Alberta Star To Raise Up To $350,000 In Non-Brokered Private Placement

December 2nd, 2008

Alberta Star Development Corp. (the “Company”) is pleased to announce that it proposes to complete a non-brokered private placement of up to 2,333,333 flow-through units (“Units”) of the Company at a subscription price of $0.15 per Unit, for total gross proceeds of up to (Cdn) $350,000 (the “Offering”). Each Unit shall consist of one (1) common share (“Common Share”) to be issued on a “flow-through share” basis, in the share capital of the Company and one non flow-through common share purchase warrant (“Warrant”). Every Warrant is exercisable into one additional Common Share at an exercise price of $0.18 per share on or before twenty four months after the date of closing of the Offering. The closing of the Offering is expected to occur on or about December 12, 2008.
The flow-through proceeds raised in this Offering will be used for Canadian exploration expenditures (as defined in the Income Tax Act (Canada)) and will be renounced for the 2008 taxation year. The proposed issuance of Units is subject to the completion of formal documentation and receipt of regulatory approval, including the conditional approval of the TSX Venture Exchange.
It is anticipated that certain officers, directors and insiders of the Company may subscribe under the private placement. As a result of the insiders’ participation, the private placement may be classified as a “related party transaction” as such term is defined in Multilateral Instrument 61-101 (“MI 61-101”). The Company currently anticipates that it will be able to rely upon valuation exemptions contained in MI 61-101 or an equivalent exemption under applicable securities law.

ALLAN FELDMAN-INVESTOR RELATIONS

Investors are welcomed to contact Mr. Allan Feldman, Alberta Star’s Investor Relations and Corporate Communications Specialist, for all corporate updates at (604) 948-9663.

FOR FURTHER INFORMATION, PLEASE CONTACT:
Tim Coupland, President and CEO
Alberta Star Development Corp.
Tel 604.681.3131 Fax 604.408-3884
www.elyseedevelopment.com

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this News Release.

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.