Management Cease Trade Order (ccnm)

OTTAWA, ONTARIO--(Marketwire - Sept. 25, 2012) - Focus Graphite Inc. ("Focus" or the "Company") (TSX VENTURE:FMS)(OTCQX:FCSMF)(FRANKFURT:FKC) announces that the Ontario Securities Commission has (the "OSC"), in accordance with its guidelines, issued a Management Cease Trade Order ("MCTO") that prohibits, effective immediately, all trading of the securities of the Company by the Chief Executive Officer and the Chief Financial Officer. The MCTO is being issued following a review by the OSC of the Company's disclosure on the Lac Knife Project (the "Project").

The OSC had advised the Company that it was of the view that Focus had disclosed, in numerous documents, the outcomes on a study that includes the economic analysis of the potential viability of mineral resources on the Project that is not supported by a technical report as required by National Instrument in 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101"). The Company subsequently issued a news release announcing that it had clarified the disclosure on the Project (see press release dated September 10, 2012). The management cease trade order will remain in place until lifted by the OSC upon application by the Company following the filing of a current NI 43-101 compliant technical report on the Project.

Until the MCTO is lifted, Focus will comply with the alternative information guidelines set out in National Policy 12-203 - Cease Trade Orders for Continuous Disclosure Defaults for issuers who have failed to comply with a specified continuous disclosure requirement within the times prescribed by applicable securities laws. The guidelines, among other things, require the Company to issue bi-weekly default status reports by way of a news release so long as the current NI 43-101 compliant technical report has not been filed. As announced in its September 10th news release, the Company is scheduled to release a Preliminary Economic Assessment on the Project within the next few weeks.