CALGARY – April 30, 2009 - Alberta Oilsands Inc. ("Alberta Oilsands" or the "Company") (TSXV:

AOS) is pleased to announce that it has filed its financial statements and management's

discussion and analysis for the year ended December 31, 2008. The Company has also filed its

reports regarding its reserve data and other oil and natural gas information as mandated by

National Instrument 51-101. The above referenced documents, together with the letter to

shareholders are available for viewing on SEDAR at

•

•

•

•

•

•

•

•

•

•

•

•

•

Due to market and economic conditions, Alberta Oilsands is currently focusing all of its oil sands

development efforts on its Clearwater West project, which is at the most advanced stage of

development. All other oil sands activities have been deferred until the economic environment

improves. When conditions warrant additional exploration and development, Alberta Oilsands will

be able to take advantage of its depth of opportunities on 140.5 sections (121.5 net) of Alberta's

Athabasca oil sands fairway. These opportunities include three potential project areas at

Clearwater, one joint project at Hangingstone, one prospect at Algar Lake and one prospect at

Grand Rapids.

By focusing its attention on Clearwater West at the end of 2008, Alberta Oilsands has been able

to make significant progress on its path to production in the oil sands. By the end of January

2009, the Company had commenced its arrangements for water sourcing and water disposal. By

the end of February 2009, the Company had received the initial results of its cap rock study.

Additional results are expected in May 2009. The initial cap rock results were encouraging.

As a result of coring activity in the 2007/2008 winter coring program, Ryder Scott Company of

Canada, an independent petroleum consulting firm, has assigned 320 million barrels of

contingent resources to a portion of Alberta Oilsands' Clearwater parcel in a resource report

dated June 1, 2008. With an additional 16 core holes drilled during the fall of 2008 and the winter

of 2009, the Clearwater West project area was adequately delineated by the end of the first

quarter of 2009 to provide the necessary data for the pilot project application, which is expected

to be submitted in 2009.

The Company undertook a cap rock study during the fall/winter coring season. The study

included ERT, in-situ mini FRAC and elevated temperature intrusion permeability testing. The

results exceeded all cap rock regulatory integrity requirements. The ERT (Electro Resistivity

Tomography) confirmed the lateral continuity of the cap rock validating the applicability of the use

of SAGD recovery methodology for the Clearwater West project. In addition, two water source

and disposal zones respectively were identified.

Alberta Oilsands has commissioned a resource report from Ryder Scott Company to reflect the

Company's delineation drilling activities in the fall of 2008 and 2009. The results of this report are

expected to be available by May 2009.

Alberta Oilsands commissioned two reports from Ryder Scott at the completion of the Company's

March 2008 drilling program and core analysis at Clearwater; a resource assessment update and

a net present value (NPV) cash flow evaluation of the potential conventional SAGD projects for

these resources. These reports were completed in July 2008, prior to the Company's delineation

drilling in the fall of 2008 and into 2009. An excerpt of these reports follows.

Ryder Scott presented Alberta Oilsands with a National Instrument 51-101 compliant independent

resource report in July 2008 dated June 1, 2008. The report attributed an estimated contingent

(recoverable) resource of 320 million barrels over five sections. This represents a 59% increase

from the 2007 report. The following table summarizes the contingent (recoverable) resources

assignment history at the Fort McMurray Clearwater properties.

------------------------------------...

Estimated

Contingent

Resources

Independent Contingent Resource Assignments Volume

million

barrels

------------------------------------...

Total Contingent Resources October 2007 (pre drill results) 201.0

------------------------------------...

Additional Assignment March 2008 (pre drill results) 15.0

------------------------------------...

Total Contingent Resources March 2008 (pre drill results) 216.0

------------------------------------...

------------------------------------...

Additional Assignment June 2008 (post drill results) 104.0

------------------------------------...

Total Contingent Resources, June 2008 320.0

------------------------------------...

On July 10, 2008, the Company released the Ryder Scott net present value (NPV) cash flow

evaluation report and memorandum for two separate potential 10,000 barrels per day SAGD

projects in Alberta Oilsands' Fort McMurray Clearwater West and Clearwater East project areas.

The report, with an effective date of July 1, 2008, was prepared in accordance with the Canadian

Oil and Gas Evaluation Handbook (the COGE Handbook) and estimates the unrisked total before

income tax net present value discounted at 10% (BFIT NPV10) at approximately $635 million:

NPV10 at approximately $328 million for Clearwater West and NPV10 at approximately $308

million for Clearwater East. This scoping valuation is based on preliminary cost and timing

estimates, provided by a third party engineering firm, along with the contingent resources

assigned to the Clearwater West and East areas as announced in the Company's news release

on July 2, 2008 and an assumed WTI oil price of US$80 per barrel.

The Company has obtained a net present value update with a US$55 WTI price which estimates

the unrisked total, before tax, at NPV10 of Alberta Oilsands' Clearwater East and West projects at

$464 million, therefore the Company believes that, based on certain assumptions and conditions,

its projects continue to be economically viable. See "Oilsands Development Risks" in the MD&A.

Excerpts of the valuation results for Alberta Oilsands' Clearwater West and Clearwater East

potential 10,000 bpd SAGD Projects over three constant price scenarios are shown below with

the respective bitumen volumes:

Fort McMurray Clearwater West Project Scoping Economics

Net Present Value of

Future Net Revenue

(Before Income Tax)

Gross at Constant Price

Bitumen US/Cdn WTI Bitumen ----------------------------

Volume Exchange Price Blend 8% 10% 12%

(MMB) Rate (US$/Bbl) (Cdn$/Bbl) (Cdn$MM) (Cdn$MM) (Cdn$MM)

------------------------------------...

91.0 0.82 $55.00 $47.73 $347 $237 $157

91.0 0.95 $80.00 $51.72 $464 $328 $230

91.0 1.00 $100.00 $58.89 $536 $386 $276

Fort McMurray Clearwater East Project Scoping Economics

Net Present Value of

Future Net Revenue

(Before Income Tax)

Gross at Constant Price

Bitumen US/Cdn WTI Bitumen ----------------------------

Volume Exchange Price Blend 8% 10% 12%

(MMB) Rate (US$/Bbl) (Cdn$/Bbl) (Cdn$MM) (Cdn$MM) (Cdn$MM)

------------------------------------...

78.2 0.82 $55.00 $47.73 $319 $227 $148

78.2 0.95 $80.00 $51.72 $429 $308 $218

78.2 1.00 $100.00 $58.89 $498 $364 $263

Notes: Assumptions include: peak production rate at 10,000 bpd and end of

life decline at 30% until economic limit is reached. Bitumen Blend refers

to realized bitumen price of a marketable mixture of bitumen and diluents

(condensate) that is roughly equivalent to a Lloydminster heavy oil

blend. Sustaining and operating costs of $8.61/bbl of bitumen were used.

The proposed new Alberta royalty regime and anticipated Federal green

house gas levy were also used.

Alberta Oilsands uses cash flow from its growing base of conventional production to assist in

funding general and administrative expenses. In addition to producing an average of 61 boe per

day ("boe" or barrels of oil equivalent) of conventional production in Alberta during 2008, Alberta

Oilsands entered into a significant conventional farm-in agreement in the first quarter of 2009

related to properties in northwest and central Alberta. Pursuing conventional exploration plays

allows Alberta Oilsands to prudently invest capital raised through the sale of flow-through shares

in 2008, providing access to incremental production and consequently funding until markets

return to normal.

As part of the farm-in agreement, AOS successfully completed a significant Slave Point

exploration discovery well at Hamburg in northwest Alberta. The Company has a 50% working

interest in the well, and testing in the pipeline started on April 1, 2009 with the well tied into the

local gathering system. The well was placed on production at rates averaging 833 (416 net) boe

per day. All produced gas and associated liquids are being processed and sold. This well is

expected to pay the reduced 5% royalty for its first 500 mmcf of production.

Annual Operating Highlights

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

2008 2007

------------------------------------...

------------------------------------...

Petroleum and natural gas sales ($) 2,032,513 2,980,974

Petroleum & natural gas sales per boe ($) 91.39 67.08

Daily sales volumes (boe 6:1) 61 122

Net loss for the period ($) (4,734,313) (2,754,755)

Net loss per share - basic and diluted ($) (0.07) (0.06)

Cash flow used in operations ($) (1,257,504) (581,763)

Capital expenditures ($) 15,623,603 20,221,545

Working capital as at December 31 14,560,866 7,664,662

Common shares outstanding as at December 31 79,651,375 53,542,098

Alberta Oilsands continues to believe in the future viability of the oil sands in Alberta. The

Company believes the oil sands are viable in the medium and long-term thanks to operating

leverage and technological advances that reduce environmental impact, the province's proximity

to the United States and the global supply-demand equation. Alberta Oilsands is well positioned

to tap into this future because of the characteristics of its proposed in-situ SAGD method of

bitumen extraction. Alberta Oilsands' SAGD operation at Clearwater West would be close to

infrastructure, allow for low injection pressure, have no bottom water, would have a deep water

source and a water disposal zone and competent cap rock.

Alberta Oilsands has a healthy balance sheet. The Company raised $23.5 million from January to

August 2008, allowing the Company to end the year on December 31, 2008 with $19.0 million in

the bank and no debt.

The Company's focus for 2009 is to submit a pilot project application for its Clearwater West

property. The Company believes it has sufficient working capital and revenue from conventional

production to complete the requirements for the pilot project application. The construction of the

pilot project will be dependent on the availability of capital and commodity prices. The Company

expects the global downturn to be felt for some time; however, expects healthier financial markets

and commodity prices in 2010, allowing for continued exploration and development of the oil

sands.

Alberta Oilsands continues to evaluate multiple approaches to finance its capital expenditures.

The preference is to proceed with projects on a 100% working interest basis, provided the capital

markets recognize the value of the assets and facilities and are conducive to the raising of project

capital at non-dilutive levels. The Company is also seeking industry and financial partners as

additional sources of funding to mitigate this risk.

Although the Company is confident in its financial strength, management has also taken steps to

lower its risk during the global financial downturn. The Company has reduced its capital program

to defer or reduce spending on exploratory projects and to focus on the projects that will get the

Company to initial oil sands production as soon as possible. In January 2009, Alberta Oilsands'

2009 capital budget has been reduced to $11.0 million, $6.0 million of which is allocated towards

the Company's oil sands assets, mostly in the Clearwater area and $5.0 million is allocated to

exploration and development of conventional opportunities. This reduced capital budget will

nevertheless still enable the Company to incur the required qualifying expenditures from the 2008

flow-through financings by December 31, 2009. The capital budget may be adjusted as

conventional opportunities arise and fiscal environment changes.

Management believes capital management, revenue from conventional production and the depth

of opportunity on its current assets all provide the Company with a strong outlook for the future.

The Company will file its annual management's discussion and analysis and audited consolidated

financial statements and notes thereto as at and for the year ended December 31, 2008 in

accordance with National Instrument 51-102 - Continuous Disclosure Obligations adopted by the

Canadian securities regulatory authorities. Additional information about the Company, including

the audited consolidated financial statements and notes thereto and management's discussion

and analysis as at and for the year ended December 31, 2008, are available on the Company's

SEDAR profile at

Alberta Oilsands Inc., Suite 2800, 350 - 7