Company Profile

TRADESTAR RESOURCES CORPORATION has resourcefully discovered an effective means of acquiring income-producing properties, which due to TRADESTAR's available technologies can produce an ever-increasing cash flow through the technological advancements of its industry partners. The Company offers an excellent service and all manner of ancillary support services, so as to grow and enhance its revenue base, while attracting potential acquisitions.

TRADESTAR RESOURCES CORPORATION is an independent energy company that is engaged in the exploration, development, exploitation and acquisition of on-shore oil and natural gas properties in conventional producing areas of the United States. The company was incorporated in the State of Oklahoma in 1982. We conduct our primary operations in Texas, but have the capability to manage properties in Oklahoma, Kansas, and Louisiana. We strive to enhance our asset value by expanding our oil and natural gas reserves, raising production levels and increasing cash flow. We intend to foster our growth as an independent oil and natural gas company by implementing the following business strategies:

• Financial Growth. We plan to achieve asset, revenue and cash flow growth, and increase the value of our assets, as a result of the acquisition and further development of producing oil and natural gas properties. We plan to maintain financial strength and flexibility through effective management of debt and equity.

• Acquire and Enhance Producing Oil and Natural Gas Properties. We plan to take advantage of opportunities that exist in the United States to acquire producing oil and natural gas properties. We continue to focus our acquisition activities onshore in Texas, Kansas, Oklahoma, and Louisiana. We prefer to acquire properties with production from shallow to medium depths, which offer lower geologic and mechanical risk of operations. We believe that numerous opportunities exist to acquire additional energy assets and to enhance the value of those assets through improved operating practices and by aggressively developing reserve potential.

• Emphasize Exploitation and Development Activities. We plan to exploit existing oil and natural gas properties and to conduct development evaluation and drilling on our existing and future oil and natural gas properties. We intend to concentrate on enhancement opportunities such as infill drilling, recompletions, secondary recovery projects, repairs and equipment changes. We may participate, from time to time, in a limited number of exploratory wells.

• Corporate Efficiencies. It is our goal to increase our number of producing properties to the point where our existing level of overhead is fully utilized. This will enable us to manage our properties at the most efficient rate for a given level of resources. We will seek to optimize the use of internal resources and outsourcing for all supporting functions.

• Technology. We plan to increase exploitation efforts, focusing on established geological trends where we can employ geological, geophysical and engineering expertise. We are considering the application of 3-D seismic and advanced drilling technologies (i.e., horizontal drilling). Our future participation in exploration and developmental wells will be on a limited basis as a partner with other oil and natural gas companies in order to reduce the risk inherent in these activities. We prefer to act as operator of the oil and natural gas properties and prospects in which we own an interest. Primary responsibilities of the "operator" of oil and natural gas properties are as follows: Supervises production; Maintains production records; Contracts with field personnel to oversee the general operations of the properties; Performs other functions required for the production of oil and natural gas; and Monitors performance, both operating and financial, necessary to optimize cash flows derived from the properties.