Alberta Star Completes the Purchase of the Macinnis Lake Uranium Properties and Appoints Jan Klein P.Eng., P. Geo., as Consulting Geophysicist for the Macinnis Lake Uranium Project.

VANCOUVER, British Columbia -- Alberta Star Development Corp. (TSX VENTURE:ASX) (OTCBB:ASXSF)

Tim Coupland, President and CEO of Alberta Star Development Corp. (ASX), listed on the TSX Venture Exchange and on the OTCBB (ASXSF), is pleased to announce that Alberta Star has completed the purchase of a 100% interest in the 18,953.64 acre MacInnis Lake uranium properties located in the Northwest Territories.

ALBERTA STAR HAS APOINTED JAN KLEIN P.ENG., P.GEO., AS CONSULTING GEOPHYSICIST FOR THE MACINNIS LAKE URANIUM PROJECT

Jan Klein M.Sc., P. Eng., P. Geo., consulting geophysicist has been appointed to review all historical geophysical and exploration drilling data for the MacInnis Lake uranium project. It is expected that a comprehensive geophysical recommendation on the MacInnis Lake project will be forthcoming. Jan Klein was chief geophysicist with Cominco Ltd. prior to his retirement in 1998. Jan Klein has 37 years of mineral experience in Canada, the United States, Europe, Africa and Australia and has been involved in the discovery of several deposits. He received a Masters in Mining Engineering with honours in exploration from the Technical University of Delft, Netherlands. Mr. Klein is a registered professional engineer and geoscientist.

MACINNIS LAKE -URANIUM PROPERTIES

The MacInnis Lake uranium claim block is comprised of 18,953.64 acres and is located in the Nonacho Basin 150 km northeast of Fort Smith, Northwest Territories and 275 km southeast of the city of Yellowknife, Northwest Territories. The MacInnis Lake area is known to have widespread surface uranium mineralization, and contains 28 known high grade uranium showings that were discovered between 1954 and 1988. Uranium exploration on the MacInnis Lake properties has been extensive and was commenced in 1954 with the discovery of large uranium outcrops and widespread surface uranium mineralization. Uranium exploration continued extensively until 1988 and involved companies such as Cominco, Shell, PNC, and Uranerz. The MacInnis Lake area is situated in the Nonacho Group and is recognized as an Unconformity Type Uranium deposit. The MacInnis Lake area is situated 280km north of Saskatchewan's Athabasca Uranium Basin, and is considered one of the Northwest Territories most prospective uranium bearing regions. Alberta Star will immediately commence plans to explore and expand uranium drill targets at MacInnis Lake. Preparations for an aggressive spring and summer exploration season consisting of regional mapping, trenching, reviewing archived drill data and completing a comprehensive regional airborne magnetic and radiometric survey have begun. Drill targeting will focus on expanding known uranium showings. Erik Ostensoe, P. Geo. is the qualified person for the MacInnis Lake uranium project.

Alberta Star has agreed to purchase a 100% interest, subject to a 2% net smelter returns royalty (NSR"), in the MacInnis Lake Uranium claims (18,953.64 acres) by paying $60,000 and issuing 300,000 shares. Alberta Star may purchase half of the NSR for a one time payment of 1 million dollars.

Spot uranium prices have risen from a cyclical low of US$7.10 /per pound in late 2000 to US$21.75 per pound today, a recent 20 year-high.

Based on uranium's current spot price of US$21.75 / per pound and its stable longer term price projections, Alberta Star, will prepare a comprehensive spring and summer exploration program on the MacInnis Lake uranium Property to further explore and expand historical uranium drill targets, and take advantage of its large property portfolio in the NWT. The Northwest Territories situated in Canada's far north is expected to maintain a leading position as a premier uranium exploration destination. The Northwest Territories is recognized as a very large former uranium producer, but this uranium production came to a standstill due to the many years of depressed uranium prices.

ALLAN FELDMAN-INVESTOR RELATIONS

Investors are welcomed to contact Mr. Allan Feldman, Alberta Star's in-house Investor Relations and Corporate Communications Specialist, for all corporate updates at [phone].

ALBERTA STAR DEVELOPMENT CORP.

Tim Coupland

President & CEO

Erik Ostensoe, P.Geo is the qualified person for the MacInnis Lake uranium project.

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.

Alberta Star Development Corp. (TSX VENTURE:ASX) (OTC Bulletin Board:ASXSF)