GROUNDSTAR RESOURCES LIMITED
Suite 1650, 717 7th Ave. S.W., Calgary, Alberta, T2P 0Z3
Telephone: (403) 265-2549
Facsimile: (403) 265-2558
NEWS RELEASE
GSA-TSX Venture Exchange
August 17, 2009
GROUNDSTAR RESOURCES ANNOUNCES SPUD OF S. MALAK-1 WELL
Groundstar Resources Limited has been informed by the operator Aminex Petroleum Egypt Limited that the third commitment well on the West Esh El Malaha (WEEM) Block in the Gulf of Suez was spud on Sunday August 16, 2009. The well location is on the South Malak structure, 1.9 kilometers to the southeast of the Malak-1 well drilled in 2008.
There were two possible locations for the last commitment well in this block. Groundstar, with a 20 per cent working interest, proposed drilling a well in the northwest part of the block on a structure mapped by Groundstar's exploration staff. Aminex Petroleum Egypt, with an 80% working interest, elected to drill the S. Malak-1 location. In order to retain it's 20 per cent working interest in the block, Groundstar will participate in the S. Malak-1 drilling at a net cost of approximately US $200,000.
S. Malak-1 will be a vertical well and planned total depth is 9,100 feet, aimed at testing Pre-Miocene sands in the Nukhul, Matulla and Nubian formations, as well as fractured basement. The prospect is a pre-rift fault block structural trap.
Groundstar is a publicly traded Canadian junior oil and gas company actively pursuing exploration opportunities in Guyana, North Africa and the Middle East.
FOR FURTHER INFORMATION CONTACT:
Kam Fard
President & CEO
(403) 265-2549
kfard@groundstarresources.com
Jason Krueger, CFA
Investor Relations
Telephone: (403) 374-1234
jason@redwood-capital.com
The TSX Venture Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of this release.
