WellStar Energy : Announces a Loan with Related Party

Calgary, AB, December 24, 2015 - WELLSTAR ENERGY CORP. (TSX-V: WSE) (the 'Company') wishes to announce that it has issued a new promissory note (the 'Note') in respect of a loan (the 'Loan') made to the Company by Andrew H. Rees (the 'Lender'), in the principal amount of $203,000 having a maturity date of two years from the date of issuance and bearing interest at a rate of 11% per annum payable on demand but before such maturity date. In consideration of establishing the Loan, the Company will pay the Lender a bonus of 3,690,909 common share purchase warrants (the 'Warrants'), with each whole Warrant exercisable to purchase one common share of the Company for a period of two years from the date of issuance, at a price of $0.10. The Loan and the granting of Warrants to the Lender will be subject to the approval of the TSX Venture Exchange (the 'TSXV').

The Lender is a 'Related Party' of the Company pursuant to the TSXV policies, as Mr. Rees is the President, Chief Executive Officer and director of the Company. As such, the transaction constitutes a 'Related Party Transaction'. The Company is relying on exemptions from the formal valuation and minority approval requirements that apply to Related Party Transactions.

The Loan, and the terms of the Note were approved by the board of directors of the Company, other than Mr. Rees, declared his interest as the Lender and has abstained from voting with respect to the Loan and the Note. The board of directors believe that the Loan is in the best interests of the Company.

Net proceeds from the Loan will be applied towards oil and gas operations, property acquisitions and for general working capital purposes.

For further information please contact Andrew H. Rees at [phone].

ON BEHALF OF THE BOARD

(signed) 'Andrew H. Rees'
Andrew H. Rees
President

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Except as required pursuant to applicable securities laws, the Company will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by the Company. Readers are cautioned not to place undue reliance on forward looking statements.