Mr. Patrick Power reports

ARCTIC STAR ANNOUNCES COMPLETION OF $1.0 MILLION NON-BROKERED PRIVATE PLACEMENT OF UNITS

Arctic Star Exploration Corp. has completed its previously announced non-brokered private placement of units of the company pursuant to which the company sold and issued 14,285,714 units, at seven cents per unit, for approximate gross proceeds of $1-million.

The warrants issued under the private placement are exercisable to purchase 14,285,714 common shares of the company, at 10 cents per share, until July 8, 2024, or earlier subject to an accelerated option clause. Pursuant to the acceleration clause, if the common shares of the company 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 failing which the warrants shall expire as null and void.

An aggregate 228,571 units were sold and issued to a director of the company.

All securities issued in connection with the private placement are subject to a statutory hold period expiring on Nov. 9, 2022, in accordance with applicable securities legislation.

The company intends to use the net proceeds from the private placement to carry out exploration on its Diagras joint venture (81.5 per cent held by Arctic Star) and for general and corporate purposes.

About Arctic Star Exploration Corp.

Arctic Star is predominantly a diamond explorer, recently discovering six new kimberlites in the prolific Lac De Gras kimberlite field that supports two multibillion-dollar kimberlite mining complexes. The company also has a 958-hectare exploration permit containing several diamond-bearing kimberlites on its Timantti project, Kuusamo, Finland. Arctic Star has optioned its Stein diamond project in Nunavut to GGL Diamond, which plans to work once COVID restrictions lift. The company continues to look for appropriate diamond opportunities elsewhere.

The Diagras project is a joint venture between Arctic Star (currently 81.5 per cent) and Margaret Lake Diamonds Inc. (currently 18.5 per cent).

We seek Safe Harbor.