WorldStar Energy, Corp.
OTC Bulletin Board : WSTR

March 27, 2006 15:56 ET

WorldStar Announces Suspension of Methanol Venture

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 27, 2006) - WorldStar Energy, Corp. (OTCBB:WSTR) ("the Company") announces that, further to its news release of November 22, 2005, it will not be making further investments in connection with the proposed Indonesian methanol plant and the private British Columbia Company, WorldStar Energy, Corp. ("WEC"). Arrangements for the Company to issue shares to satisfy subscriptions of European investors in WEC will proceed in the near future. This is due to a lack of local financial support for the project and an inability of the Company itself to raise sufficient capital for it to be a viable venture.

The Company is currently reviewing other opportunities to build shareholder value and expects to be able to announce those developments in the near future. The Company will complete of the purchase of WEC on a registration exempt basis instead of the shareholder approved merger basis previously announced. Upon completion of the share exchange the aggregate invested capital raised and expended in connection with the methanol project will be under $3 million. Further information concerning these exchange arrangements will be sent to WEC shareholders shortly.

Forward-Looking Statements:

The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statements made on behalf of the Company. All such forward-looking statements are, by necessity, only statements of intentions or desired outcomes. Actual events and results achieved by the Company may differ materially from these statements due to a number of factors. Statements made in this document that are not purely historical are forward-looking statements. Risk factors that may cause results to differ from expectations include the inability of the Company to secure funding on acceptable terms or any terms at all, the inability to complete the acquisition of WEC as a consequence of WEC shareholders' approval or other legal requirements, the inability to secure processing assets or sources of natural gas, and the loss of key executives. The Company assumes no obligations to update these forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting such statements.

Contact Information

  • WorldStar Energy, Corp.
    Michael Kinley
    (604) 434-5256
    (604) 434-5488 (FAX)