RCCMF - Nippon Provides Operational Update and announces Proposed Financing

(TheNewswire)

Brossard (Quebec) – TheNewswire - February 10 th , 2021 - NipponDragon Resources Inc. (“Nippon” or “NDR”) (TSXV:NIP) (OTC:RCCMF) is pleased to report that in 2021 the company has beguntransforming its flagship gold property Rocmec 1 into a dynamic minethrough investments in exploration, development, infrastructure andequipment.

Below are some highlights of recentaccomplishments:

• -- In January 2021 Nippon produced1,000 tonnes of mineralised material. With the implementation ofstrict grade control procedures, the samples returned average gradesof 6.5g/t. Plans have been completed to ramp up production to 3,000tonnes per month within the next 6 months.

• -- Nippon has recently built awell suited workforce, supported by a number of professional miningengineers, geologists and qualified technologists.

• -- Nippon has established a seriesof agreements with a number of renowned engineering firms to provideengineering services and support to operations. Service agreementshave also been made with organizations to provide mining supplies andequipment maintenance services.

• -- The development and productionequipment fleet has been recently upgraded to meet the productiontargets. In particular, Nippon has optimized its thermal fragmentationunits to permit full recovery of our narrow vein Mineralized materialeconomically and with minimum dilution.

• -- Mining at Rocmec 1 is based onstate-of-the-art technology that integrates management and planningprocesses into digital platforms for project control andreporting.

• -- Nippon is in the process offinalizing agreements with third party milling facilities to readilybring bullion to market. Future plans are to build a processingfacility underground at Rocmec 1.

• -- Through the use of a completelymechanized thermal fragmentation extraction process, highlyconcentrated mineralized material is produced with minimum dilution.Minimum mining waste is produced and all waste material is storedunderground, with zero environmental impact. Mine water is alsorecycled, drastically reducing our environmental footprint.

• -- Agreements for expedited loanpayments are being negotiated with our esteemed investors to bring theoperations of our business to profitability within the year.

• -- The proposed development planof mining relies on our Permit to extract up to 44Kt of Mineralizedmaterial underground on our mining lease of Rocmec 1. The company isworking as well on preparing and gathering the required informationfor the various government agencies & authorities to extractbeyond the permitted 44Kt.

In order to support increased production and toimplement the company’s aggressive strategic development programme,the company is in market to raise a minimum of $3.0 million. Terms andconditions of the financing will be made public in a timelymanner.

‘I am very happy to see that our efforts to date arestarting to bear fruit. We are working diligently to secure therequired funding that will enable the company to reach and evensurpass expectations within the next 6 months. I am proud of ourentire team and of their dedication to the success of the project’,states Jean-Yves Therien, Nippon’s interim President and CEO.

Cautionary statement: Thedecision to mine mineralized material is not based on a feasibilitystudy, Mineral resources that are not mineral reserves do not havedemonstrated economic viability.

Qualified Person

The technical content of this news release has beenreviewed on the basis of information received from Nippon Technicalteam as well as personally collected during site visits in 2019 byClaude Duplessis Eng. Geological Engineer from GoldMinds GeoservicesInc, independent Qualified Person under NI 43-101 standards.

About Nippon

Nippon is active in the exploration and the developmentof gold resources in Quebec. The Corporation holds two goldproperties, Rocmec 1 with resources recognised in accordance withNI43-101 and the Denain property. Nippon also has an exclusive licensefor the Thermal Fragmentation mining process.

Le présent communiqué est disponible en françaissite web de Ressources Nippon Dragon.

The company’s growth strategy is based on:

• - The development of its golddeposits with the objective of producing revenue from itsoperations;

  - Increasing the value of its miningassets by prioritizing its exploration targets; and

  - The commercialisation andemployment of its thermal fragmentation technology.

For additional information:

John Stella, Investor relations        (514)718-7976        jstella@nippondragon.com

Jean-Yves Therien, Interim President & CEO        (450) 510-4442         jytherien@nippondragon.com

Neither TSX Venture Exchange nor itsRegulation Services Provider (as that term is defined in the policiesof the TSX Venture Exchange) accepts responsibility for the adequacyor accuracy of this release. This press releaseincludes certain statements that may be deemed "forward-lookingstatements". All statements in this release, other thanstatements of historical facts, that address future explorationdrilling, exploration and production activities and events ordevelopments that the Corporation expects, are forward lookingstatements. Although the Corporation believes the expectationsexpressed in such forward-looking statements are based on reasonableassumptions, such statements are not guarantees of future performanceand actual results or developments may differ materially from those inforward-looking statements. Factors that could cause actual results todiffer materially from those in forward looking statements includemarket prices, exploitation and exploration successes, continuedavailability of capital and financing, and general economic, market orbusiness conditions.

Ressources Nippon Dragon ResourcesInc. 7055 Taschereau Blvd., suite 500, Brossard (Québec) J4Z1A7

Tel: (450)510-4442 www.nippondragon.com

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