CHICAGO, February 2, 2006 (MARKETWIRE) – (Other OTC: AMRS.PK)American Stellar Energy, Inc. is pleased to announce that it has acquired a 30% interest in the Santa Cruz mining concession which is located adjacent to their San Miguel project in the Sierra Madre Gold-Silver belt, Mexico.

Bill Reed, Manager of exploration in Mexico commented "The Santa Cruz concession is a very key addition to our San Miguel holdings. An alteration zone is obvious on the concession and I believe the structures that host the silver and gold mineralization on the San Miguel claims continue onto this concession. In particular, the San Jose zone is open to the NNE in the direction of Santa Cruz."

The Santa Cruz mining concession is located adjacent to and east of American Stellar Energy's El Carmen concession at San Miguel, SW Chihuahua and approximately 1000 meters north of the San Jose silver prospect ( 100 meters by 250 meters, averaging 225 g/t Ag ) , where the Company continues with an ongoing exploration program.

At Santa Cruz, old mine workings were developed on a NW striking quartz vein that dips 75 degrees to the NE. A 1997 report by the Fomento Minero, a Federal Mexican agency, reports an average vein width of 0.80 meters with an average grade of 0.80 grams per tonne gold and 880 grams per tonne silver. There is some indication that the wall rock on either side of the quartz vein may also contain lower grade silver mineralization. Thin soil cover and vegetation mask the surface in the area of the old mine workings, and outcrops are limited. Trenching and drilling will be required to substantiate silver and gold mineralization in the wall rocks and to locate other veins.

The Santa Cruz concession will be part of the joint venture agreement Paramount signed with Amermin S.A. de CV, a subsidiary of American Stellar Energy Inc., where Paramount can acquire a 70% interest in the San Miguel project.

About American Stellar Energy, Inc. American Stellar Energy, Inc. is a precious metals exploration and development company with existing production. It is management's objective to become a significant gold and precious metals producer by increasing our current production at La Currita and developing the San Miguel and La Millionaria projects in Mexico, and by acquiring other advanced-stage projects and/or producing mines in one of the most prolific precious metal districts in the world. For more information, please visit the Company's web site at: www.americanstellarenergy.com

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays beyond the company's control with respect to market acceptance of new technologies or products, delays in testing and evaluation of products, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.

CONTACT:
American Stellar Energy, Inc.
Website:
http://www.americanstellarenergy.com
IR / Clayton Smith: (503) 618-0370 / 888-601-9983
Francis R. Biscan Jr.: 630-462-2079
Contact:
http://www.americanstellarenergy.com/contact.php