Alberta Oilsands Shareholders-Take No Action

TORONTO, ONTARIO--(Marketwire - May 31, 2012) - Yesterday, management of Alberta Oilsands Inc. ("AOS") filed its management information circular seeking shareholder support for the annual and special meeting of AOS scheduled for June 28, 2012.

A group of concerned, long-term AOS shareholders (the "Concerned Shareholders"), including those who, on April 19, 2012, requisitioned a meeting to change the board of directors of AOS, ask fellow shareholders to TAKE NO ACTION until having the benefit of receiving and reviewing the Concerned Shareholders' Plan of Action to increase shareholder value.

The Concerned Shareholders believe that AOS is undervalued, underperforming and managed without appropriate attention to the interests of shareholders. This has resulted in ineffective management and a failure to unlock clear areas of value within AOS' asset suite.

The Concerned Shareholders intend to bring strong change based on areas to be identified which the Concerned Shareholders believe will quickly lead to enhancement of the share price. These will be detailed in the Concerned Shareholders' plan, to be circulated in the coming days.

It should be noted that, collectively, six of the current directors own, directly or indirectly, approximately 0.7% of the outstanding AOS shares, and the seventh, longest-serving non-executive director owns approximately 1.3% of the outstanding AOS shares. Thus, the current directors of AOS are not as incentivized as the Concerned Shareholders in seeing meaningful share price appreciation in the short, medium and long-term. There is little to no alignment of interests between shareholders and the current board of AOS.

To that end, the Concerned Shareholders will be proposing a slate of highly-qualified directors to replace the incumbent group under whom shareholders have witnessed a significant deterioration of value, while watching AOS' peer group prosper. The Concerned Shareholders believe a reconstitution of the AOS board is a necessary first step in unlocking shareholder value.

TAKE NO ACTION - the Concerned Shareholders intend to file a proxy circular containing background information with respect to the Concerned Shareholders' director nominees for the board of AOS as well as detailed reasons in support of the Concerned Shareholders' position, well in advance of the meeting. In this regard the Concerned Shareholders have retained Norton Rose Canada LLP through its Toronto office as well as Phoenix Advisory Partners (Toronto). This news release does not constitute a solicitation of proxies.