OT PEP - big Sask news just out - Bakken oilarea is red hot
Headline: Additional Bakken Oil Play in SE Saskatchewan
Symbol: PEP
VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 5, 2008) - Petrostar Petroleum Corporation (TSX VENTURE:PEP)(FRANKFURT:LMQ); "Petrostar" or the "Company") announces that Leaf & Stone Resonance Services Ltd. (L&SRS) of Saskatoon, SK is acquiring additional freehold lands in SE Saskatchewan. The anomalies on these sections appear to be sizeable and are considered high probability targets. Oil (40 degrees API) has been recovered in the immediate area and the Company intends to target two oil bearing zones; the Frobisher at a depth of approximately 500m and the Bakken at a depth of 1,100m - 1,400m. Petrostar is finalizing an agreement to participate on these leaseholds on the same terms and conditions as previously announced.
The acquisitions are located in the SE Saskatchewan extension of the prolific Bakken oil play that covers Southern Alberta, Saskatchewan, Manitoba and Montana & North Dakota in the USA. The estimates of the oil reserves in the US geographical area alone exceed 40 Billion barrels of oil and the Canadian reserves may also contain similar estimates. The parties will continue to locate and acquire additional lands within the general area of the Bakken play.
The Company also has completed and received acceptance by the TSX Venture Exchange of a non-brokered private placement, 2,182,000 units (the "Units") of the Company at a price of $0.20 per Unit for a total of $436,500. The private placement shares issued thereunder will be subject to a 4-month hold period.