Estrella International Energy Services Ltd. Announces Filing of Q1 Financial Statements

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRES

Estrella International Energy Services Ltd. ("Estrella" or the "Company") (TSX
VENTURE:EEN) announces that it has filed its Interim Condensed Consolidated
Financial Statements and the related Management's Discussion and Analysis
("MD&A") for the three month period ended March 31, 2013. Copies of these
documents can be found on the SEDAR website at www.sedar.com. In this press
release, except for share amounts, all dollar amounts are in US$ '000 unless
otherwise specified.


During the quarter ended March 31, 2013, the Company was able to deploy the
upgraded 1000 HP rig 1002 in Colombia, identify new clients in the country and
most notably deploy rigs 1201 and 551 onto multi-year contract with YPF in
Argentina (Rig 551 initiated operations in April 2013). Rig 1201 is drilling
non-conventional high pressure gas wells in the Neuquen basin, and was able to
set a record for drilling into the deep Vaca Muerta formation in only its second
well, drilling and cementing the well in less than 23 days. The Company exited
the quarter at 51% average utilization. The Company has now 9 of 19 rigs on long
term contracts giving a baseline utilization of 47%, and an additional three
rigs working on shorter term contracts.


While directional activity was down slightly quarter on quarter due to lower
activity in Chile, the market position in Argentina improved significantly with
successful runs for three new clients in the quarter.


The Company continues to be focused on reducing the overall indebtedness of the
business. During the quarter ended March 31, 2013, CDN$534 of principal on its
January 2011 Convertible Debentures was prepaid. Additionally, the Company is
continuing its efforts in respect of its cost reduction plans, with reductions
in overhead staff and further consolidation of operating activities.


In its continuing goal to have an injury free workplace, the Company completed
this quarter without any Lost Time Injuries, a substantial achievement. 


Selected Financial Information for the Quarter Ended March 31, 2013

During the quarter the Company recorded revenues of $16,532 ($14,349 in 2012),
this notwithstanding that the Company's rig utilization rate was 51% (52% in
2012). The revenues were offset by general and administrative expenses of $2,935
($2,578 in 2012), depreciation of $3,253 ($2,804 in 2012), interest expense of
$1,523 ($2,661 in 2012) and oilfield expenses of $14,821 ($12,488 in 2012). For
the quarter ended March 30, 2013, the Company recorded a net loss of $5,039
(loss of $5,622 in 2012) and EBITDA of -$1,224 (-$717 in 2012). For the quarter
ended March 31, 2013, the Company recorded net loss per share of -$0.0170
(-$0.0417 in 2012). 


About Estrella

Estrella is an oil and natural gas, geothermal and mining service company with
operations throughout Latin and South America. It provides conventional drilling
services; directional drilling services; tools and equipment sales and rentals;
work-over and finishing services; and consulting and engineering services. The
Corporation is headquartered in Buenos Aires, Argentina and has operating
locations in six countries Latin and South America.


Forward Looking Statements

This press release may contain forward-looking statements which reflect
management's expectations regarding future growth, results of operations,
performance and business prospects of Estrella. These forward-looking statements
may relate to, among other things, forecasts or expectations regarding business
outlook for Estrella; commodity prices for oil and natural gas; oil and natural
gas demand and production growth; debt service requirements for Estrella;
improvements in operating procedures and technology; capital expenditures by
Estrella and the oil and gas industry; the business strategies of Estella's
customers; future global economic conditions; and future results of operations;
expectations regarding the Corporation's ability to raise capital; realization
of the anticipated benefits of acquisitions and dispositions, revenue growth,
future acquisitions, generation of cash flow, and may also include other
statements that are predictive in nature, or that depend upon or refer to future
events or conditions, and can generally be identified by words such as "may",
"will", "expects", "anticipates", "intends", "plans", "believes", "estimates",
"guidance" or similar expressions. In addition, any statements that refer to
expectations, projections or other characterizations of future events or
circumstances are forward-looking statements. These statements are not
historical facts or guarantees of future performance, but instead represent
management's current expectations, estimates and projections regarding future
events. 


The reader is cautioned that assumptions used in the preparation of any
forward-looking information may prove to be incorrect. Events or circumstances,
such as future availability of capital on favourable terms, may cause actual
results to differ materially from those predicted, as a result of numerous known
and unknown risks, uncertainties, and other factors, many of which are beyond
the control of Estrella. The reader is cautioned not to place undue reliance on
any forward-looking information. Such information, although considered
reasonable by management at the time of preparation, may prove to be incorrect
and actual results may differ materially from those anticipated. Forward-looking
statements contained in this press release are expressly qualified by this
cautionary statement. The forward-looking statements contained in this press
release are made as of the date of this press release, and Estrella does not
undertake any obligation to update publicly or to revise any of the included
forward-looking statements, whether as a result of new information, future
events or otherwise, except as required by securities law.


THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR
DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES,
AND DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO SELL
ANY OF THE SECURITIES DESCRIBED HEREIN IN THE UNITED STATES. THESE SECURITIES
HAVE NOT BEEN, AND WILL NOT BE, REGISTERED UNDER THE UNITED STATES SECURITIES
ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR
SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT
THEREFROM.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Estrella International Energy Services Ltd.
Warren Levy
Chairman &Chief Executive Officer
[phone]
[phone] (FAX)
[e-mail]
www.estrellasp.com