Nippon Dragon Resources Inc. updates progress in Arizona

Brossard, Quebec - March 14th, 2017: Nippon Dragon Resources Inc. (the "Company" or "Nippon") (TSX-V Symbol: NIP) is pleased to announce that the commissioning phase has begun of its 75 tonne per day treatment plant in Arizona. To date, all the equipment has been checked, adjusted and/or replaced. Currently, we estimate that we generate more concentrate per tonne milled than our laboratory studies, which is positive. The goal is to achieve a recovery rate of 90%. Nippon's management and its customer Horseshoe llc are satisfied with the work carried out to date and are confident that the plant will be well managed by the team in charge, a total of approximately 250 tonnes of ore will be used to complete the commissioning phase which should be completed by the end of March.

"The plant's 75 tonne per day capacity with thermal ore is equivalent to between 300 and 375 tonnes of conventional ore. The extraction accuracy reduces the dilution to a minimum and thus increases the plant's actual capacity by a factor of 4 to 5 times, "said Donald Brisebois, President and CEO of Nippon

Additionally, Nippon and its customer have decided to mobilize a second thermal unit and drill to increase the tons produced. The decision was made following the discovery of another mineralized structure identified close to one that is currently being fragmented.

The UMCO 75 F is the fruit of many years of research and development, this concept is a viable solution for small scale mining.

With the thermal fragmentation mining method developed by Nippon Dragon Inc., gold is extracted directly and solely from within the vein. The size of the feed ore could range from 0 - 3 inches (0 - 75mm) then ground to obtain a granulometry of 80% passing 200 mesh that will supply a series of flotation cells and a gravimetric concentrator in order to obtain a high-grade gold ore concentrate that will then be refined by a specialised company. This technology is supported by an understanding of the metallurgy of the ore which allows for constant control and sequential analysis of the different parameters of the process. A truly new innovation in the mining industry, this new concept has many advantages: easy to install, fully automated, mobile and especially profitable.

Please follow the link below to view a complete overview of our treatment plant. https://youtu.be/kyN70LbdXcQ

About Nippon

Nippon is active in the exploration and the development of gold resources in Quebec. The Corporation holds a gold property with resources recognised in accordance with NI43-101, a modular treatment plant and also an exclusive license for the Thermal Fragmentation mining method.

The company's growth strategy is based on:

• -The development of its gold deposits with the objective of producing revenue from its operations;

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

  -The commercialisation and employment of its thermal fragmentation technology.

For additional information:

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

Donald Brisebois, President & CEO (450) 510-4442 dbrisebois@nippondragon.com

Neither 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. This press release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration and production activities and events or developments that the Corporation expects, are forward looking statements. Although the Corporation believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.

Ressources Nippon Dragon Resources Inc. 7055 Taschereau Blvd., suite 500, Brossard (Quebec) J4Z 1A7

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

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