PlayStar Reports Progress

2 July 1998

Dover, Delaware -- PlayStar Corporation (OTC BB: PSCK) has announced that it continues to proceed with its reorganization into an Antigua International Business Corporation and expects the move to be finalized within the next few weeks.

PlayStar has created and is marketing an interactive casino gaming system where Internet surfers the world over can play Casino games from the privacy and comfort of their own homes. The system is currently installed for beta testing at the site of the Antigua Casino & Sportsbook Ltd. at www.antigua.org.

Both PlayStar and Antigua Casino will launch new, enhanced web sites as planned, on July 4th, in preparation for the full release of the casino gaming software. The Casino System will be launched for live gambling once the reorganization is complete.

With the launch of the new websites, PlayStar will officially close the casino testing phase. During testing, the games received tremendous response, with over 5,000 registered participants and an unknown number of anonymous guests generating over $100 million in test wagering. The test produced valuable feedback, which is reflected in the games available at the casino website at www.antigua.org. Players will still be able to play PlayStar's games for fun up until the full launch, and the games will continue to be available for free play after the casino has opened for live gambling.

Based in Dover, Delaware, Playster (www.playstar.com) is a holding company which, through its subsidiaries, PlayStar Limited of Jersey, Channel Islands and Antigua Casino & Sportsbook Ltd. of Antigua, engages in Internet gaming services and the provision of software and services to such business.