Interim Results

RNS Number:3470T
India Star Energy plc
21 March 2007

India Star Energy plc ("India Star" or the "Company")
Interim Results

21 March 2007

India Star Energy plc (AIM: INDY) is pleased to announce its interim results for
the six months to 31 December 2006.

Assets comprise a direct joint venture interest in a uranium tenement, a metal
which is benefiting from a resurgent market for nuclear power and a lack of
investment in the industry for a period of almost 20 years as well as
investments in two Canadian mining companies.

Highlights

* Airborne radiometric surveys on the Magotte jointly owned uranium property
show at least two significant potential radioactive anomalies to be present

* An investee company of India Star, East West Resource Corporation ("East
West") made a discovery of a prospective copper-zinc property at Marshall Lake
in Ontario, Canada

* December 2006 drill programme at the Marshall Lake has enhanced the
understanding of the target size of its VMS style copper-zinc mineralisation

* The Marshall Lake drill programme planned will target a 600m long surface
anomaly in April 2007

* Canadian Golden Dragon Resources Limited ("Golden Dragon"), another investee
company of India Star has indicated that it will progress on the Kasagiminnis
Lake Gold property during 2007

* Loss on ordinary activities before tax of #0.1 million with all immediate
exploration expenses already covered by the Company's partner investee companies

Paul Mc Groary, Chief Executive Officer, said:

"In a short period of time, India Star has successfully acquired a solid asset
base with interests in high quality projects, which could move to early
production. With the high drilling success rate at Marshall Lake, we are
confident there is also significant potential upside to come from our partner,
East West, in respect of this major copper zinc discovery on that property.

"There is upside through both new additions to reserves arising from continued
exploration drilling programmes here and we must now keep focused on getting our
resource to market. Separately, we are also pleased to report progress from our
Uranium joint venture at a time when the metal is benefiting from the resurgent
market for nuclear energy."


Paul Mc Groary                                         07930 568 160
Chief Executive



CHIEF EXECUTIVE'S STATEMENT

I am delighted to report another period of progress for India Star Energy. This
was a landmark period, during which our partner, East West Resources, reported a
major discovery at its Marshall Lake Property in Thunder Bay.

During the first half of 2007, we chose to focus our efforts on the development
of our platinum group metal and uranium properties. The period therefore saw our
partners, East West and Golden Dragon, investing in controlled development of
existing platinum and palladium properties.

East West, which owns a 50% interest in the Marshall Lake VMS Copper Zinc
property, has achieved drill results beyond all the partners expectations and
this should enable it to establish a substantial and sufficient asset base to
materially develop the company over the foreseeable future.

These developments come at a time when platinum and palladium prices have
continued to be strong with demand driven by stringent standards for exhaust
emission and the opportunity to use these metals in fuel cells. In terms of
uranium, there are around 180 nuclear reactors under construction, planned and
proposed, not least from China, Russia and the USA - representing a 40 per cent.
increase on the current roster of 440 reactors.

Buoyant market conditions and forecasts that the current high prices in
commodities will continue, give us high confidence that we can continue to build
on our progress in 2006 during the coming year. We will continue to focus on our
vision of identifying assets which are capable of being developed relatively
quickly. We firmly believe that our existing assets place us in a strong
position to continue to deliver our goals.

OPERATIONS REVIEW

East West

East West (http://www.eastwestres.com), which is quoted on the TSX-V and in
which India Star owns 2.5 million shares, is developing its mineral rights for
three properties, two Platinum and Palladium properties and one copper-zinc VMS
property in Ontario, Canada.

Progress in the first six months was marked by the substantial drill campaign at
its 50 per cent. owned Marshall Lake Property in Thunder Bay, Ontario which
started in December 2006.

East West controls a 50 per cent. interest in the large 13 by 7 kilometre area
consisting of 690 claim units (over 11,000 hectares) and is roughly the size of
the central part of the Noranda base-metal camp, which contained 31
former-producing copper-zinc-gold-silver mines with 80 years of production.

East West commenced drilling at Marshall Lake in December 2006 and 12 near
surface holes were drilled to a depth of approximately 60m. This was in order to
further explore and develop the mineralised area that had already been
identified by previous owners Kendon and Billiton from work in the 1970s. That
earlier work confirmed a substantial historical resource of copper, zinc, gold
and silver mineralisation although work in this area ceased when the spot price
of these metals fell.

East West commenced its drill campaign at the Marshall Lake Property in December
2006 and a 1,200 metre drilling campaign has enabled it to expand the near
surface base metal size of the property whilst considering the deeper potential
of the property.

East West plans to continue its drilling programme in April. This will focus on
the targets; southeast extension of Lease and Jewel Box copper showing where a
400m long strong IP anomaly extends beyond these showings. Additional
mineralisation traced by IP at Gazooma and a new IP anomaly 600m south of
Gazooma will also be tested. The new copper showing on the east end of the Teck
Hill claim as well as a zinc occurrence 300m east of this copper showing will be
tested.

Shareholders are urged to read the announcements by East West, at http://
www.eastwestres.com, which includes a number of diagrams which the Directors
consider important to gain a proper understanding of the conceptual model. The
project set out above was supervised by R. Middleton, P.Eng, who is the
qualified person and responsible for quality control of the assaying and
reporting.

On 19 March 2007, the share price of East West was 12c Canadian.

Joint Venture Uranium property

The tenements that form the Magotte joint venture with East West (50 per cent.),
announced on 11th July 2005, has seen further work. This land package comprises
112 claim units and covers 18km2 of prospective uranium properties in North
Western Ontario.

The tenement shows potential for uranium mineralisation based on geology and
geophysical data.

The joint venture has now acquired a digital data set of the airborne
radiometric surveys, which will assist with initial ground reconnaissance.
Evaluation of this data has provided at least two significant radioactive
anomalies. A team based in Canada is being assembled to undertake further
exploration work in 2007.

Golden Dragon

As previously reported, during the first half of the year our partner, Golden
Dragon, which is quoted on the TSX-V and in which India Star owns 7 million
shares, executed a letter of intent in relation to a C$3m joint venture
agreement for its Shebandowan Belt property.

Golden Dragon has been exploring for copper, zinc, gold and silver in the
Shebandowan greenstone belt since 2002 and has assembled 421 claims covering an
8km long section of favourable rhyolite-basalt volcanic stratigraphy, that hosts
two deposits; Vanguard East and West.

The property is situated 110 km west of Thunder Bay in the Shebandowan
greenstone belt. Highway 11 to Atikokan and two power lines traverse the length
of the property. The main CNR rail line also crosses the north boundary of the
claims. With excellent infrastructure, exploration and development of the
property is expected to be inexpensive.

We are also pleased to note further developments at Golden Dragon's 100 per
cent. interest in the Kasagiminnis Lake Gold property, a 400,000 ounce
historical resource. The property is located 26 kilometres south of Pickle Lake
township, Ontario. It consists of 47 claim units covering over 7 square miles
which host gold bearing sulphide mineralization in a sheared and silicified
mafic tuff.

To date over 6,000 metres of drilling have been completed in a 49 hole programme
prior to 1989 addressing only 3,500 metres of the potential 8,000 metres strike
length. The Golden Dragon directors believe there is significant potential to
materially expand this resource.

A work programme on the block is in the process of being finalised and is
expected to begin this summer

On 19 March 2007, the share price of Golden Dragon was 14c Canadian.

Outlook

In a short period of time, India Star has successfully acquired a solid asset
base with interests which could move into first production quickly. With the
high drilling success rate at Marshall Lake, the Directors are optimistic about
the prospects for Marshall Lake.

There is upside through both new additions to reserves arising from continued
exploration drilling programmes here and we must now keep focused on getting our
resource to market. Separately, we are also pleased to report progress from our
uranium joint venture at a time when the metal is benefiting from the resurgent
market for nuclear energy.

We also continue to explore further acquisitions and joint ventures.

Paul Mc Groary
Chief Executive
21 March 2007



India Star Energy plc

Consolidated Profit and Loss Account for the six months ended 31 December 2006
(unaudited)


                                                 Notes             6 months         6 months       12 months 
                                                                   ended 31         ended 31           to 30
                                                                   December         December            June
                                                                       2006             2005            2006 
                                                                (unaudited)      (unaudited)       (audited)
                                                                          #                #               #

Administrative expenses                                            (45,297)         (43,413)        (93,578)

Other operating cost                                               (55,789)                -        (88,613)

                                                                  _________          _______         _______

Operating loss                                                    (101,086)         (43,413)       (182,191)


Interest receivable and similar income                               11,441           19,365          34,324

                                                                  _________         ________        ________

Loss on ordinary activities before taxation                        (89,645)         (24,048)       (147,867)



                                                                  _________         ________        ________
Tax on loss on ordinary activity                                          -                -               -


Loss on ordinary activities after taxation                         (89,645)         (24,048)       (147,867)



Loss per share                                                        Pence            Pence           Pence

 - Basic and diluted                                                 (0.05)           (0.01)          (0.10)


All recognised gains and losses are included in the profit and loss account.




Consolidated Balance Sheet
At 31 December 2006 (unaudited)


                                                               6 months ended  6 months ended    12 months to
                                                                  30 December     30 December         30 June
                                                                         2006            2005            2006
                                                                  (unaudited)     (unaudited)       (audited)
                                                                            #               #               #

Fixed assets


Investments                                                           448,485         133,690         448,485
                                                                     ________         _______         _______


Total fixed assets                                                    448,445         133,690         448,485

                                                                     ________         _______         _______


Current assets

Debtors                                                                81,595           1,228          46,775
Cash at bank and in hand                                              413,267         857,600         512,668
                                                                    _________        ________        ________
                                                                      494,862         858,828         559,443

Creditors: amounts falling due within one year                       (46,069)        (31,778)        (21,006)
                                                                    _________        ________        ________

Total assets less current liabilities                                 448,793         827,050         538,437

Net assets                                                            897,278         960,740         986,922


Capital and reserves
Called up share capital                                               330,000         280,000         330,000
Share premium                                                         854,350         654,350         854,350
Capital reserve                                                             -               -               -
Profit and loss account                                             (287,072)        (73,610)       (197,428)

Shareholders' funds                                                   897,278         960,740         986,922




Consolidated cash flow statement for the 6 months ended 31 December 2006
(unaudited)


                                                               6 months ended  6 months ended    12 months to 
                                                                  31 December     31 December         30 June
                                                                         2006            2005            2006 
                                                                  (unaudited)     (unaudited)       (audited)
                                                                            #               #               #

Net cash outflow from operating activities                          (110,842)        (14,822)       (209,918)

Returns on investments and servicing of finance
Interest received                                                      11,441          19,365          34,324
                                                                    _________        ________        ________

Net cash outflow for returns on investments and servicing of         (99,401)           4,543       (174,594)
finance

Capital expenditure
Payments to acquire investments                                             -               -       (314,795)
                                                                    _________       _________        ________

Net cash outflow from capital expenditure                                   -               -       (314,795)
and financial investments

Net cash outflow before management of liquid                         (99,401)           4,453       (490,389)
resources and financing

Financing

Issue of ordinary share capital                                             -         100,000         250,000
                                                                    _________        ________        ________
Net cash inflow from financing                                              -         100,000         250,000

Increase/(decrease) in cash in the period                            (99,401)         104,453        (240,89)




Notes to the Interim Results

1.   Basis of Preparation

The interim accounts for the six months ended 31 December 2006 are unaudited and
do not constitute statutory accounts in accordance with section 240 of the
Companies Act 1985.

The financial information has been prepared in accordance with applicable
accounting standards and under the historical cost accounting convention.

Accounting policies consistent with those applied in the financial statements
for the year ended 30 June 2006 have been used in preparing the unaudited
interim financial statements for the 6 months ended 31 December 2006.

2.   Operating loss
                                                          
Operating Loss is stated after charging/(crediting)                         2006

                                                                               #
Auditor's remuneration                                                     5,000
Directors emolument                                                       22,500
Interest income                                                         (11,441)


3.   Earnings per share

The calculation of the basic loss per shares is based on the loss after tax of
#89,645 and on 165,000,000 ordinary shares, being the weighted average number of
ordinary shares in issue during the period.

4.   Taxation

                                                                            2006

                                                                               #
Current tax charge                                                             -


5.   Copies of interim results

Copies of the interim results will be sent to shareholders and will be available
from the Company's registered office, 84 Addiscombe Road, Croydon Surrey London
CR0 5PP.



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