BUXTON RESOURCES LIMITED — Capital/Financing Update 2012

Sep 26, 2012

ASX ANNOUNCEMENT

27th September 2012

==> picture [156 x 55] intentionally omitted <==

ABN: 86 125 049 550 ASX Code: BUX, BUXO Frankfurt: 3B4.F Share Price: $0.38 (at 26/9/12) Shares on Issue: 46.1M No of listed options: 4.0M Market Cap: 17.53M Cash at Bank: 2.60M Board Members Seamus Cornelius Chairman Anthony Maslin Managing Director Julian Stephens Non-Executive Director Liu Xing Zhou Non-Executive Director

Joint Company Secretaries Sam Wright Jodi Haslinger

Website www.buxtonresources.com.au

Buxton to Commence Airborne VTEM

Survey at Yalbra Graphite Project

• Detailed HeliVTEM program to begin in early October over Yalbra Graphite Project

• HeliVTEM survey to define extents of graphite mineralisation

• Survey will cover the entire tenement at close spacing for optimal results

• Widowmaker Ni-Cu Project – HeliVTEM survey to commence early to mid-October

27 September 2012

Buxton Resources Ltd – ASX Announcement

Summary

Buxton Resources Limited (“Buxton” or “the Company”) (ASX: BUX & BUXO) is pleased to announce it has commissioned a HeliVTEM survey to fly the Yalbra Graphite Project (E09/1985) located approximately 250km North West of Meekatharra and 280km East of Carnarvon, Western Australia (Figure 1).

==> picture [481 x 285] intentionally omitted <==

Figure 1: Location of the Yalbra Graphite Project

Yalbra HeliVTEM Survey

The Yalbra tenement E09/1985 is in the application stage and covers an area of approximately 37 square kilometres. The HeliVTEM survey will cover the entire tenement at 100m spacing and is expected to commence early-mid October. The survey will provide high quality mapping of the highly conductive graphitic horizons and assist in identifying targets for drilling immediately upon grant of E0/1985.

The Yalbra Exploration Target is:

• 8 – 12 Million Tonnes @ 7 - 11% C*

• The potential quality and grade of the Yalbra Exploration Target is conceptual in nature. There has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a mineral resource.

Buxton Resources Ltd Suite 1, First Floor, 14 – 16 Rowland St Subiaco WA 6008

Ph: 08 9380 6063 Fax: 08 9381 4056

27 September 2012

Buxton Resources Ltd – ASX Announcement

Yalbra Historical work

In June 1974, a percussion drilling program was undertaken by Carpentaria Exploration Company Pty Ltd. A total of 21 holes were drilled for 856 metres to down-hole depths generally in the order of 40m. Substantial grades and widths of graphite mineralisation were identified in most of the holes drilled (Figure 2).

Historical field observations indicated that the graphite occurs both in disseminated and veinlet styles. Coarse flake graphite was identified in both drilling logs and in a rudimentary metallurgical test of nearsurface mineralisation. However, from the historical information available it is not currently possible to estimate what percentage of the graphite mineralisation would fall into the coarse flake category.

==> picture [481 x 344] intentionally omitted <==

Figure 2: Yalbra Graphite Project – Simplified plan of historical drill results and geology

Widowmaker HeliVTEM Survey

The Widowmaker HeliVTEM survey is expected to begin in early to mid-October and will cover 165 square kilometres at 150m line spacing. The survey area is focused on the interpreted prospective mafic – ultramafic sequence that hosts the Nova Ni-Cu discovery and strikes in a northeast direction into Buxton’s Widowmaker tenement. The survey area is also coincident with significant historical nickel, copper and cobalt geochemistry anomalies

Buxton Resources Ltd Suite 1, First Floor, 14 – 16 Rowland St Subiaco WA 6008

Ph: 08 9380 6063 Fax: 08 9381 4056

27 September 2012

Buxton Resources Ltd – ASX Announcement

Concluding Comments

The recent $2.1M capital raising from NBH Group has allowed the Company to begin to deliver on its promise of aggressive exploration at Yalbra and Widowmaker whilst retaining a strong cash position. Any significant targets identified from the HeliVTEM surveys will be followed up in the shortest practical timeframe.

Competent Person: The information in this report that relates to Exploration Results and Exploration Targets is based on information compiled by Dr Julian Stephens, Member of the Australian Institute of Geoscientists and Non-Executive Director for Buxton Resources Limited. Dr Stephens has sufficient experience which is relevant to the activity being undertaken to qualify as a “Competent Person”, as defined in the 2004 edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves and consents to the inclusion in this report of the matters reviewed by him in the form and context in which they appear.

For further information regarding Buxton Resources Limited please contact:

Anthony Maslin

Managing Director amaslin@buxtonresources.com.au

Jodi Haslinger

Joint Company Secretary jodi@buxtonresources.com.au

Buxton Resources Ltd Suite 1, First Floor, 14 – 16 Rowland St Subiaco WA 6008

Ph: 08 9380 6063 Fax: 08 9381 4056