Although the current Toad supports Excel 2007 files which allows more than 256 columns, when using the Data Grid | Save option to export a table with over 256 columns and entering .XLSX file as the Output file, Toad still errors out to:
"Excel allows a maximum of 256 columns and your dataset has xxx. Aborting"
Toad is not recognizing the .XLSX file type which is a 2007 Excel file, and hence, should allow the export. Also, in the Browse option of Output file, only .XLS file type is available in the list of Excel files.
WORKAROUND:
Save the file as Delimited Text file and select the TAB delimiter character. Open the text file in Excel 2007.
STATUS:
Enhancement request ER 33954 has been submitted to Development for consideration in a future release of Toad for Oracle.