WellStar Energy Corp.

WellStar Energy Corp.

August 15, 2008 09:55 ET

WellStar Energy Announces Closing of Private Placement Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 15, 2008) - WellStar Energy Corp. (WST) (TSX VENTURE:WST)(FRANKFURT:W6V) (the "Company") is pleased to announce that it has completed the non-brokered private placement (the "Financing") announced on June 20, 2008, and has raised gross proceeds of $120,000.

Under the terms of the Financing, the Company issued 2,400,000 units (the "Units") at a price of $0.05 per Unit. Each Unit consisted of one (1) common share (the "Shares") and one (1) share purchase warrant (the "Warrants"). Each Warrant is non-transferable and will entitle the holder to purchase one additional common share at a price of $0.10 per share until August 13, 2010. The Shares bear hold restrictions against resale or transfer until December 14, 2008.

The Company will use the net proceeds from the sale of the Units for general working capital requirements.

On Behalf of the Board of Directors,

Andrew H. Rees, President, CEO

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release, which was prepared by management.

Contact Information

  • WellStar Energy Corp.
    Andrew H. Rees
    President, CEO
    (604) 669-6463
    (604) 669-3041 (FAX)
    Website: www.wellstarenergy.com