Redstar Gold Corp (TSX.V:RGC) is pleased to announce that it has increased the non-brokered private placement announced June 29 to up to 12,000,000 units at a price of $0.35 per unit (the "Units") for gross proceeds of $4,200,000 (the "Offering"). Each Unit will consist of one (1) common share and one-half (�) of one (1) non-transferable share purchase warrant. Each share purchase warrant will entitle the holder thereof to purchase one (1) additional common share of the Company for a period of two (2) years from the closing date of the Offering at an exercise price of $0.60 per common share. The Warrants will have an accelerated expiry provision providing for a shortened exercise period if, after four months after the warrants are issued, for a period of ten (10) consecutive trading days the weighted average closing price of the Company's common shares on the Exchange exceeds $0.90. In such event, the Company may give notice that said warrants will expire thirty (30) days from the date of the notice, unless previously exercised by the purchaser.

In connection with the private placement, Redstar may pay finders' fees pursuant to the policies of the TSX.V. The Company anticipates that there may be insider participation in the above private placement, for which the Finders will not receive a commission. Proceeds from the offering will be used by Redstar for exploration on its recently acquired Alaskan properties and general ongoing corporate matters.

This news release does not constitute an offer to sell or a solicitation of an offer to buy 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 "US Securities Act"), or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

The above private placement is subject to all regulatory and board approvals.

On Behalf of the Board,
Redstar Gold Corp

"Scott Weekes"

Scott Weekes
President

TSX.V:RGC
WWW.REDSTARGOLD.COM
SUITE 615
800 WEST PENDER STREET
VANCOUVER, BC
TEL: 604.488.0051

CORPORATE INQUIRIES
Redstar Gold Corp.
Tim Mikula, Investor Relations
Tel: 604.488.0051
tmikula@redstargold.com