SEC Form 4

FORM 4		UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934 or Section 30(h) of the Investment Company Act of 1940	OMB APPROVAL OMB Number: 3235-0287 Estimated average burden hours per response: 0.5
	Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

1. Name and Address of Reporting Person* Thompson William Scott (Last) (First) (Middle) 205-707,7TH AVENUE SW (Street) CALGARY A0 T2P 3H6 (City) (State) (Zip)	2. Issuer Name and Ticker or Trading Symbol Oilsands Quest Inc [ BQI ]	5. Relationship of Reporting Person(s) to Issuer (Check all applicable) X Director 10% Owner Officer (give title below) Other (specify below)
	3. Date of Earliest Transaction (Month/Day/Year) 01/04/2008
	4. If Amendment, Date of Original Filed (Month/Day/Year)	6. Individual or Joint/Group Filing (Check Applicable Line) X Form filed by One Reporting Person Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
			Code	V	Amount	(A) or (D)	Price
Common Stock	01/04/2008		S		54,036	D	$4.21	445,964	I	By the WLT Reification Trust for the Benefit of W. Scott Thompson

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Exchangeable Shares(1)(2)	$0							08/14/2006	08/14/2013	Common Stock	2,057,500		2,057,500	D
Stock Options(3)	$5.05							08/23/2006	08/23/2011	Common Stock	100,000		100,000	D
Stock Options(4)	$5.05							08/23/2006	08/23/2011	Common Stock	100,000		100,000	D
Stock Options(5)	$4.27							08/01/2007	08/01/2012	Common Stock	150,000		150,000	D

Explanation of Responses:

1. Exchangeable Shares were issued by Oilsands Quest, Inc., a subsidiary of the Company, pursuant to that certain Reorganization Agreement between the Company and OQI. Each Exchangeable Share is convertible into one share of the Company's Common Stock pursuant to the Voting and Exchange Trust Agreement entered into between the Company and OQI on August 14, 2006. This transaction is exempt from 16(b) reporting requirements pursuant to Rule 16b-3(d).

2. Includes vested options to acquire 2,057,500 Exchangeable Shares of which 823,000 expire on August 1, 2010, 823,000 expire on December 15, 2010, and 411,500 expire on May 1, 2011. The Exchangeable Shares expire on August 14, 2013.

3. Mr. Thompson was granted 100,000 options pursuant to the Company's 2006 Stock Option Plan on August 23, 2006. The options vest 25% immediately and 25% each year for three years after the date of grant (August 23, 2007, August 23, 2008, and August 23, 2009). This transaction is exempt from 16(b) reporting requirements pursuant to Rule 16b-3(d).

4. Mr. Thompson was granted 100,000 options pursuant to the Company's 2006 Stock Option Plan on August 23, 2006. The options vest either (i) 25% upon a 750 million barrel count (defined as NI-51-101 high side resource estimate of bitumen in place), 50% upon a 1 billion barrel count, 75% upon a 1.25 billion barrel count, and 100% upon a 1.5 billion barrel count; or (ii) 100% vesting upon a merger, acquisition or sale not approved by the Company's Board of Directors. This transaction is exempt from 16(b) reporting requirements pursuant to Rule 16b-3(d).

5. Mr. Thompson was granted 150,000 options pursuant to the Company's 2006 Stock Option Plan on August 1, 2007. The options vest either (i); 25% immediately and 25% each year for three years after the date of grant (August 1, 2008, August 1, 2009, and August 1, 2010) or (ii) 100% vesting upon a merger, acquisition or sale not approved by the Company's Board of Directors. This transaction is exempt from Section 16(b) pursuant to Rule 16b-3(d).

	/s/ William Scott Thompson	01/08/2008
	** Signature of Reporting Person	Date
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