IMX Resources Ltd.: Graphex Mining Limited Prospectus Available

West Perth - IMX Resources Limited (ASX:IXR) (‘IMX’ or the ‘Company’) advises that Graphex Mining Limited (‘Graphex’), has today lodged a prospectus (the ‘Prospectus’) with the Australian Securities and Investments Commission inviting investors to subscribe for new shares under an initial public offer of Graphex shares (‘Shares’). As previously advised, Graphex is a new wholly-owned subsidiary of the Company which, upon completion of the asset restructure announced on 21 December 2015, will own and operate the flagship Chilalo Graphite Project.

Graphex is seeking to issue a minimum of 21,250,000 Shares and a maximum of 35,000,000 Shares at a price of $0.20 per Share to raise a minimum of $4,250,000 and a maximum of up to $7,000,000 before costs (the ‘Offer’). The Offer includes a priority offer for IMX shareholders (‘IMX Priority Offer’) on IMX's register on a record date of Friday, 8 April 2016.

Palladion Partners Pty Ltd and RM Corporate Finance Pty Ltd have been appointed as joint lead managers for the Offer.

Loyalty options with an exercise price of $0.25 each and expiry date three years from the issue date will be issued free, attaching on a 1 for 3 basis to every person issued Shares pursuant to the Prospectus. These options will vest depending on the number of Shares held by holders of the loyalty options on the date that is three months after Graphex commences trading on the ASX.

Upon successful completion of the Offer, Graphex will seek to list on the ASX and utilise the funds raised to further advance the Chilalo Graphite Project.

IMX shareholders are reminded that as part of the restructure, approximately 16,454,000 Shares will be issued to IMX as part consideration for acquisition of IMX's graphite assets including the Chilalo Graphite Project. These Shares will, subject to IMX shareholder approval at the meeting to be held on 20 April 2016, be distributed in-specie to IMX shareholders (on a record date to be confirmed but estimated to be on or around 11 May 2016) on an approximate 1 for 94 basis.

An indicative timetable for the Graphex Offer and restructure is shown below:

Event                                                                 Date
Lodgement of the Prospectus with ASIC                            4 April 2016
IMX Priority Offer Record Date                                   8 April 2016
IMX Priority Offer Opening Date                                 11 April 2016
IMX Priority Offer Closing Date                                 26 April 2016
Offer Opening Date                                              11 April 2016
Offer Closing Date                                                 2 May 2016
IMX shareholder approval for in-specie distribution             20 April 2016
Estimated record date for In-specie Distribution                  11 May 2016
Completion of In-specie Distribution                              12 May 2016
Issue of Shares and Loyalty Options under the Offer               13 May 2016
Despatch of holding statements                                    13 May 2016
Expected date for Graphex shares to commence trading on ASX       18 May 2016

The Prospectus will be sent to IMX shareholders in the coming days and is available on the Graphex website at www.graphexmining.com.au.

The Prospectus should be read and considered in its entirety before making any decision to invest in Shares. Securities offered pursuant to the Prospectus carry no guarantee in respect of return of capital, return on investment, payment of dividends or the future value of the Shares. Persons wishing to acquire Shares will need to complete an application form accompanying the Prospectus.


PHIL HOSKINS
Managing Director



For further information, please contact:

IMX Resources Ltd.
Phil Hoskins – Managing Director
Tel: +61 8 9388 7877

Stuart McKenzie – Commercial Manager and Company Secretary
Tel: +61 8 9388 7877

Media
Michael Weir & Richard Glass – Citadel-MAGNUS
Tel: +61 8 6160 4900



About IMX Resources Limited

IMX Resources is an Australian minerals exploration company that holds a substantial tenement package at the Nachingwea Property in south-east Tanzania. The Nachingwea Property hosts the Chilalo Graphite Project, the Ntaka Hill Nickel Project and the Kishugu and Naujombo Gold Prospects.

IMX’s primary focus is on developing the high-grade and coarse flake Chilalo Graphite Project. The Pre-Feasibility Study (‘PFS’) released on 23 November 2015 outlined a low cost, high margin operation, with attractive project economics and confirmed the potential viability of a small scale open pit mining and conventional flotation processing operation. The PFS is based on a high-grade Indicated and Inferred JORC Mineral Resource of 9.2 Mt grading 10.7% Total Graphitic Carbon (‘TGC’), comprised of an Indicated Resource of 5.1 Mt grading 11.9% TGC for 613,800 tonnes of contained graphite and an Inferred Resource of 4.1 Mt grading 9.1% TGC for 370,300 tonnes of contained graphite. Chilalo is located approximately 220 km by road, from the deep water commercial Mtwara Port, the majority of which is a sealed main road. IMX aims to become a respected supplier of high quality graphite.

The Company has entered into a Memorandum of Understanding with China Gold Investment Co. Ltd. and CN Docking Joint Investment and Development Co. Ltd. (a wholly owned subsidiary of China National Building Material Group Corporation), under which the parties have agreed to an exclusive negotiation and due diligence period, ceasing on 31 July 2016, for developing the Chilalo Graphite Project.

To find out more, please visit www.imxresources.com.au.