Berkwood Mobilizes in preparation for Drill Program at Lac Gueret South Graphite Project

July 26th, 2017, VANCOUVER, B.C. Berkwood Resources Ltd. (TSX-V: BKR, FSE: BK2, WKN: A110N3) (“Berkwood” or the “Company”) is pleased to announce that it has mobilized crews to its Lac Gueret South Graphite Project located in Quebec. In early July Berkwood’s technical team visited the Lac Gueret South property and conducted a detailed survey of the selected drill locations in order to determine the best roads and trails to be used or opened, and to locate appropriate sources for water for the drill program. Over the next few days crews will return to the property, and will be clearing roads and building drill pads for the commencement of the drill program which is planned to commence in the first part of August. The Company anticipates completing some 1,500 to 2,000 meters of drilling in this initial phase of work.

Lac Gueret South Property, Quebec

Lac Gueret South is located in Cote Nord, Quebec, a three hour drive from Baie-Comeau in an area of very good infrastructure. The Project directly borders Mason Graphite’s (TSX-LLG) advanced Lac Gueret Project to the South.   With a market capitalisation of over $200 million Mason owns one of the largest high grade graphite deposits in the world, and is planning on building a new graphite mine and processing plant.

In 2014 Berkwood conducted an electromagnetic (“EM”) airborne geophysical survey over its Lac Gueret Property and successfully identified several anomalous zones of high conductivity. Several of these anomalies have been downgraded as they are considered too small or too deep to represent economic graphite deposits: however, the Zone 1 and Zone 2 anomalies are of significantly larger size and are therefore considered high priority targets for immediate exploration by drilling and trenching. These large anomalous conducive areas are almost entirely covered by muskeg and till with few bedrock outcrops available property-wide.

Lac Gueret South’s Zone 1

Two distinct electromagnetic conductors appear to occur over a two kilometer length and 50 meters to 600 meters in width as defined by airborne EM geophysics (see the Berkwood news release dated February 10, 2015). The western part of this zone was further defined by ground VLF and EM surveys: four VLF and 22 contiguous PhiSpy EM conductors have been detected over an apparent 800 meters length and up to a 300 meters width. This western area is interpreted as a potential bulk graphite zone interlayered within the hinge of a complex fold. The limbs thin to 50 meters in width further to the east.

A total of 11 rock grab samples were collected in the vicinity of the Zone 1 anomaly: three of these samples contained 36.3%, 14.4%, and 1.04% Cgr(Carbon as Graphite) respectively. The presence of significant values of Carbon as Graphite found in the vicinity of these mainly covered large geophysical anomalies is interpreted to indicate that the anomalies are probably large graphite zones.

Lac Gueret South’s Zone 2

Zone 2 lies immediately south of the Mason Graphite claim boundary and along strike from the graphite zones of Mason Graphite. A total of two VLF-EM and 15 PhiSpy ground geophysical anomalies confirm the occurrence of two parallel east-west conductors. The larger conductor extends 1 kilometer in length and 60 meters in width.

To view details, maps and photos of Berkwood’s properties please click the following link: http://www.berkwoodresources.com/properties.html.

Edward Lyons PGeo (BC, QC, NL) is a Qualified Person under the definition of Canadian National Instrument 43-101, and has approved the technical information in this news release. The Cgr analyses were carried out and certified by AGAT Laboratories of Mississauga, Ontario using a LECO furnace and an infrared detector.

Tom Yingling, President and CEO states, “I am very pleased to be mobilizing ground crews for preparing for the drill program.  This drill program has been years in the making and I look forward to the drill turning early August.  With only approximately 15 million shares outstanding, success at the drill bit could have significant impact on our share price. In addition to this drill program commencing we are pleased to announce that we are designing the exploration program for our Cobalt and Lithium properties as well.”

About the Company: Berkwood is engaged in exploration for the commodities that enable the modern revolution in essential technologies. These technologies are dependent upon materials that enhance the performance of energy storage systems and permit the development and miniaturization of new electronics and structural components in the new suite of innovative tools.  The Company is led by a team with collectively over 100 years experience and have been involved with numerous discoveries of producing mines.

On Behalf of the Board of Directors

Berkwood Resources Ltd.

‘Thomas Yingling’

President, CEO & Director

FOR MORE INFORMATION, PLEASE CONTACT:

Investor Relations:
info@berkwoodresources.com or 1-778-945-2935     www.berkwoodresources.com

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 Disclaimer for Forward-Looking Information:

Certain statements in this release are forward-looking statements, which reflect the expectations of management.  Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future.  Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements.  No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them.  These forward-looking statements reflect management’s current views and are based on certain expectations, estimates and assumptions, which may prove to be incorrect.