Blacksteel Posts Private Placement for Alberta Bakken Exploration

Blacksteel announced that it is proceeding with a non-brokered private placement offering of up to 1,200,000 common share units ("Units") at a price of $0.45 per Unit for gross proceeds of up to $540,000 and up to 2,200,000 Class A Common Shares ("Common Shares") issued on a Flow-Through basis at $0.55 per Common Share for gross proceeds of up to $1,210,000 (the "Flow-Through Shares") (together the Units and the Flow-Through Shares the "Private Placement Offering"). Each Unit will consist of one (1) Common Share and one common share purchase warrant (each a "Warrant"). Each Warrant will entitle the holder to purchase one Common Share of the Corporation at an exercise price of $0.60 per Warrant Share for a period of twenty four (24) months from the closing date.

The Company has agreed to pay finders fees to an arm's length broker of 8% cash and 8% finders warrants (each a "Finder Warrant") with each Finder Warrant exercisable into one (1) Common Share of the Company at a price of $0.45 per Common Share within twelve (12) months from closing of the Private Placement Offering.

Proceeds of the Private Placement Offering will be used primarily to fund the Company's exploration, development and seismic activities on its crown leases in the Del Bonita area of Alberta that target the Alberta Bakken emerging oil play, and for general corporate purposes. All securities issued pursuant to the Private Placement Offering will be subject to a four month hold period pursuant to applicable securities legislation.