Alberta Star to Raise $1.08 Million in Brokered Private Placement.

VANCOUVER, British Columbia -- Tim Coupland, President and CEO of Alberta Star Development Corp. (ASX)(OTCBB:ASXSF)(TSX Venture:ASX), listed on the TSX Venture Exchange and on the OTCBB (ASXSF), is pleased to announce that it has engaged Pacific International Securities Inc. (the "Agent") in a brokered private placement, on a best efforts basis, of up to 4.0 million units (the "Units") of Alberta Star at $0.27 per Unit. Each Unit shall consist of one flow-through common share and one half of one transferable non-flow-through common share purchase warrant (each whole such purchase warrant, "a Warrant"). Each Warrant shall be exercisable into one additional common share of the company for eighteen months following the closing date at an exercise price of $0.40 per common share for gross proceeds of up to $1,080,000.

Alberta Star has granted the Agent an option to cover over-allotments and for market stabilization purposes, which will allow it to offer up to 1,500,000 additional Units (the "Over-Allotment Option"). The over-allotment option may be exercised in whole or in part at any time prior to the closing date of the Offering.

In consideration for acting as Agent, Pacific International Securities will receive a cash commission of 8% of the gross proceeds raised in this offering and a corporate finance fee of $10,000. In addition, the Agent will receive compensation options equal in number to 15% of the aggregate number of Units sold pursuant to the offering.

The proceeds from the offering will be used to finance ongoing exploration and drilling of Alberta Star's Dixie Lake gold project in Red Lake, Ontario, Longtom Lake IOCG Project and general working capital. The private placement is subject to TSX Venture Exchange acceptance for filing.

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.