Alberta Star Completes Brokered Private Placement.

VANCOUVER, British Columbia -- Further to its news release dated September 24, 2004 concerning its brokered private placement, Alberta Star (OTCBB:ASXSF) (TSX VENTURE:ASX) is pleased to announce that it has completed the second and final tranche of the financing consisting of the sale of 3,797,000 units at $0.27 for gross proceeds of $1,025,190. Each unit consists of one flow-through common share and one half of one share purchase warrant. Each full warrant entitles the holder to acquire an additional common share of the Company for $0.40 for a period of 18 months.

In connection with the completion of the offering, the Company has paid the agent, Pacific International Securities Inc., commission of $45,251 and 136,163 units at a deemed price of $0.27 each. These units are identical to those purchased in the offering, with the exception that they do not qualify for flow-through tax treatment. Alberta Star has also issued 569,550 broker's options whereby the holders may purchase up to 569,550 common shares in the capital of the Company at $0.36 each for a period of 18 months. All securities issued in this financing are subject to a four-month hold period ending February 20, 2005.

The funds raised will be used for exploration expenditures in Canada that qualify as Canadian exploration expenses as defined in the Income Tax Act and will be renounced for the 2004 taxation year.

Combined with the first tranche of this brokered private placement the Company has raised a total gross proceeds of $1,826,530.

On behalf of the Board of Directors of

ALBERTA STAR DEVELOPMENT CORP.

Tim Coupland, President & CEO 

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities act of 1933, as amended (the "U.S. Securities Act) or any state securities laws and may not be offered or sold within the United States or to a U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

This News Release includes certain "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve that involve various degrees of risk. The following are important factors that could cause Alberta Star's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this News Release.