Sayona Mining Ltd. Underwritten Share Purchase Plan

Brisbane - Sayona Mining Ltd. (ASX:SYA) (OTCMKTS:DMNXF) ("Sayona" or the "Company") is pleased to offer eligible shareholders the opportunity to apply for new, fully paid ordinary shares (New Shares) in Sayona under a Share Purchase Plan (the SPP).

The SPP is underwritten to $1,500,000 by Patersons Securities Limited (Patersons) which is acting as Lead Manager and Underwriter to the offer.

Funds raised under the SPP will be used to accelerate the development of the Authier project in Canada. Work programs will be focused on enhancing the value of the project, including:

- Resource upgrade following the completion of the Phase 2 drilling program;

- Geotechnical and hydrogeological programs to improve the pit wall slopes and reduce the life-of-mine waste movement;

- Further metallurgical testing to optimise recoveries and concentrate grades;

- Updating the February 2017 Pre-Feasibility Study and Ore Reserve;

- Studying the potential for producing value-added lithium carbonate and/or hydroxide; and

- Continuation of the environmental and mining lease work programs.

In addition, the Company is progressing its Mallina project in the world-class Pilgangoora lithium district in Western Australia, where mapping and sampling programs have outlined a number of prospective lithium targets.

The SPP provides the opportunity for eligible shareholders (being approximately 1,670 shareholders)to subscribe for up to $15,000 worth of New Shares without incurring brokerage or other transaction costs.

The issue price will be determined at the issue date of New Shares under the SPP based on a 20% discount to the volume weighted average price of Sayona shares traded on the ASX during the 5 days immediately prior to the issue date of the New Shares.

The Directors have determined that offers under the SPP will be made to eligible shareholders, being those who are the registered holders of fully paid ordinary shares in the Company as at 5.00pm EST on 12 April 2017 (Record Date), and whose address in the Company's register is in Australia or New Zealand.

The Directors reserve the right to expand the size of the SPP (subject to ASX Listing Rules) or scale back SPP acceptances at their discretion.

In addition, the Company has granted Patersons the right but not the obligation to facilitate a placement of additional Shares at the same issue price as the SPP to raise circa $1,500,000 (Top Up Placement).

Full details of the SPP will be contained in an offer document which is scheduled to be dispatched to Eligible Shareholders on or around 20 April 2017. The proposed timetable for the SPP is set out below, however Directors reserve the right to vary the dates and times without notice.

------------------------------------------------------------------
          Event                                 Date     

Record Date 5pm (EST)                         12 April 2017 
Announcement of Share Purchase Plan           13 April 2017 
Despatch of SPP Offer Document                20 April 2017 
Opening Date                                  20 April 2017 
Closing Date                                  10 May 2017 
Issue Date of new Shares and Dispatch of
Holding Statements                            15 May 2017 
New Shares commence trading on ASX            17 May 2017  
------------------------------------------------------------------

About Sayona Mining Ltd:

Sayona Mining Ltd. (ASX:SYA) is a company focused on sourcing and developing the raw materials required to construct lithium-ion batteries for use in the rapidly growing new and green technology sectors. Please visit us as at www.sayonamining.com.au



Contact:

Sayona Mining Ltd.
Paul Crawford Company Secretary
Phone: +61-416-104-633
Email: pcrawford@sayonamining.com.au
www.sayonamining.com.au