Sphere Resources Inc.
TSX VENTURE : SPH.H

Sphere Resources Inc.

September 13, 2011 09:38 ET

Sphere Resources Inc. Secured Convertible Promissory Note With Spartan Gold Limited

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 13, 2011) - Sphere Resources Inc. ("the Company"), listed on the NEX Board of the TSX Venture Exchange (TSX VENTURE:SPH.H) is pleased to make the following announcement:

On September 7, 2011; the Company signed a secured Convertible Promissory Note with Spartan Gold Limited (OTCBB:SPAG), a company incorporated under the laws of the State of Nevada. SPAG promises to pay the Company the principal sum of US$375,000 on or before September 30, 2011 and shall pay interest of eight percent (8%) per annum on US$200,000 of the principal sum from August 26, 2011 and on the remainder of the unpaid principal balance (US$175,000) from the date of the Note until September 30, 2011 or until paid.

The principal sum of US$375,000 is made up of: (i) US$200,000 of cash payments made by the Company to SPAG, (ii) US$57,750 due to the Company under the terms of the Poker Flats Property and (iii) US$117,250 due to the Company under the terms of the Ziggurat Property Agreement (as announced in the news release of April 1, 2011). SPAG may prepay the principal and interest amount outstanding, in whole or in part, at any time without penalty. Any partial payment shall be applied first against accrued interest and then the principal amount outstanding and shall not postpone the due date of any subsequent payments or change the amount of such payment.

As security for the indebtedness, SPAG grants the Company all interest of the assets and property of SPAG, including, but not limited to, its mining claims located in Elko County, Nevada, known as the Poker Flats Property, under an Option and Mining Claim Acquisition Agreement dated as of December 20, 2010 with Mexivada Mining Corporation ("Mexivada"), SPAG and the Company, as amended by an Amendment dated March 28, 2011 (the "Poker Flats Property Agreement"), and the mining claims located in Nye County, Nevada, known as the Ziggurat Property, under an Option and Mining Claim Acquisition Agreement dated December 27, 2010 with Mexivada, SPAG and the Company, as amended by an Amendment dated March 28, 2011 (the "Ziggurat Property Agreement").

In addition, SPAG has agreed to the following:

SPAG shall instruct its transfer agent to issue and deliver to the Company within 10 business days; 25,000,000 "restricted shares" of SPAG's common stock, par value U.S.$0.001.

SPAG shall concurrently issue and deliver to the Company a warrant for the purchase of an additional 25,000,000 Spartan Shares at an exercise price of U.S.$0.10 per share for a period of five years expiring September 7, 2016; and

SPAG shall prepare and file a Form S-1 Registration Statement (or a similar document) under the Securities Act no later than two months from the date of the Promissory Note to register the Spartan Shares.

SPAG acknowledges that the Promissory Note and the contemplated transactions are subject to the approval of the NEX Board of the TSX Venture Exchange as applicable to the Company.

Immediate Benefit to Sphere

Sphere now controls 14.48% of SPAG on an undiluted basis and 23.61% on a fully diluted basis. By advancing $200,000 to SPAG Sphere was able to ensure the crystallization of the $175,000 owed by SPAG to Sphere for the sale of the interests in Poker Flats and Ziggurat earlier this year as well as the agreement to complete the registration statement for trading of a larger portion of Sphere´s shareholding.

About Sphere Resources Inc.

Sphere Resources Inc. is focused on identifying and appropriating exploration targets and other high quality assets in major global mining camps with a particular emphasis on precious metals. It is currently involved in exploring for gold mineralization in the Red Lake District of Ontario and Nevada U.S.A.

On behalf of Sphere Resources Inc

Malcolm L Stevens, Executive Chairman and President

Neither the NEX Board of 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 release.

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