(via Thenewswire.ca)

August 3, 2012 - VANCOUVER, Canada - Urastar Gold Corp. ("Urastar" or the "Company") (TSX-V:URS) (FSE: 3U3) (OTCQX: URNRF) is pleased to announce that it is exploring strategic alternatives available to the Company, including a potential sale. The Board of Directors intends to consider the full range of available options. Also, the Company is pleased to announce that it has engaged the services of Dahlman Rose & Company, LLC ("Dahlman Rose") of New York, as its exclusive financial advisor to assist in the evaluation of these options. Dahlman Rose will be receiving an agreed to fee upon successful completion of a transaction. Adrian Robertson, Chief Executive Officer, said, "We are very pleased to be working with Dahlman Rose, a world class metals and mining investment bank, and are looking forward to the range of opportunities that may become available to us."

There can be no assurance that any specific transaction regarding the Company or its assets will be pursued or completed. The Company does not intend to disclose developments with respect to the progress of its strategic alternative review process until such time as the Board of Directors approves or completes a transaction(s) or otherwise deems further disclosure appropriate.

About Urastar Gold Corp.

Urastar Gold Corp is a mining exploration and development company focusing on gold exploration in Sonora, Mexico and Nevada, USA targeting areas containing former producing properties.

For further information, please contact:

Contacts:

Adrian Robertson, President & CEO Tel: 604-682-2928 Matthew Harrington, Investor Relations ir@urastarenergy.com Tel: 613-882-7467

THIS NEWS RELEASE WAS PREPARED BY MANAGEMENT WHO TAKES FULL RESPONSIBILITY FOR ITS CONTENTS. THE TSX-VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

This news release includes certain statements that express management's expectation or estimates of future performance and may be deemed "forward-looking statements". These forward-looking statements include plans, estimates, forecasts and statements as to management's expectations regarding exploration. These forward-looking statements involve assumptions, risks and uncertainties and actual results may vary materially. For these reasons shareholders should not place undue reliance on such forward-looking information.

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