Mr. Patrick Anderson reports

DALRADIAN ANNOUNCES POSITIVE GRADE RECONCILIATION STUDY

Dalradian Resources Inc. has provided the following update. An internal grade reconciliation study has shown an increase of 12 per cent in grade and 16 per cent in ounces contained within a portion of the V-75 vein, which is currently undergoing test stoping, at the company's high-grade Curraghinalt gold deposit in Northern Ireland. The study reconciles estimates of contained gold from the SRK resource model with a Dalradian grade control model from the same area across the full width of the V-75 vein. The Dalradian model is based on tighter-spaced definition drilling of the test stope areas and a higher number of on-vein face and channel samples. Work on the test stopes is proceeding, and results will be released as they are received and interpreted.

  
                          May, 2016, SRK      July, 2016, DGL V-75        Difference       
                                resource             grade control        
 
Grade (g/t) Au                     19.13                     21.42               12%
Ounces of gold 
(top cut of 75 g/t)                  859                       996               16%
 

Patrick Anderson, Dalradian's president and chief executive officer, commented: "This study demonstrates that as the drilling and sampling density is increased in the portion of the V-75 vein examined, the grade and contained ounces also increase. This pattern is also evident in our mineral resource estimate where the grade increases as we move from inferred to indicated to measured, and the drill spacing and confidence increase."

The area tested for the reconciliation study (the V-75 vein test stopes) is 40 metres long by 23 metres high. The two models are described below and a visual comparison of the amount of data and location can be found on the company's website.

May, 2016, SRK resource model:

• Ordinary kriged model with 80-metre-spaced resource drilling and limited face sampling;
• Face samples are capped to 90 grams per tonne gold and drill core samples are capped to 50 grams per tonne gold for the V-75 vein;
• Face sampling data are restricted to a 10-metre search influence;
• Based on 591 holes for 132.3 kilometres of drilling for the entire resource;
• All samples composited to 0.5-metre lengths.

July, 2016, DGL V-75 grade control model:

• The grade control model uses all data available in the first run (all face and channel samples, all grade control and drill hole composites);
• Internal Dalradian July, 2016, inverse distance squared model;
• Grade control drilling of 44 holes (3,300 metres) was conducted at approximately eight-metre spacing to augment the resource stope wireframe;
• Two capping approaches were used on the stoping areas (all samples -- face, drill core and channel -- capped to 50 grams per tonne gold, and all samples capped to 75 grams per tonne gold). There was little variation between the two, showing that the stope estimation was not sensitive to capping strategy. The 75-gram-per-tonne-gold cap approach has been applied for the purposes of this news release;
• The assayed grade from face and channel sampling in the same zones is nearly identical (approximately 3-per-cent difference);
• Comparison between ordinary kriging and inverse distance squared shows a difference of less than 2 per cent. Comparison between nearest neighbour and inverse distance squared shows a difference of 7 per cent or less;
• All samples composited to 0.5-metre lengths.

Curraghinalt hosts an NI 43-101-compliant resource consisting of:

• Measured -- 25,000 ounces of contained gold (30,000 tonnes at 26.99 grams per tonne gold);
• Indicated -- 2.07 million ounces of contained gold (5.58 million tonnes at 11.53 grams per tonne gold);
• Inferred -- 2.31 million ounces of contained gold (7.13 million tonnes at 10.06 grams per tonne gold).

For more details on the mineral resource estimate, please see Dalradian's NI 43-101 report dated June 17, 2016, prepared by SRK and titled "Technical report for the Northern Ireland gold project, Northern Ireland."

Qualified person

Greg Hope, MSc, MAIG, chief consulting geologist of Dalradian, is the qualified person who supervised the preparation of the technical data in this news release.

Underground development along veins was sampled by the production geologist via chip panel sampling across the full width of the face for each round on advance. Distinct geological zones were sampled separately (vein separate from wall rock), with a general minimum-maximum horizontal sample width of 0.1 metre to one metre and chip sizes approximating three to four centimetres. Four to five kilograms of material were chipped with a rock hammer from two-thirds the height of each face down to the sill, in volumetric proportion based on relative abundance of mineralization versus gangue. Sample locations were measured from a surveyed control point. Channel samples were saw-cut into the sills of the 170 and 150 western sublevels along the V-75 vein for comparison with face and drill hole sampling.

Samples were submitted to ALS Laboratories in the Republic of Ireland. Quality assurance and quality control procedures identified no material issues. Face and channel samples were analyzed by a 50-gram-gold fire assay with either an atomic absorption or a gravimetric finish for samples initially reporting over 100 grams per tonne gold.

ALS Laboratories is accredited by the Irish National Accreditation Board (INAB) to undertake testing, including for ores and minerals, as detailed in the schedule bearing the registration No. 173T, in compliance with the international standard ISO/IEC 17025:2005 second edition "General requirements for the competence of testing and calibration laboratories."

About Dalradian Resources Inc.

Dalradian is focused on advancing its high-grade Curraghinalt gold project located in Northern Ireland. The company is in the midst of a work program in support of a planning (permitting) application for construction of an operating mine at Curraghinalt. Components of the program include a feasibility study, an environmental and social impact assessment, and underground exploration (at least 950 metres of development with associated test stoping).

We seek Safe Harbor.