Mr. John Costigan reports

ELECTRA ANNOUNCES CONVERSION OF CONVERTIBLE LOAN

Costigan Capital Corp. (a company controlled by John Costigan, president and chief executive officer of Electra Stone Ltd.) has applied to convert the principal amount of a $350,000 convertible loan (refer to news release dated May 4, 2015) of Electra at five cents per unit. Accordingly, Electra has issued seven million units composed of one common share and one warrant, with each warrant being exercisable to purchase one share any time during the 24-month period from closing date. These warrants contain restrictive language to prohibit exercise if the percentage held would be more than 19.9 per cent.

The company also announces that David (Wei) Zhang has resigned as director of the company. The board of directors thanks Mr. Zhang for his contribution to Electra during his tenure of office.

We seek Safe Harbor.