tradingcharts.com/futures/6 ... 51486.html

CUSIP No. 678046 10 3

NYSE Amex: BQI

CALGARY, Jan. 18 /CNW/ - Oilsands Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest" or "the Company") has appointed Simon Raven to the position of Vice President, Exploration and Development.

Simon Raven has served as Chief Geologist at Oilsands Quest Inc. since August 2006 and has been an integral part of the team that delineated the Company's discoveries at Axe Lake, Raven Ridge and Wallace Creek. In his new role, Mr. Raven will be responsible for the exploration and development of the Company's assets.

Mr. Raven started his career at Synenco, where he worked on the Northern Lights oil sands project as a member of the team that drilled over 500 exploration holes and delineated over two billion barrels of bitumen.

Mr. Raven then spent five years with Norwest Corporation working as a project geologist and project manager. During his time with Norwest, he managed coal bed methane and oil sands exploration projects throughout Western Canada and in Western China.

Mr. Raven is a member of the Canadian Society of Petroleum Geologists (CSPG), American Association of Petroleum Geologists (AAPG) and the Canadian Institute of Mining and Metallurgy (CIM), a professional geologist (P.geol) and an active member of the Association of Professional Engineers, Geologist and Geophysicists of Alberta (APEGGA).

Oilsands Quest to Accompany Saskatchewan Energy Minister to China

Oilsands Quest will be part of a trade delegation to China led by Saskatchewan Minister of Energy and Resources, Bill Boyd, from January 17th to 21st, 2011. The Company, together with three representatives of the Minister's office, will meet with Asian companies that have investments in the province to promote Saskatchewan resources, including oilsands, to potential investors.

"We are very pleased to be a part of Minister Boyd's delegation," said Paul Ching, a Director of the Company who will be a member of the delegation. "We are excited to be developing Saskatchewan's first oil sands project, and we look forward to presenting this opportunity to potential investors."

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.

For further information: Garth Wong, Chief Financial Officer, Email: ir@oilsandsquest.com, Investor Line: 1-877-718-8941
Last edited by Oscar on Tue Nov 29, 2011 7:21 pm, edited 1 time in total.
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Oilsands Quest Responds to Class Action Complaint

Postby Oscar » Tue Mar 01, 2011 10:56 am

Oilsands Quest Responds to Class Action Complaint

[ http://www.oilsandsquest.com/pdf/nr-Mar1-2011.pdf ]

CALGARY, March 1 /CNW/ - 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. ( http://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.
For further information:
Investor Relations
Email: ir@oilsandsquest.com
Investor Line: 1-877-718-8941
= = = = =

Yet another hurdle for Oilsands Quest to clear

[ http://www.theglobeandmail.com/globe-in ... le1924861/ ]

TIM KILADZE Globe and Mail Blog Posted on Tuesday, March 1, 2011 10:56AM EST
Add a class action lawsuit to the growing list of problems Oilsands Quest Inc. (BQI-A0.510.0010.25%) has faced in the past year.
South of the border, a group filed the lawsuit claiming the company overstated the value of its assets during the three-year period from 2006 to 2009, which artificially inflated its stock price. Oilsands Quest believes the complaint is “without merit.”
The news comes in the same month that the company finally settled on a new chief executive officer to take the reins from Brian MacNeill, who had served as acting CEO since the company was shook up last September.
- - - SNIP - - -
In August, 2010, Qilsands Quest was also put under strategic review and hired TD Securities as an adviser. Following an operational review at year-end 2010, the company determined it had the financial capacity to carry out its planned activities until fall 2011, mainly because it has no debt.
Oilsands Quest, traded on the NYSE Amex, is focussed on developing oil sand assets in Saskatchewan, which is typically looked over for projects in neighbouring Alberta.

= = = = =

Oilsands Quest makes use of strategic review

[ http://www.theglobeandmail.com/globe-in ... le1698302/ ]

Tim Kiladze Globe and Mail Update Posted on Tuesday, September 7, 2010 12:42PM EDT
In late August, management at Oilsands Quest Inc. (BQI-A0.51-0.0004-0.08%) announced the firm was being put under a strategic review managed by TD Securities. At the time, they offered little colour on what exactly this review could entail, but it was clear that something needed to be done to get the capital required to develop the firm’s oil sands assets in Saskatchewan and Alberta.
On Tuesday, the first move was made. Brian MacNeill has been appointed acting chief executive officer, replacing T. Murray Wilson, who was most recently chairman and CEO. Mr. Wilson will become the executive deputy chairman. Mr. MacNeill has plenty of experience leading oil and gas companies. From 1991 to 2001 he was president and chief executive officer of Enbridge Inc. and he also served as chairman of Petro-Canada from 2000 to 2009.
So what comes next?
- - - SNIP - - - .
Or, of course, there’s always the potential of a full-blown takeover.
Oilsands Quest, traded on the NYSE Amex, is focussed on developing oil sand assets in Saskatchewan, which are typically looked over for projects in neighbouring Alberta.
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Oilsands Quest Files Form 10-Q Quarterly Report

Postby Oscar » Thu Mar 10, 2011 6:34 pm

Oilsands Quest Files Form 10-Q Quarterly Report

http://newswire.ca/en/releases/archive/ ... c9280.html

CUSIP No. 678046 10 3
NYSE Amex: BQI
CALGARY, March 9 /CNW/ - Oilsands Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest", "OQI" or "the Company") has filed its Form 10-Q Quarterly Report for the quarter ended January 31, 2010 with the United States Securities and Exchange Commission. The full document is available online at www.sec.gov and www.sedar.com; the Management's Discussion and Analysis (MD&A) is presented below.

MORE:
http://newswire.ca/en/releases/archive/ ... c9280.html
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

SK (AXE LAKE) TARSANDS UPDATE: Oilsands Quest Receives One-Y

Postby Oscar » Tue May 31, 2011 9:13 am

SK (AXE LAKE) TARSANDS UPDATE: Oilsands Quest Receives One-Year Extension of Axe Lake Permits

Two articles....

EXCERPT: "The tables set out OQI’s resource estimates for Axe Lake, Raven Ridge, Wallace Creek and Eagles Nest as reported by McDaniel(1). The Axe Lake area is located within Townships 94 and 95, Ranges 24 and 25WM within the Province of Saskatchewan, approximately 115 kilometers northeast of the City of Fort McMurray. The Raven Ridge area is located immediately to the west of the Axe Lake area, within Townships 93 and 94, Range 1W4M, within the Province of Alberta. The Wallace Creek area is located north of the Raven Ridge area and west of the Axe Lake area, within Township 96, Ranges 1 and 2 W4M in the Province of Alberta. Eagles Nest is located in the Athabasca oil sands region in the Province of Alberta in Township 101, Range 13W4M."

FULL TEXT:
[ http://www.oilsandsquest.com/pdf/Wallac ... esults.pdf ]

= = = = = = = = =

Oilsands Quest Receives One-Year Extension of Axe Lake Permits

[ http://money.msn.com/business-news/arti ... CTS&isub=1 ]

NYSE Amex: BQI

CALGARY, May 31 /CNW/ - Oilsands Quest Inc. (NYSE AMEX:BQI) ("OQI" or "the Company") has received approval to extend the two Saskatchewan Oil Shale Permits that include the Axe Lake Discovery, PS00208 and PS00210, until May 31, 2012.

As part of its development plans, Oilsands Quest is seeking to have the Axe Lake permits converted to a 15-year lease. The permits are currently held under the Oil Shale Regulations, 1964. Oilsands Quest has requested that the Saskatchewan Minister of Energy and Resources convert permits PS00208 and PS00210 to licenses under the terms of the Petroleum and Natural Gas Regulations, 1969. Following the conversion of the permits to licenses, the Company would request that the area comprising the Axe Lake Discovery then be converted to a lease. The outcome of these discussions is not certain.

Consistent with the Company's previously disclosed plans, OQI has also relinquished the balance of its permits in Saskatchewan to the Crown. The Company does not view the lands to the south of the Axe Lake area as prospective, either due to the presence of interbedded water in the reservoirs that would not allow for commercial development or lack of bitumen in the southern portion of the Saskatchewan lands. Relinquishing these lands has no impact on the Company's current resource estimates or development plans.

For further information: Investor Relations,
Email: ir@oilsandsquest.com, Investor Line: 1-877-718-8941

= = = = = = = =

Oilsands Quest Completes Wallace Creek Drilling, Updates Resource Estimate and Continues Strategic Alternatives Process

[ http://www.oilsandsquest.com/pdf/Wallac ... esults.pdf ]

CUSIP# 678046 10 3 NYSE Amex: BQI Page 1 of 8 NEWS RELEASE DATE: May 17, 2011

Calgary, Alberta -- Oilsands Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest," "OQI" or "the Company") today released new independent resource estimates for its Wallace Creek property, which support the Company’s view that Wallace Creek has the potential to support a 30,000 barrel-per-day commercial oil sands project. The estimates were prepared by McDaniel & Associates Consultants Ltd. ("McDaniel"), at the request of Oilsands Quest with an effective date of April 30, 2011.

The independent resource estimates include the results of OQI’s recently completed five-well drilling program at Wallace Creek. The drilling focused on the western side of the Wallace Creek permit, which is adjacent to Cenovus’ Telephone Lake and Grizzly Oil Sands’ Firebag project areas.

Two of the wells drilled encountered significant quantities of bitumen in the McMurray formation to support a 16 per cent increase in the Wallace Creek contingent resource estimates. The previously-announced 11 well winter drilling program was condensed to five wells primarily due to the limited availability of drilling rigs.

"We are confident in the future development potential of Wallace Creek," said Simon Raven, Oilsands Quest Vice-President of Exploration and Development. "Based on the results from this year’s drilling, we continue to believe that this area has the potential to be our second commercial development, following Axe Lake."

In determining the resource estimates, McDaniel has assumed the use of Steam Assisted Gravity Drainage ("SAGD") as the recovery process. SAGD is a well-established technology used extensively to produce oil sands in the region. Oilsands Quest is continuing to advance reservoir testing programs and anticipates that a portion of the resources currently classified as sub-economic contingent and unrecoverable will eventually be reclassified as economic contingent resources. At this time, only a portion of the contingent resources assigned by McDaniel have been sub-classified as economic. Definitions of the resource categories used for the estimates and other technical terms are set out at the end of this news release.

The following evaluation by McDaniel of OQI’s Wallace Creek property is based upon fourteen core holes drilled in the winter drilling seasons of 2010 and 2011.

FULL TEXT:

[ http://www.oilsandsquest.com/pdf/Wallac ... esults.pdf ]
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

More wilderness Sacrificed!!!

Postby Oscar » Fri Jul 15, 2011 7:22 am

More wilderness Sacrificed!!!

----- Original Message -----
From: Elaine Hughes
To: SK Watershed Auth. ; Breitkreuz, G. MP ; Council of Canadians ; Mosset, Kandi ; Gearon, Jihan ; Cobenais, Marty ; Goldtooth, Tom ; SK Party Caucus ; SK Premier Wall
Cc: Cdn. Parks & Wilderness ; Cdn. Wildlife Federation ; Bird Studies Canada ; CIELAP ; Committee for Future Generations ; Cornell University Birds ; David Suzuki Foundation ; Dr. David B. Brooks ; Dr. David Schindler ; Dr. Stuart Houston ; Ducks Unlimited Canada ; Ecojustice ; Ecologist ; Editor Edmonton Journal ; Editor Leader Post ; Editor Star Phoenix ; Editor Western Producer ; Environmental Defence ; Food For All Coalition ; Friends of the Earth ; GlobalResearch.ca ; Greenpeace ; Heifer Int. ; Lake Ontario Waterkeeper ; Layton, J. NDP ; May, Elizabeth GPC ; Mining Watch.ca ; Nature Canada ; Nature Saskatchewan ; Ontario Clean Air Alliance ; Parkland Institute ; Pembina Institute ; Plamondon, Louis BLOC ; Pollution Probe ; Rae, Bob, Liberal ; Safe And Green Energy ; Sask EcoNetwork ; Sask Environmental Society ; Sask. Wildlife Fed. ; SDWF ; Sierra Club Prairie ; SK NDP Caucus ; SK Liberal - Leader - Ryan Bater ; SK Green - Leader - Larissa Shasko

Sent: Friday, July 15, 2011 7:18 AM

Subject: Oilsands Quest receives approval for 15-year leases for Axe Lake lands

This is it!!!

Sacrificing more pristine wilderness . . . . for war machines and automobiles!

.......good-bye to clean water, air, soil, forests, safe and healthy wildlife and people.......

Touching the boundary of the beautiful Clearwater River HERITAGE Park (since 1986) . . .

You know - the ones we're supposed to PROTECT!!!


Map:
http://www.oilsandsquest.com/our_projec ... 1-map.html


Info:
http://forum.stopthehogs.com/phpBB2/viewtopic.php?t=449


Elaine Hughes
Archerwill, SK

= = = = = = = = = =

----- Original Message -----
From: Oilsands Quest Inc.
Sent: Friday, July 15, 2011 6:22 AM
Subject: Oilsands Quest receives approval for 15-year leases for Axe Lake lands

Oilsands Quest receives approval for 15-year leases for Axe Lake lands
CALGARY, July 15, 2011 /CNW/ - Oilsands Quest Inc. (NYSE Amex:BQI) ("OQI" or "the Company").

Oilsands Quest is pleased to announce that it has received approval from the Government of Saskatchewan to convert portions of the Axe Lake permits to 15-year leases. These leases, the first oil sands leases in Saskatchewan, are one of the key elements the Company needs in place to proceed to development of a commercial oil sands production facility.

"These leases mark a key milestone in our path forward," said Garth Wong, Chief Executive Officer of Oilsands Quest. "In the past, some potential investors have expressed concern about the short term permits under which the Axe Lake lands were held. The 15-year leases will give us the certainty of land tenure we need to underpin commercial development at Axe Lake. The Government of Saskatchewan has demonstrated its commitment to oil sands exploration and development, and we appreciate its confidence that Oilsands Quest will be able to deliver on the value of these assets both for our investors and for the people of Saskatchewan."

The two leases, OSA00001 and 0SA00002 will be governed under the terms of the Petroleum and Natural Gas Regulations, 1969 and will expire on March 31, 2027. (Emphasis Added. Ed.)

Please see
http://www.oilsandsquest.com/our_projec ... 1-map.html
to view a map showing Oilsands Quest's land leases and permits.

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.

For further information:
Investor Relations
Email: ir@oilsandsquest.com
Investor Line: 1-877-718-8941
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

. . . . Get 'em while they're hot!

Postby Oscar » Mon Jul 18, 2011 8:23 pm

. . . . Get 'em while they're hot!

----- Original Message -----
From: Elaine Hughes
To: Breitkreuz, G. MP ; SK Premier Wall ; Sask Environmental Society ; Sask EcoNetwork ; Mining Watch.ca ; Mosset, Kandi ; Gearon, Jihan ; Cobenais, Marty ; Goldtooth, Tom ; Council of Canadians
Cc: CIELAP ; Cdn. Wildlife Federation ; Cdn. Parks & Wilderness ; WHO ; SNAP ; SK Tourism ; SK Party Caucus ; SK NDP Caucus ; SK Liberal - Leader - Ryan Bater ; SK Green - Leader - Larissa Shasko ; Sierra Club Prairie ; Sierra Club - Can. ; SDWF ; Sask. Wildlife Fed. ; Safe Communities ; Safe And Green Energy ; S C I C ; Regina EcoLiving ; Rae, Bob, Liberal ; Plamondon, Louis BLOC ; Pembina Institute ; Nature Saskatchewan ; Nature Canada ; May, Elizabeth GPC ; Layton, J. NDP ; Lake Ontario Waterkeeper ; Heifer Int. ; Greenpeace ; Cornell University Birds ; GlobalResearch.ca ; Friends of the Earth ; Environmental Defence ; Ecologist ; Ecojustice ; Ducks Unlimited Canada ; Dr. Stuart Houston ; Dr. David B. Brooks ; Dr. David Schindler ; David Suzuki Foundation
Sent: Monday, July 18, 2011 7:09 PM
Subject: Oilsands Quest Inc. announces $60 million rights offering open to all stockholders to finance its exploration and development plans

= = = = = =

. . . . be part of Saskatchewan's future!

. . . . a chance of a life time to own a piece of Saskatchewan's tarsands!

. . . . . . Cheap at twice the price!!!

. . . . . . Get them while they're hot!!!

. . . . and weep as we watch the destruction of pristine wilderness, clean and precious water, healthy animals and people!

Elaine Hughes
Archerwill, SK

= = = = = = = = = =

Oilsands Quest Inc. announces $60 million rights offering open to all stockholders to finance its exploration and development plans

http://www.oilsandsquest.com/

CALGARY, July 18, 2011 /CNW/ - Oilsands Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest," "OQI" or "the Company"), announced today that the company is launching a rights offering in which all holders of common stock on July 28, 2011 (the "Record Date") may participate on an equal, proportional basis in purchasing additional common shares. Each holder of Oilsands Quest's common stock on the Record Date will receive 0.861 subscription rights per share of common stock held, for a total of 300,000,000 rights. The subscription price per full share of common stock of Oilsands Quest Inc. is $0.20, which is a 40% discount to the closing sale price on July 18, 2011.

The rights offering, if fully subscribed, will raise gross proceeds of approximately $60 million. The net proceeds from the rights offering will be used to operate the planned pilot project at Axe Lake in order to demonstrate that the Axe Lake reservoir can be produced using proven steam-assisted gravity drainage (SAGD) technology, advance the Wallace Creek project through additional delineation programs, continue with the core hole re-abandonment program at Axe Lake and for general corporate purposes.

Holders of exchangeable shares that are exchangeable for shares of common stock will not receive rights for the exchangeable shares, unless such shares have been exchanged for shares of common stock by July 25, 2011. Rights may only be exercised for whole shares; no fractional shares of common stock will be issued in the rights offering. No person may acquire shares in the rights offering such that the person would own more than 19.9% of the then outstanding common shares of Oilsands Quest upon completion of the rights offering, unless such limitation is waived by the Company. The Company expects to mail a rights certificate and a prospectus supplement to each U.S. shareholder and eligible Canadian holders on or about August 1, 2011. Holders resident in the province of Quebec will not be entitled to participate.

The rights will be exercisable for at least 14 days from the date of mailing to shareholders and the rights offering is currently expected to close on August 15, 2011, subject to the Company's right to extend the rights offering period.

Each shareholder has been issued a number of rights sufficient to maintain its current ownership percentage of the Company if it chooses to participate in the rights offering. A shareholder who does not exercise its rights will have its current ownership percentage in Oilsands Quest (but not the actual number of shares of common stock) reduced as a result of the rights offering to the extent other shareholders participate.

Shareholders who exercise their rights in full will be entitled to subscribe for additional shares of common stock, as part of their over-subscription right. In the event that any of the shares are not purchased by other holders of subscription rights under their basic subscription privileges as of the expiration date, the over-subscription right allows rights holders who have exercised their basic subscription rights in full to subscribe for an additional number of shares of common stock on a pro rata basis, subject to the overall ownership limitation.

Shareholders who do not wish to exercise their rights to buy shares of common stock will have the option of selling the rights that they receive from the company through the NYSE Amex, where the rights will trade for at least 10 days, commencing on August 2, 2011. Unless extended, the last trading day for the rights on the NYSE Amex will be August 12, 2011. An application has been submitted to the NYSE Amex to list the shares of common stock issuable upon the exercise of the rights.

Knight Capital Americas, L.P. ("Knight") has been appointed dealer manager for the rights offering in the U.S.

Full details of the rights offering will be disclosed in the prospectus supplement sent to Oilsands Quest shareholders as of the Record Date.

This news release does not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration of qualification under the securities laws of any such state or jurisdiction.

Oilsands Quest has filed a registration statement (including a prospectus) with the SEC for the offering to which this communication relates. Before investing, individuals should read the prospectus in that registration statement, the other documents Oilsands Quest has filed with the SEC, and the prospectus supplement we will file with the SEC for more complete information about us and this rights offering. The documents are available free of charge by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, Georgeson, Inc. will arrange to send you the prospectus if you request it by calling toll-free 1-888-613-9988.

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.

MORE:
http://www.oilsandsquest.com/
Last edited by Oscar on Tue Nov 29, 2011 7:23 pm, edited 1 time in total.
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Oilsands Quest secures up to $12 million in equity financing

Postby Oscar » Mon Oct 17, 2011 11:51 am

Oilsands Quest secures up to $12 million in equity financing

[ http://www.dailymarkets.com/stock/2011/ ... financing/ ]

CUSIP# 678046 10 3 NYSE Amex: BQI

CALGARY, Oct. 17, 2011 /CNW/ - Oilsands Quest Inc. (NYSE Amex: BQI) ("Oilsands Quest," "OQI" or "the Company") has entered into a $12 million securities purchase agreement with Socius CG II, Ltd., a subsidiary of Socius Capital Group ("Socius"). This financing ensures the Company's near-term liquidity while it pursues the planned sale of the Wallace Creek asset, prepares to advance the Axe Lake pilot project, and continues to assess strategic partnerships and longer-term development plans.

"We are pleased to enter into a flexible financing arrangement with Socius Capital, a partner with a proven track record of successful investments," said Oilsands Quest Chief Executive Officer Garth Wong. "This funding enables us to prepare for the pilot project at our core Axe Lake oil sands property, which we believe will prove the asset's commercial recoverability and increase its value."

Under the agreement, Oilsands Quest has the right over a term of two years, subject to certain conditions, to require Socius to purchase up to $12 million of redeemable preferred shares (the "Preferred Shares"), payable in tranches at the election of the Company. The Preferred Shares bear interest at an annual rate of 10%. With each purchase, Socius will receive warrants to purchase shares of the Company's common stock valued at 35% of the Preferred Stock amount. The exercise price of the warrants will equal the closing bid price of the Company's common stock on the preceding day. In addition, Socius will be obligated to exercise an additional investment right to purchase common stock valued at 100 per cent of the amount of the Preferred Stock, at a per share price equal to the exercise price of the warrants associated with the sale of Preferred Stock. Both the warrant and additional investment right are exercised when the Company elects to sell a tranche of Preferred Stock.

Oilsands Quest is also working to finalize the definitive sale agreement for its Wallace Creek asset, as outlined in the Letter of Intent disclosed on September 27, 2011. The total sale price is $60 million, including $40 million of cash. In addition, if the purchaser either sells the acquired assets or develops them, and certain other conditions are met, a $20 million post-closing additional payment will be due. Completing that transaction is subject to a number of terms and conditions, including board approvals, due diligence, financing and approval by OQI shareholders. Oilsands Quest anticipates that a definitive sale agreement will be concluded by the end of October 2011, and now expects that the transaction will close by the end of January 2012.

In response to a notice of non-compliance received by Oilsands Quest from the NYSE Amex LLC ("the Exchange"), the Company has now submitted a plan explaining how OQI intends to return to full compliance with the Exchange's listing requirements. The Company believes that with the Socius financing and the Wallace Creek asset sale, Oilsands Quest will have secured the necessary capital to move ahead on unlocking the value of its substantial in situ oil sands assets. The Company plans to complete the Axe Lake pilot project and to use the resulting reservoir production data to seek a joint venture partner, strategic investor, or purchaser of the asset or the Company.

About Oilsands Quest

Oilsands Quest Inc. (http://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.

MORE:
[ http://www.dailymarkets.com/stock/2011/ ... financing/ ]
Last edited by Oscar on Tue Nov 29, 2011 7:24 pm, edited 1 time in total.
Oscar
Site Admin
 
Posts: 8457
Joined: Wed May 03, 2006 3:23 pm

Next

Return to Oil/Tarsands

Who is online

Users browsing this forum: No registered users and 1 guest

cron