Mr. Patrick Power reports

ARCTIC STAR ANNOUNCES CLOSING OF NON-BROKERED PRIVATE PLACEMENT OF UNITS

Arctic Star Exploration Corp. has completed its previously announced non-brokered private placement described in its news release dated Dec. 13, 2021. Pursuant to the private placement, the company has issued an aggregate of 9,479,286 units of the company at a price of seven cents per unit for gross proceeds of $663,550. Each unit consists of one common share in the capital of the company and one non-transferable share purchase warrant. Each warrant entitles the holder to purchase one additional share in the capital of the company at an exercise price of 10 cents for a period of 24 months from the closing date.

The warrants contain an accelerated option clause, which states that if the shares close at or above 30 cents for five consecutive trading days on the TSX Venture Exchange, then the warrants must be exercised within a 60-day period by the warrantholders or the warrants shall expire as null and void.

The company intends to use the proceeds from the private placement for helicopter-borne magnetic and frequency-domain electromagnetic surveys on the Diagras diamond project.

The securities issued under the private placement, and the shares that may be issuable upon the exercise of the warrants, are subject to a statutory hold period expiring on April 24, 2022.

We seek Safe Harbor.