Sparton Resources Inc. (TSX VENTURE:SRI) (the "Company") reported today, it has finalized the agreement to acquire the 29 claim SBD Property ("SBD") in Lander County, Nevada, USA, near Battle Mountain (see news release dated March 22, 2006). The property has been acquired under the terms of a lease assignment agreement from the underlying lessee of the claims. The lease assignment agreement is for a 10 year (renewable for an additional 10 years) period with Crescent Valley Minerals Inc. ("CVM"), (successor to Golden Phoenix USA in the news release of January 17, 2006). CVM holds the SBD Property under a previous lease agreement from Aquarian Mining Exploration Inc. ("AME"). CVM has assigned the AME lease to Sparton.

The terms of the SBD Lease assignment agreement include a cash payment of US$100,000 to CVM, and the issuance of 500,000 common shares of Sparton on closing, and a further issuance of 500,000 common shares of Sparton 6 months after closing. The official closing date was June 16, 2006. Sparton will assume the lease obligations of CVM to AME which include total annual payments of US$12,000 (payable quarterly) and on production, payment of a 5% Net smelter return royalty ("NSR"). One half of this royalty can be purchased at any time for $US1.5 million dollars. Sparton will further make annual advance royalty payments of $US75,000 which will be credited against any NSR royalty payments payable on production. Sparton will expend a minimum of $C500,000 on exploration work on the SBD property during the first year of the agreement.

Final closing the SBD agreement required the approval of the Boards of Directors of Sparton, CVM and AME, the receipt and acceptance of a NI 43-101 compliant Technical Report on the SBD Property which has now been received, approval of the TSX Venture Exchange, and any other regulatory authority having jurisdiction over the transaction. All of these conditions have now been met.

THE SBD CLAIMS

The SBD claims comprise 29 lode claims covering approximately 2 square kilometres which are located in Section 20, Township 32N, Range 43E, approximately 10 km west of Battle Mountain. They are approximately 800 metres east of Newmont's Trenton Canyon open pit and approximately 6 km northeast of Newmont's Phoenix development infrastructure. Glamis' Marigold Mine is located about 5km to the north. The property is part of the general Phoenix Mine (8.5 million ounces gold) development area, and within the prolific Battle Mountain - Eureka Gold Trend.

INDEPENDENT TECHNICAL REPORT

The NI 43-101 compliant Independent Technical Report (the "Report") was prepared by Arthur R. Leger P. G., a Nevada based consulting geologist with over 35 years experience in the area. The Report has summarized all past work on the SBD property and provided recommendations for a work program budgeted at USD$450,000. The recommended work involves geophysics, geochemistry, and drilling.

Exploration data for the SBD claim group which was reviewed for the Report documented all retrievable information for work on the property including early drilling information (1992-3) by Echo Bay which was reported in the previous Company news release January 17, 2006. Other later programs were undertaken by Sante Fe Pacific Gold Corporation and International Calneva Resources. Mr. Leger noted that most of the later work focussed on testing favourable host rock units and stratigraphy rather than emphasizing the tracing and testing of various structural zones that appear to host the known mineralization. Geophysical surveys were not undertaken and most of the drill sites and old trenches have been reclaimed. Verification sampling for the Report by Mr. Leger was unable to access the old trenches but surface samples taken elsewhere on the property returned values of up to 9.18 g/t gold.

Three mineralized zones are known on the property, the West, Stibnite and South gold zones. Newer drilling data up to the time work stopped in 1997 indicates several significant areas where the mineralization located by the earlier work was not adequately followed up. Past exploration concentrated on testing local favourable stratigraphic rock units to locate drill targets and ignored the structural controls now known to control much of the mineralization in the Battle Mountain area. Mineralization on SBD appears to be controlled by fault structures along which intrusive rocks have been emplaced. The 1ast drilling in 1996-1997 by International Calneva focussed on the Stibnite and West zones. Over one half of these holes were vertical and would not have intersected near vertical structures hosting gold mineralization, while several angle holes were drilled in a northerly direction or sub parallel to the local structural elements also introducing a high risk of missing these type of targets. Highlights from the 1996 (15 shallow hole) program on the Stibnite and West Zones include:

i) Values converted from Imperial to metric units from International Calneva Gold Corporation reports from 1996 and 1997.

The West Zone appears to trend north westerly and most of the remainder of the 1996 holes were apparently collared east of the structure hosting the mineralization and returned low values. The 1997 drill program consisted of 8 vertical holes testing the South zone. All of these holes also appear to have the missed the structure hosting the South zone which was intersected in Echo Bay angle hole 93-19 (8.0 metres of 1.54 g/t gold and 33 metres of 1.54 g/t gold), (see news release dated January 17, 2006).

The initial part of Sparton's SBD exploration program which will begin in early July 2006, will involve detailed Controlled Source Audio Magneto Telluric (CSAMT) geophysical surveys to properly delineate structures and alteration on the claims and correlate them with the known mineralization. This technique is widely used in Nevada exploration and has been very successful in providing reliable structural information. All previous drill holes will be relocated in the field and old drill data has now been compiled on a comprehensive set of plans and sections. A core drilling program will begin following completion of the geophysics. There is currently a shortage of reverse circulation drilling equipment in Nevada due to the high level of exploration activity, but core drilling equipment is available. Core drilling will also permit proper identification of the geologic controls on mineralization. Approximately ten holes are recommended in the Technical Report. Reverse circulation drilling methods will be used for later drilling programs if warranted.

COAL CANYON CLAIMS

Detailed ground magnetic and CSAMT surveys will also be completed on the Coal Canyon property which was acquired earlier in 2006 by the Company (see news release dated March 22, 2006). The Coal Canyon claims are located east of Lovelock in the West Humboldt Range of Pershing County. The property is southwest of Jipangu Inc.'s (formerly Appollo Gold) Florida Canyon Mine (over 1 million ounces produced), and the Willard and Rochester gold deposits. Previous exploration has outlined a north west trending 1200 metre by 250 metre soil and rock chip gold geochemical anomaly with values up to 3 g/t gold and associated anomalous values in arsenic, antimony and mercury. The zone is associated with a large coincident area of intense hydrothermal alteration with extensive jasperoid development in impure calcareous sediments intruded by felsic and mafic sills and dykes which appear to have been emplaced along thrust faults. A second parallel mineralized zone approximately 500 by 150 metres in size has been defined by recent mapping to the east of the main anomaly.

Sparton consultants recently visited Coal Canyon and samples taken have returned values of up to 2.6 g/t gold over narrow widths in altered material associated with the known structures. A well defined structural intersection zone is interpreted to be centred on the claim group. No drilling has ever been done on the property since it was first identified by modern exploration in 1994. Sparton plans to complete magnetic and CSAMT surveys on the claims prior to commencing a drill program. These will follow completion of the geophysics at SBD.

DISCUSSION

Sparton is encouraged by the findings and recommendations of the SBD Technical Report and is commencing the exploration of both properties immediately. Geophysical results will be reported once surveys are completed.

A copy of the SBD Technical Report will be posted shortly on the Company Website www.spartonres.ca and on Sedar.

Sparton Resources Inc. is a diversified mineral exploration company, which has been an active participant in the Canadian junior resource sector for over 20 years. It holds a portfolio of Chinese, Mexican, U.S. and Canadian mineral exploration properties focussing on base and precious metals, and maintains a 12.5% interest is the south part of the undeveloped Chebucto natural gas discovery in offshore Nova Scotia Canada.

Shareholders, investors, and friends of the Company are invited to attend the Sparton Annual and Special Meeting of Shareholders at 4:30 pm today at the Ontario Club, 5th Floor, Commerce Court East, Toronto.

NOTE: The metric conversion for imperial measure assay data is one ounce per short ton equals 34.3 grams per metric tonne, and one foot equals 0.30 metres.