Oilsands Quest Inc.
AMEX : BQI

Oilsands Quest Inc.

November 22, 2006 08:30 ET

Oilsands Quest Announces Drilling Program Ahead of Schedule

CALGARY, ALBERTA--(CCNMatthews - Nov. 22, 2006) - Oilsands Quest Inc. (AMEX:BQI), formerly CanWest Petroleum Corporation, announces that two core drilling rigs are now operating on its oil sands exploration permits in northwest Saskatchewan and a third rig is expected to start drilling tomorrow. Drilling began on November 3 and, as a result of favourable weather conditions, drilling activities are being stepped up. For winter 2006/07, Oilsands Quest has planned an aggressive drilling program of up to 250 core holes.

"We are ahead of schedule, with excellent field conditions resulting from consistent cold weather," said Christopher H. Hopkins, President & Chief Executive Officer of Oilsands Quest, which is undertaking the first major oil sands exploration program in Saskatchewan. "We are delighted that we are able to ramp up activities as a result of favourable weather which of course, for our needs, means continuing cold temperatures."

The winter drilling season in northwest Saskatchewan, typically from November to April, is dependent on cold weather. During the past week, temperatures have been consistently below freezing with average high temperatures of about -8 Celsius (17 Fahrenheit) and lows of about -13 Celsius (-8 Fahrenheit).

The first of eight rigs planned to conduct the company's winter 2006/07 core drilling program began drilling Friday, November 3. The second drilling rig arrived last week and began drilling Friday, November 17. The third rig is expected to commence drilling on Thursday.

To accommodate operations personnel at its permit area, two more camps are scheduled for arrival this winter, one in December and the second in January. As camp facilities and drilling equipment are deployed, drilling operations will continue to accelerate. Oilsands Quest's winter 2006/07 drilling program includes approximately 100 delineation holes in the original discovery area and up to another 150 holes to identify resource leads over a larger area. Oilsands Quest plans to shut down its drilling operations over Christmas and, with continuing favourable conditions, expects its drilling program to be fully operational, at eight rigs, by the end of January.

A public company, Oilsands Quest Inc. is engaged in a variety of projects in the oil and gas industry in Western Canada with an emphasis on oil sands and oil shale exploration.

Forward-Looking Information

Except for statements of historical fact relating to the companies, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements such as the references to Oilsands Quest Inc.'s anticipated drilling program and timing of such programs are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements, which include but are not limited to risks inherent in the oil sands industry, regulatory and economic risks, and risks associated with the company's ability to implement its business plan. There are uncertainties inherent in forward-looking information, including factors beyond Oilsands Quest Inc.'s control, and no assurance can be given that the programs will be completed on time, on budget or at all. Oilsands Quest Inc. undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements.

Cautionary Note

Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: Except for historical information contained herein, the matters discussed in this news release are forward-looking statements that involve risks and uncertainties, including but not limited to economic, competitive, governmental and technological factors affecting the company's operations, markets, products and prices, and including other factors discussed in Oilsands Quest Inc.'s various filings with the Securities and Exchange Commission.

CUSIP# 678046 10 3

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