Mr. Sasha Jacob reports

CEYLON GRAPHITE ANNOUNCES APPOINTMENT OF CFO AND DEBT SETTLEMENT

Ceylon Graphite Corp. has appointed Michael Kinley chief financial officer of the company effective immediately.

Mr. Kinley is a chartered professional accountant with extensive public company experience having served as CFO for a number of junior public companies for the past 30 years. Previously, Mr. Kinley was a partner with KPMG.

Mr. Kinley is succeeding Abbey Abdiye in the role of chief financial officer of Ceylon. Ceylon would like to thank Mr. Abdiye for his past contributions and wishes him success in his future endeavours.

Ceylon also announces it has entered into agreements to settle an aggregate of $51,000 of indebtedness owing to a director, officer and former officer of the company through the issuance of an aggregate of 927,273 common shares of the company at a deemed issuance price of 5.5 cents per common share. The issuance of the common shares to settle outstanding indebtedness remains subject to receipt of TSX Venture Exchange approval and upon issuance will be subject to a four-month hold period under applicable securities laws.

The participation by the insiders in the debt settlement is considered a "related party transaction" as defined under Multilateral Instrument 61-101. The transaction will be exempt from the formal valuation and minority shareholder approval requirements under MI 61-101 on the basis that the debt settlement with related parties constitutes the distribution of securities of the company for cash consideration of less than $2.5-million. Neither the company nor, to the knowledge of the company after reasonable inquiry, the related parties, have knowledge of any material information concerning the company or its securities that has not been generally disclosed. The debt settlement with each related party was unanimously approved by the company's independent directors. The company will file a material change report in connection with the debt settlement but likely not before 21 days prior to the closing of the debt settlement, which the company deems reasonable in the circumstances so as to be able to close the debt settlement as expeditiously as possible.

About Ceylon Graphite Corp.

Ceylon is a public company listed on the TSX Venture Exchange that is in the business of mining for graphite and developing and commercializing innovative graphene and graphite applications and products. Graphite mined in Sri Lanka is known to be some of the highest grade in the world and has been confirmed to be suitable to be easily upgradable for a range of applications including the high-growth electric vehicle and battery storage markets as well as construction, health care, and paints and coatings sectors.

We seek Safe Harbor.