WellStar Energy Corp.

WellStar Energy Corp.

March 22, 2006 11:28 ET

WellStar Energy Corp.: Production Commences at Virgo Zama

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 22, 2006) - The Board of Directors of WellStar Energy Corp. (TSX VENTURE:WST) wishes to announce the production achieved on its first well 13-22-114-6 W6M in northwestern Alberta at its Virgo, Alberta project to the end of February 2006.

The 13-22 well was re-entered and successfully completed in the Keg River Formation (see News Release 05-08, Oct. 6, 2005). Since then a production battery with the design capability of 2000 b/d of fluid has been constructed at the well. Based on information provided by Warburg Resources Inc. (the operator), production which commenced on January 17, 2006 has flowed as follows:

January - Hours on 217
Gross Production: 281.6 m3 of Oil (1771.3 Barrels)
Net Production to WellStar Energy Corp. 140.8 m3 of Oil (885.6 Barrels)

February - Hours on 407
Gross Production: 353.0 m3 of Oil (2220.4 Barrels)
Net Production to WellStar Energy Corp. 176.5 m3 of oil (1110.2 Barrels)

Gross Cumulative Production to-date: 634.6 m3 of Oil (3991.6 Barrels)
Net Cumulative Production to-date
to WellStar Energy Corp. 317.3 m3 of Oil (1995.8 Barrels)

Subject to the acceptance of the TSX Venture Exchange approval WellStar has been granted the right to earn a 50% interest Before Pay Out ("BPO") and a 32.5% interest After Pay Out ("APO") in three properties, and a 45% and 30% interest in the fourth property subject to Crown and farmor royalties ranging from 5% to 22.5%. The participation cost for these interests is 50% of the estimated costs to re-enter, and/or drill and case four Keg River wells.

The Virgo-Zama area has been a prolific producer of oil and gas from Devonian Keg River reefs. The four prospects are all defined by 3D seismic and all proposed wells offset former producers in existing pools.

On behalf of the Board of Directors,

Andrew H. Rees, President, CEO

This News Release contains forward-looking statements regarding the timing and content of upcoming programs. Actual results may differ materially from those currently anticipated in such statements.

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) 682-3737
    (604) 629-0688 (FAX) (FAX)
    Website: www.wellstarenergy.com