Nippon Dragon Resources Inc. announces creation of a joint-venture with Val d'Or Resources Corporation

Brossard, August 3rd, 2017, Nippon Dragon Resources Inc. (the "Company" or "Nippon") (TSX-V Symbol: NIP) is extremely pleased to announce the creation of a joint-venture partnership agreement with an American company, Val d'Or Resources Corporation.

Management personnel of Val d'Or Resources Corporation have recently completed their due diligence by an on-site visit of both properties owned by Nippon, Denain and Rocmec 1. They also have firsthand knowledge of Nippon's exclusive and patented thermal fragmentation mining process as it is currently employed on one of their projects in Arizona; including the cost savings, efficiency and ease of use that the technology offers as well as the safety features for its mining personnel.

As a result of the joint-venture, a new entity Rocmec Gold Inc., will be created, of which Nippon will hold a 51% interest and Val d'Or Resources Corporation a 49% interest. Once completed, Rocmec Gold Inc. will hold both the Denain and Rocmec 1 properties, additional mining acquisitions in Quebec, and a percentage ownership of the patents related to the thermal fragmentation mining process. Val d'Or Resources Corporation is currently in the process of securing the requisite funds totaling $16,200,000 Cdn.


Use of proceeds:

• Re-activate the Rocmec 1 project, including paying off its first rank mortgage and a drill programme to further increase its mining resources with an updated 43-101,


• Exploration drill programme on the Denain project and secure a 43-101,


• Acquisition of additional mining properties in the Val d'Or region of Quebec;


• Acquire a percentage ownership of the patents related to the thermal fragmentation mining process.

"I am extremely pleased with the positive synergy that exists between Val d'Or Resources and Nippon Dragon Resources as a result of Donald Brisebois's leadership, experience and professionalism", stated Mr. Michael Pilgrim, president of Val d`Or Resources Corporation.

"On behalf of myself, management and our board of directors, we would all like to publicly express our sincere gratitude to both Mike and Boyd for their steadfast commitment and unwavering support of Nippon and our thermal mining process since day one of our relationship", stated Mr. Donald Brisebois, president & CEO of Nippon Dragon Resources Inc.

Additional information and confirmation of the transaction will be made public via a press release in the coming weeks.


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 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

Nippon Dragon Resources Inc.
7055 Taschereau Blvd., suite 500
Brossard (Quebec) J4Z 1A7
Tel: (450) 510-4442
www.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.

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