Systematic experiments in $CH_4/Air$ counterflow diffusion flames diluted with He have been undertaken to study the oscillatory instability in which lateral flame size was less than burner nozzle diameter and thus lateral heat loss could be remarkable at low global strain rate. The oscillatory instability arises for Lewis numbers greater than unity and occurs near extinction condition. The oscillation is the direct outcome from the advancing and retreating edge flame. The dynamic behaviors of extinction in this configuration can be classified into three modes; growing, harmonic and decaying oscillation mode near extinction. As the global strain rate decreases, the amplitude of the oscillation becomes larger. This is caused by the increase of lateral heat loss which can be confirmed by the reduction of lateral flame size. Oscillatory edge flame instabilities at low global strain rate are shown to be closely associated with not only Lewis number but also heat loss (radiation and lateral heat loss).