Mr. Dusan Berka reports

MEGASTAR DEVELOPMENT CORPORATION: RESULTS OF ANNUAL GENERAL MEETING

Shareholders at Megastar Development Corp.'s annual general meeting (AGM) held on Nov. 29, 2012, re-elected Dusan Berka and Chris Staargaard as directors of the company for the upcoming year. Two new directors, Paul A. Smith of Bristol, United Kingdom, and Jonathan M. Rich of Montreal, Que., were also elected at the AGM. All other resolutions submitted by management to the shareholders for consideration were approved as presented, including the approval, subject to acceptance by the TSX Venture Exchange, of the company's rolling 10-per-cent stock option plan. Shareholders also approved the reappointment of BDO Canada LLP, chartered accountants, as auditor for the ensuing year and authorized the directors to fix their remuneration.

Long-time-serving company director and former chief financial officer Gary Musil has retired from the board. "The board of directors wishes to express sincere thanks to Mr. Musil for his many contributions to the company over the years, and wishes him good health and continued success in all of his endeavours," said Mr. Berka, president and chief executive officer. Andrew Lee opted not to stand for re-election as a company director in order to focus on his other business interests. "We are also grateful to Andrew for his years of valuable and loyal service as director and vice-president of the company, and wish him nothing but the best in all his endeavours," said Mr. Berka.

At the directors meeting following the AGM, Mr. Berka was re-elected as the company's president and chief executive officer and Zara Kanji-Aquino as chief financial officer. Audit committee members for the ensuing year are Mr. Staargaard, Mr. Smith and Mr. Rich.

The company welcomes Mr. Smith and Mr. Rich to its board, where their extensive expertise in the mining industry and financial management will help move the company forward. After graduating from Oxford University with a master in metallurgy and the science of materials, Mr. Smith spent most of his career in the non-ferrous mining and smelting industry. After a 20-year distinguished career with Rio Tinto Zinc group of companies and eight years with Pechiney World Trade, Mr. Smith was a founding shareholder and finance director of Ocean Partners Holdings Ltd., a global trader of copper, zinc and lead raw materials. He left Ocean Partners in May, 2012, to pursue other investment opportunities and charitable activities. Mr. Rich is a chartered accountant and has held senior management and consultancy positions in various industries within the public and private sector. His experience is with helping companies execute their growth strategies through partnerships and acquisitions. Mr. Rich has a bachelor of commerce degree from McGill University and belongs to the Order of Chartered Professional Accountants of Quebec (formerly the Quebec Order of Chartered Accountants).

Mr. Berka, president and chief executive officer, stated: "We are very pleased to have attracted quality and experienced professionals like Paul and Jonathan to the board. Their management, technical, financial and business skills, combined with background and experience with mining projects in many different countries, will be a great asset to the company as it accelerates seeking and evaluating advance-stage projects for acquisition. With added bench strength, a healthy treasury of approximately $1.15-million cash plus marketable securities and no debt, it makes Megastar well positioned to increase shareholder value and take the company to the next level."