Mr. Benoit Gascon reports

MASON GRAPHITE REPORTS HIGH-GRADE INTERCEPTS IN NORTHEAST EXTENSION OF LAC GUERET; ONE HOLE INTERSECTED 98 M AT 29.8% CG NEAR SURFACE, INCLUDING 56M AT 36.2% CG

Mason Graphite Inc. has released positive assay results from the 2013-2014 drilling program at its Lac Gueret project in northeastern Quebec. The drill program consisted of 97 holes totalling 15,108 metres and was designed to pursue three objectives:

• To explore for mineral extensions to the northeast and beyond the defined resource envelope of the GC zone (18 holes totalling 2,085 metres);
• To explore for mineral continuity within the defined resource envelope of the GC zone (68 holes totalling 11,323 metres);
• To conduct exploration drilling on graphite showings on the property outside the areas where drilling was conducted in the past (11 holes totalling 1,700 metres).

This press release reports assay results from drilling conducted in the northeast extension. The remaining drilling results from other areas noted herein will be reported in coming communications.

Results confirm continuity of NE extension in GC zone

Intercept highlights from the assay results in the northeast extension of the GC zone, include:

• Hole LG-459 intersected 73 metres at 28.5 per cent carbon as graphite, close to surface (nine metres), including 41 metres at 39.0 per cent Cg;
• Hole LG-469 intersected 86 metres at 27.8 per cent Cg, including 31 metres at 42.3 per cent Cg;
• Hole LG-472 intersected 70 metres at 28.8 per cent Cg, close to surface (four metres), including 25 metres at 42.0 per cent Cg;
• Hole LG-489 intersected 66 metres at 30.0 per cent Cg, close to surface (four metres), including 46 metres at 38.3 per cent Cg;
• Hole LG-491 intersected 98 metres at 29.8 per cent Cg, close to surface (four metres), including 56 metres at 36.2 per cent Cg.

"We are very encouraged with the results from the northeast extension. This exploration target is located at the edge of the defined mineral resource, and adjacent to the pit design from the preliminary economic assessment we completed in April, 2013. These results confirm mineralization near surface with excellent widths and mineral continuity beyond the current mineral resource boundary," said Benoit Gascon, president and chief executive officer of Mason Graphite.

            MOST RELEVANT DRILL RESULTS FROM THE NE EXTENSION 
             (18 holes totalling approximately 2,085 metres)

Section        Drill hole No.  From (m)    To (m)      Length (m)       % Cg

1350                  LG-460         4        41              37        34.0
                        incl.        4        32              28        39.8
                      LG-468          No significant mineralization
                      LG-469        44       130              86        27.8
                        incl.       54        85              31        42.3
                        incl.      105       130              25        30.1
                      LG-488       108       124              16        14.3
                                   129       140              11        21.0
                      LG-489         4        70              66        30.0
                        incl.        6        52              46        38.3
                                    89       106              17        17.2
1400                  LG-459         9        82              73        28.5
                        incl.        9        50              41        39.0
                      LG-466        33       117              84        27.4
                        incl.       57        93              36        36.1
                      LG-473        56        77              21        13.8
                      LG-477         6        43              37         8.2
                                    49        96              47        20.2
                        incl.       69        90              21        31.7
                      LG-490       109       127              18        12.8
                      LG-491         4       102              98        29.8
                        incl.       11        67              56        36.2
1450                  LG-456        11        74              63        20.1
                      LG-472         4        74              70        28.8
                        incl.       27        72              45        38.9
                        incl.       27        52              25        42.0
                      LG-478         4        63              59        18.8
                        incl.        4        41              37        23.8
1500                  LG-462        48        55               7        16.7
                      LG-479          No significant mineralization
                      LG-492          No significant mineralization
                      LG-493         4        44              40        13.8

Operational update and coming milestones

Mason Graphite has retained the services of Roche Ltee. for the calculation of an updated mineral resource estimate, including the results from the 2013/2014 drilling program. The updated block model will be used as an input for the coming feasibility study for the Lac Gueret project.

Also, in preparation for the coming feasibility study, the company has been working with the metallurgical laboratories, COREM (Quebec City) and URSTM (Rouyn-Noranda), as well as consulting firm Soutex Inc. (Quebec City), for the optimization of the concentration process. A mandate was also awarded to Montreal-based consulting firm Hatch, to conduct trade-off studies and peripheral studies (hydrogeological and geotechnical) required for the development of the feasibility study.

A 100-ton bulk sample was collected at the Lac Gueret property in early July for the coming pilot plant test program, which is scheduled to commence this fall in conjunction with the feasibility study.

Qualified persons/quality control and assurance

Yves Caron, PGeo, Mason Graphite's director of exploration and geology and a qualified person as defined by National Instrument 43-101, supervised the drill program and has reviewed and approved geological, scientific and technical content of this press release.

Jean L'Heureux, Eng, Mason Graphite's executive vice-president, process development, and a qualified person as defined by National Instrument 43-101, has reviewed and approved the metallurgical, scientific and technical content of this press release.

Analyses for this drilling campaign were carried out by AGAT Laboratories Ltd. in Mississauga, Ont., a company independent from Mason Graphite and ISO 17025 certified. A thorough quality control and assurance program was exercised, with Mason Graphite inserting one blank, one standard and one duplicate every 50 samples.

Carbon as graphite assays reported in this press release were obtained by using a LECO instrument following analytical technique ASTM E1915-07A with a detection limit of 0.01 per cent Cg. Drill holes were sampled over an average of 1.5-metre intervals.

We seek Safe Harbor.