OAKVILLE, ONTARIO, Jan 17, 2012 (MARKETWIRE via COMTEX) —
MEGA Graphite Inc. (MEGA), announced today it is on target for the
end of the first quarter to have a stock exchange listing by way of
an Initial Public Offering (IPO). The process for a public listing is
well underway and the proceeds of the offering will be used for
increasing production capacity at the Uley Graphite Mine in Port
Lincoln as well as developing its 4 other projects in Canada and
putting its Joint Venture with Chotanagpur Graphite in India into
production.

Specifics terms of the IPO, including the number of shares to be
issued and the price of the shares, are currently being negotiated
with dealers. MEGA believes market conditions are looking more
positive for the start of 2012, and that the timing and the right
investor audience will prove beneficial for the company and its new
shareholders. “We have always been big proponents of being listed on
a major stock exchange where resource companies can gain exposure to
the right type of investors and gain the much needed ongoing access
to capital,” explained Paul Gorman, president of MEGA. “There is a
reason that a large majority of the world’s mining companies are
listed on a major exchange and we believe we have the assets, people,
plans, experience and ability to become a successful company with a
public listing and ultimately deliver significant shareholder value.”

As previously announced in July 2011, MEGA agreed to have its shares
publicly listed by March 31, 2012, as part of the agreement to
acquire the Uley Graphite Mine in Australia. The Uley Mine is
currently owned by Tarcoola Gold, a subsidiary of the ASX listed
company, Strategic Energy Resources (SER). This MEGA listing will
give shareholders of SER and Tarcoola immediate liquidity once they
have received their MEGA shares.

About MEGA Graphite

MEGA Graphite Inc. (
www.MEGAgraphite.com ) continues to work towards
mining, processing and purifying of natural flake graphite from its
100% owned North American based projects. The Company’s primary
target markets include high purity graphite applications in
lithium-ion batteries, graphene-based applications in products such
as flat panel displays, and expandable graphite used in fire
retardants, high performance gaskets, conductive fillers, and
electromagnetic pulse and radiation shielding. With vertically
integrated open-pit multi-plant operations combined with its leading
edge technology positions MEGA Graphite is positioned to become a
leading cost-competitive supplier to global markets of high-grade
graphite products.

MEGA Graphite has developed proprietary technologies with on-site
milling systems running in the highest-grade zones to achieve
graphite grades that can be refined efficiently and economically. The
benefits of using these systems include an environmentally friendly
process which can separate the milling operations from the actual
mine site.

MEGA Graphite has a global database of customers who require purified
natural flake graphite, which can significantly enhance the
performance of their technologies. MEGA can size, shape and coat its
graphite through licensed processes to purity levels that give these
customers the ability to build systems that will hold up to economic
and environmental concerns.

With a mandate to own and develop raw minerals that make up the
chemistry of new technologies, MEGA also owns the Big Mack rare earth
petalite property, located in the Kenora mining district, Ontario.
The Separation Lake Greenstone Belt (SLGB) is host to the most
important rare-element pegmatites in Ontario and may contain the
greatest number of complex-type, petalite-subtype pegmatite
occurrences in Canada. These pegmatites are host to many rare
elements and metals such as lithium, tantalum, niobium, tin, rubidium
and cesium.

        
        Contacts:
        MEGA Graphite Inc.
        Laurie McCarney
        Director of Communications
        905.339.8888 ext 305
        lmccarney@MEGAgraphite.com
 
www.MEGAgraphite.com            
        
        

SOURCE: MEGA Graphite Inc.

        mailto:lmccarney@MEGAgraphite.com
 
http://www.MEGAgraphite.com            

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