Mr. Mackenzie Loree reports

LOMAC CANADA LTD COMPLETES PHASE I TURN AROUND

Petrostar Petroleum Corp.'s wholly owned subsidiary Lomac Canada Ltd. has completed its phase I work program at the company's tank farm and warehouse facility located in Aldersyde, Alta. The company's phase I operations included piping, emergency shutdowns, filtration units, and segregated containment and liner systems for a stand-alone subunit in the tank farm. With the completion of this operation, Lomac can operate its methanol and specialty chemical operations while conducting phase II and III work on the remainder of the facility. Completion of the work program was a necessary preparation in conjunction with the company's distribution operations.

We seek Safe Harbor.