Mr. Andrew Rees reports

WELLSTAR ENERGY ANNOUNCES CLOSING OF ACQUISITION OF OIL & GAS ASSETS

Wellstar Energy Corp., further to its news releases of Sept. 10, 2014, and Feb. 5, 2015, has successfully closed the previously announced acquisition of Nexxtep Resources Ltd. from an arm's-length vendor. Nexxtep will operate as a wholly owned subsidiary of the company.

Andrew Rees, chief executive officer, stated: "We are excited to have closed this acquisition which will allow Wellstar to move forward as an operator with oil and gas production in Saskatchewan and Alberta. News will be forthcoming as the company continues the current development work Nexxtep has under way."

The assets consist of operated working interests producing approximately 62 net barrels of oil equivalent per day from approximately 6,000 net acres in Saskatchewan and Alberta. This includes 3,500 net acres in Saskatchewan prospective for the Bakken formation, with current production from three wells in the Red River and Winnipeg sand formations. The assets also include facilities consisting of a salt water disposal well, five 1,000-barrel oil storage tanks and a freshwater source well.

The company acquired the assets in consideration for cash payments of $1.6-million (subject to adjustment in certain circumstances), including $200,000 which was paid at closing, and the issuance by the company of four million warrants. The balance of the cash payment, being $1.4-million, is payable by monthly instalments of $10,000 plus applicable interest beginning on March 1, 2015. In addition, the company is obligated to pay 20 per cent of the gross proceeds of any future securities offering to the vendors until the deferred payment has been fully satisfied.

Each acquisition warrant will entitle the vendor to purchase one common share at an exercise price of five cents until Feb. 17, 2019. Pursuant to applicable securities laws, the acquisition warrants and underlying securities are subject to a hold period which expires June 18, 2015.

We seek Safe Harbor.