BUXTON RESOURCES LIMITED — Capital/Financing Update 2015

Jul 8, 2015

9[th] July 2015

ASX Release

METALLURGICAL RESULTS ADVANCE YALBRA GRAPHITE PROJECT

• Metallurgical results show that commercial grades of flake graphite concentrate @ 91% C(t) can be produced with 30% in the medium and coarse flake categories

• After acid leaching, the combined concentrate was upgraded to 99.5% C(t)

• Australia’s highest reported grade graphite resource: 4.0Mt @ 16.2% TGC (Inferred)

• Substantial potential to expand resource along strike and down dip

• Buxton is ready to commercialise the Yalbra Graphite Project by bringing in a strategic partner development and/or offtake

Summary

Buxton Resources Limited (“Buxton” or “the Company”) is pleased to report initial flotation and acid purification test-work results for its high-grade Yalbra Graphite Project in Western Australia.

Flotation batch test results from a representative fresh rock diamond drill sample grading 20.0% C(t) returned a concentrate grade of 91% C(t). This concentrate showed a good proportion of medium to coarse flake material with 30% falling into categories above +149 microns in size (Table 1). The overall recovery of graphite was 80%, although this should be improved in future locked cycle tests. The process involved a primary grind, a rougher flotation stage, 2 stages of polishing grind and 5 cleaner flotation stages.

A final leaching stage using a combined H2SO4/HF solution to upgrade the concentrate was also completed and showed that a final concentrate grading 99.5% C(t) could be achieved, with the coarser size fractions grading as high as 99.7% C(t).

Yalbra is Australia’s highest reported grade graphite resource at 4.0Mt @ 16.2% TGC (Inferred) and has considerable potential to be expanded along strike, and for discovery of additional resources.

The Company is now in a position to begin to commercialise the Yalbra Graphite Project, most likely through bringing in a strategic partner for development and/or offtake.

Table 1. Flotation and purification results for the Yalbra Graphite Project.

	Size	Size	Assays	Assays	Assays	Assays	Distribution	Distribution
			Flotation Conc.		Purified Conc.
	Microns (µm)	Tyler Mesh	C (t) %		C (t) %		C (t)	%
	+297µm	+48mesh		91.8		99.7		6.6
	+149 µm	+100mesh		90.6		99.7		22.8
	+74µm	+200mesh		90.0		99.5		31.2
	-74µm	-200mesh		91.7		99.1		39.5
	Weighted Avg.			90.9		99.5		100.0

PO Box 9028 Suite 1, First Floor Tel: 08-9380 6063 Subiaco WA 6008 14-16 Rowland Street Fax: 08-9381 4056 Subiaco WA 6008

www.buxtonresources.com.au info@buxtonresources.com.au

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Commercialisation

Buxton has now shown commercial products can be produced from its very high grade Yalbra Graphite Project. The resource remains open along strike and there is potential to increase the tonnages substantially.

The Company is now in a position to seek a development and/or offtake partner to assist in commercialising the project.

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Figure 1. Yalbra Graphite Project tenure position over magnetic image (TMI).

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Figure 2. Map of simplified geology with drilling results – Yalbra Main Zone

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Figure 3: Photomicrograph of coarsely crystalline graphite with minor mica from graphite-rich layer YBRC001 80-81m. Reflected light. Field of view is 1200 microns.

Competent Persons

The information in this report that relates to Exploration Results 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 2012 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 information compiled by him in the form and context in which it appears. All exploration results have previously been reported in Company ASX announcements under the 2012 JORC code and have not materially changed since initially reported.

The information in this report that relates to in-situ Mineral Resources at the Yalbra Project is based on information compiled by David Williams of CSA Global Pty Ltd and previously reported on 24/10/2014. David Williams is a Member of the Australasian Institute of Mining and Metallurgy, and a Member of the Australian Institute of Geoscientists and has sufficient experience, which is relevant to the style of mineralisation and type of deposit under consideration, and to the activity he has undertaken, to qualify as a Competent Person in terms of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (JORC Code 2012 Edition). David Williams previously consented to the inclusion of such information in the previous report in the form and context in which it appeared. There have been no material changes to the information reported in the previous report.