VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 17, 2012) -
NOT FOR DISSEMINATION IN THE US OR TO US WIRE SERVICES
WellStar Energy Corp. (TSX VENTURE:WSE.H)(FRANKFURT:W6V1) (the "Company" or "WellStar"), announces that, further to our news release of September 12, 2012 (the "News Release"), it has completed a private placement of 1,604,167 common shares at a price of $0.15 per common share for total proceeds of $240,625.05 (the "Offering"). The net proceeds of the Offering will be used for general working capital purposes and for costs related to the Transaction described in the News Release. An aggregate total of $12,858.00 in Finder's fees were paid in connection with the Offering.
All securities issued in connection with the Offering will be subject to a four month statutory hold period, expiring on February 18, 2013, in accordance with applicable securities legislation. Closing of the Offering is subject to TSXV acceptance. The Company also announces that Minaz Dhanani has joined the board of directors of the Company effective as of the date of this news release.
ON BEHALF OF THE BOARD
Andrew H. Rees, President and Chief Executive Officer
Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Except as required pursuant to applicable securities laws, the Company will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by the Company.
These securities have not and will not be registered under the United States Securities Act of 1933 or any state securities laws and may not be offered or sold in the United States or to a U.S. Person unless so registered, or an exemption from registration is available to be relied upon. This news release does not constitute an offer of securities for sale in the United States.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.