ASX/Media Release

27 December 2017

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SYRAH ANNOUNCES PRODUCTION OF FINES GRAPHITE ___________________________________________________________________________________________

Syrah Resources Limited (ASX: SYR) ("Syrah" or "Company") is pleased to announce the first production of bagged saleable fines graphite from the Balama Project ("Balama") in Mozambique.

Highlights

  • • Ore commissioning of coarse flake and fine flake circuits successfully completed

  • • Fines graphite grade in excess of 95% fixed carbon

  • • Process plant optimisation underway and progressive ramp-up of production occurring

  • • First shipment of coarse flake scheduled to depart 31 December 2017

Shaun Verner, Managing Director and CEO said, "The successful commissioning of the fines circuit is another significant achievement for Syrah and marks the completion of ore commissioning. The fines graphite produced is within our expected grade range, in excess of 95% fixed carbon. We are looking forward to commencement of sales of fines graphite to battery anode customers in the coming weeks."

Shaun Verner also added, "With the successful completion of initial commissioning activities for both the coarse flake and fines circuits, our operational focus shifts to optimisation and progressive ramp-up. Installation of the attrition cells is scheduled to commence early in the New Year. Demobilisation of the construction team continues and the project will fully transition to the operations team by 1 January 2018. Production of coarse flake has progressed according to plan, with both grade and particle size distribution within specification. Our first shipment of coarse flake product is scheduled to depart on 31 December 2017 from Nacala Port."

For further information contact Investor Relations:

Nova Young

Contact: +61 422 575 530

Email:n.young@syrahresources.com.au

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ASX/Media Release

27 December 2017

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About Syrah Resources

Syrah Resources Limited (ASX code: SYR) is an Australian-based industrial minerals and technology company. Syrah is currently constructing the Balama Graphite Project (Balama) in Mozambique, with construction substantially complete. Commissioning activities commenced in May 2017 and Syrah produced its first saleable flake graphite product in November 2017. Balama will be the leading global producer of high purity graphite. Balama production is targeted to supply traditional industrial graphite markets and emerging technology markets. Syrah is also developing a downstream Battery Anode Material plant in Louisiana, USA. Syrah has successfully completed extensive product certification test work with several major battery producers for the use of Balama spherical graphite in the anode of lithium ion batteries. For further information, visitwww.syrahresources.com.au

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Syrah Resources Limited published this content on 08 January 2018 and is solely responsible for the information contained herein.
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