Mr. Eugene Chen reports

BLACKSTEEL ENERGY INC. ANNOUNCES TERMINATION OF PROPOSED TRANSACTION TO ACQUIRE OILFIELD SERVICES COMPANIES

Blacksteel Energy Inc.'s proposed transaction to acquire Alcan Fluid Disposal Ltd., Peace Drilling and Research Ltd., and Integrated Resource Technologies Ltd. has been terminated.

As a result of current conditions in the capital markets, the corporation was unable to obtain the minimum financing required under the terms of the proposed transaction as outlined in its press releases of Sept. 4, 2014, and Sept. 30, 2014.

The corporation continues to look for opportunities to create shareholder value.

We seek Safe Harbor.