Resource Capital Gold Corp. provided this project update at the Dufferin gold project in Nova Scotia. Successful bulk sampling and milling operations continue to deliver positive results in advancing the Project toward full operations. During part-time bulk sampling operations in September, the Company recovered an average of 8.0 grams of gold per tonne of material test mined and milled, processing a total of 3,235 tonnes during the month. The recovered grade represents a 27% increase over the recovered grade during July and August. The increase in recovered grade comes in response to a concerted effort by the Company to identify and target zones of mineralization containing elevated amounts of gold, as well as to conduct efficient mining to minimize dilution. The positive experience gained is now being employed in additional working faces being developed in Saddles 5 and 6, as the Company expands its activities toward full operations. The Company is now conducting mining activities on a 24-hour, 7-day basis, with test milling on a 24-hour basis during week days. Activities include developing additional mining faces for the purpose of increasing the production rate to continue to feed the test milling while accumulating a stockpile to enable the mill to commence activities on a 24-hour, 7-day basis as well. The Company plans to continue increasing mining and processing rates over the balance of the current quarter to reach full capacity during 2018. The Company is not basing its production decision on a feasibility study of mineral reserves demonstrating economic and technical viability; as a result there is increased uncertainty and economic and technical risks of failure associated with its production decision.