Mr. Brent Nykoliation reports

ENERGIZER RESOURCES RAISES CAPITAL FOR VALUE ENGINEERING

Energizer Resources Inc. closed a non-brokered private placement offering on May 17, 2016, for gross proceeds of $1,003,500. The net proceeds of the offering will be used to finance in part the value engineering of the company's Molo graphite project in Madagascar and for general working capital purposes.

The company has issued 11.15 million units at a price of nine cents per unit, with each unit consisting of one common share of the company.

All securities issued in connection with the offering will be subject to a minimum six-month hold period as required by U.S. securities laws, and will also be subject to a four-month hold period (which will run concurrently with the six-month hold period) as required by Canadian securities laws.

The company has obtained conditional approval from the Toronto Stock Exchange for the listing of all common shares issued pursuant to the offering. The offering is subject to receipt of final approval of the TSX.

The company expects to provide a project update in the near future.

We seek Safe Harbor.