Alberta Oilsands Inc. announces increase in previously announced bought deal financing to $10,350,100 million

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CALGARY, Oct. 23 /CNW/ - Alberta Oilsands Inc. ("AOS" or the "Company") (AOS - TSXV) is pleased to announce that it has reached an agreement with the syndicate of underwriters led by Canaccord Capital Corporation and including Scotia Capital Inc., Genuity Capital Markets, Raymond James Ltd. and Octagon Capital Corporation (the "Underwriters"), in respect of its bought deal announced on October 21, 2009 to issue, on a bought deal basis, an additional 4,000,000 units. Under the amended terms of the financing, AOS has agreed to issue 12,778,000 common shares on a flow-through basis and 11,500,000 units for aggregate gross proceeds to AOS of $10,350,100, subject to the receipt by AOS of all necessary regulatory approvals.

The terms of the previously announced over-allotment option have not been amended. Closing of the offering is expected to occur on or about November 17, 2009.

The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.