1.727 million tonnes grading 0.94 per cent lithium oxideFar Resources to option Zoro I claim in Manitoba 2016-04-28 14:09 ET - News Release Mr. Keith Anderson reports FAR RESOURCES ENTERS INTO OPTION AGREEMENT ON LITHIUM PROPERTY Far Resources Ltd. has entered into an agreement to option the Zoro I claim located in the Snow Lake area in Manitoba. The Zoro I claim The Zoro I claim covers approximately 52 hectares near Wekusko Lake in western Manitoba. The Zoro I claim covers a number of known lithium pegmatite occurrences, one of which contains a historical reserve based on 1956 drilling on the principal dike of 1.727 million tonnes grading 0.94 per cent lithium oxide. The mineral reserve cited above is presented as a historical estimate and uses historical terminology which does not conform to current standards and, as such, should not be relied upon. Although the historical estimates are believed to be based on reasonable assumptions, they were calculated prior to the implementation of National Instrument 43-101. These historical estimates do not meet current standards as defined under sections 1.2 and 1.3 of NI 43-101 and therefore should not be relied upon. Zoro option agreement The company has entered into the agreement with Top Notch Marketing Ltd., R. Ross Blusson and Double-U-Em Investments Ltd., effective as of the date of this news release. Under the terms of the agreement, the company can acquire a 100-per-cent interest in and to the Zoro I claim upon meeting the following requirements: 1.Upon the execution of the agreement, Far Resources must pay each of the optionors $16,666.66 in cash and issue to each of the optionors 333,333 common shares. 2.On the first anniversary of the date of the agreement, Far Resources must provide the optionors with total consideration of $300,000, which, at the election of the optionors, can be satisfied by either: (i) paying each of the optionors $50,000 in cash and issuing each of the optionors that number of shares worth $50,000 at the time of issuance, based on the average price (defined as follows); or (ii) issuing each of the optioors that number of shares worth $100,000 at the time of issuance, based on the average price. 3.On the second anniversary of the date of the agreement, providing the optionors with total consideration of $600,000, which, at the election of the optionors, can be satisfied by either: (i) paying each of the optionors $100,000 in cash and issuing each of the optionors that number of shares worth $100,000 at the time of issuance, based on the average price; or (ii) issuing each of the optionors that number of shares worth $200,000 at the time of issuance, based on the average price. The average price means the average of the common shares' closing prices for the 10 consecutive trading days immediately before the date in question. Far Resources must satisfy all of the conditions above to be deemed to have exercised the option. Financing The company also wishes to announce a financing of up to 10 million units at a price of five cents per unit to raise a total of up to $500,000. Each unit consists of one common share in the equity of the company and one-half of one share purchase warrant. Each whole warrant will entitle the holder to acquire one additional common share at an exercise price of 10 cents for a period of 24 months from closing of the financing, provided that, in the event that the closing price of the outstanding common shares on the Canadian Securities Exchange is greater than 15 cents for a period of 20 consecutive trading days at any time following the closing of the financing, the company may, at its option, accelerate the expiry date of the warrants by giving written notice to the holders of the warrants and, in such case, the warrants will expire on the earlier of: (i) the 30th day after the date on which such notice is given by the company; and (ii) 24 months from the closing of the financing. A finder's fee, in accordance with the policies of the CSE, may be payable in cash and warrants from the proceeds of the proposed financing. All securities issued pursuant to this financing will be subject to a four-month-and-one-day hold period from the date of closing. The financing is subject to regulatory approval. Resignation The company is also announcing that Derek Huston has resigned as a director of the company. The company wishes to thank Mr. Huston for his service and offers its best wishes for success in his future endeavours. The technical content of this news release has been reviewed and approved by Lindsay Bottomer, PGeo, an independent director of Far Resources and a qualified person under NI 43-101