Berkwood Acquires Additional Claims Covering New Graphite Showing on the Lac Gueret East Graphite Property, Quebec

Berkwood Resources Ltd.

Berkwood Acquires Additional Claims Covering New Graphite Showing on the Lac Gueret East Graphite Property, Quebec

Thursday, July 18, 2013 9:00 AM

Berkwood Resources Ltd. (TSX.V:BKR) ("Berkwood" or "the Company"), is pleased to announce that it has acquired, through staking, additional contiguous ground immediately to the north of its Lac Gueret East Graphite property located in northeastern Quebec. The newly acquired claims will be added to the current 59 contiguous claim (3,186 ha) Lac Gueret East Graphite Property where during the fall 2012 exploration program the first Graphite bearing zone on the Property was discovered.

The newly acquired claims comprise 4 blocks, (216 ha total) located to the north, and adjacent to the original Lac Gueret East Graphite property (see appended maps The claims cover a reported (MRNQ, 2013_031) graphite showing discovered in 2011 during geological mapping by Geologie Quebec government geologists. They describe the showing as a metre-thick, graphite paragneiss interlayered with calc-silicates and pyroxenite in a graphite-garnet paragneiss. The graphite mineralization is described as massive with elevated Cgr (Carbon as Graphite) values.

Brian Buchanan, President and Director of Berkwood commented: "We are pleased to have enhanced our evolving graphite exploration property east of the significant Mason Graphite discoveries. This area of Quebec is known for high purity, large flake graphite and has been identified as an ideal geological setting towards achieving our graphite exploration goals."

About Lac Gueret East Graphite Property

Berkwood's 3402 Ha Lac Gueret East Graphite Property borders the eastern boundary of Mason Graphite's advanced Lac Gueret Property which has a NI 43-101 compliant mineral resource estimate with measured & indicated mineral resources of approximately 7.6 million tonnes grading 20.40% Cgr. Berkwood's Lac Gueret East Graphite Property shares a similar geological environment as Mason Graphite's Lac Gueret Property including along strike stratigraphic units and structures. Graphite in the vicinity ranges from 3% to 40% Cgr, exhibiting flakes up to 5 mm in diameter.

Berkwood commenced a phase 1 fieldwork program on the Lac Gueret East Property in October 2012 with the objective to delineate prospective graphite zones. During prospecting the first graphite bearing zone on the Property was discovered. The graphite bearing zone, which is traceable at surface extends a minimum of 55 metres, has a mean true width of 4-5 metres and trends northeast. A phase 2 work program is planned, with proposals for an airborne electromagnetic survey, surface work follow up, stripping and trenching, with the objective of generating targets for drill testing (see Berkwood news release dated September 27, 2012 for details).

Alain Berclaz, P.Geo a consultant to the Company and a Qualified Person as defined by NI 43-101, has reviewed and approved the technical information contained in this news release.

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On behalf of Berkwood Resources

"Brian Buchanan"

Brian Buchanan, President and Director

For additional information please contact:

Karim Sayani, Corporate Communications

Tel: (604) 662-7455 E-mail: [email protected]

Tom Steer, Media Relations Manager

Tel: (604) 662-7455 E-mail: [email protected]

Forward Looking Statements

This Berkwood News Release may contain certain "forward-looking" statements and information relating to Berkwood that are based on the beliefs of Berkwood's management as well as assumptions made by and information currently available to Berkwood's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitation, competitive factors, general economic conditions, relationships with strategic partners, governmental regulation and supervision, seasonality, technological change, changes in industry practices, and one-time events. Should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results and forward-looking statements may vary materially from those described herein. Except as required by law, Berkwood does not assume the obligation to update any forward-looking statement.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.