Mr. James Withall reports

RUPERT RESOURCES REPORTS RESULTS FOR SECOND QUARTER 2018

Rupert Resources Ltd. has released results for the second quarter ending Aug. 31, 2018, and has provided operating highlights for the period at the company's projects in Finland. During the six months ended Aug. 31, 2018, the company spent $2,894,015 (six months ended Aug. 31, 2017 -- $4,283,844) on exploration and evaluation activities. As at Aug. 31, 2018, the company had cash and cash equivalents of $3,720,820.

James Withall, chief executive of Rupert Resources, said: "Rupert achieved a number of key milestones through the quarter, the most important being the completion of a new geological interpretation for the Pahtavaara project. This has confirmed the potential for significant gold and base metals mineralization on Rupert's licence area in the central Lapland greenstone belt and has provided us with a number of new areas of interest. These targets are being followed up with base of till drilling ahead of a new diamond drilling campaign, which we expect to commence by the end of the year."

Operating highlights

Pahtavaara, Northern Finland

Geology and exploration

On July 30, 2018, Rupert published a new geological interpretation for Pahtavaara and the surrounding land package. The new interpretation, combined with historical data, will provide the basis for continuing exploration for gold and base metals. Over the summer fieldwork season, six student geologists mapped and sampled outcrops over the entire Rupert licence area with 947 samples collected including 133 from outcrop. Rupert has also commenced base-of-till (BOT) drilling at a number of near-mine areas (all within five kilometres of the Pahatavaara mill) with the intention of generating a number of new drilling targets. The BOT drilling will continue over the rest of the year, when the campaign will be expanded to include new distal targets generated by the summer fieldwork and new unmanned aerial vehicle magnetic survey data that was gathered in 2018.

At the Pahtavaara mine, the geology team is continuing with their program to increase confidence in, and potentially expand, the resource through to selective relogging and assay portions of the greater than 100 km of unsampled diamond drill core. This work has been augmented by underground channel sampling of the ramp and existing underground development where there is evidence of previously unrecognised mineralization in multiple areas.

Central Finland properties

On Sept. 11, 2018, Rupert announced the results of its 2018 drill program at Hirsikangas. The program consisted of 1,318 m in 10 diamond drill holes and targeted areas close to the historic resource estimate, including one hole under the main deposit, four holes to extend a known parallel or offset structure and a further five holes along the strike of the defined mineralization to identify further parallel or offset structures to the east, testing a resistivity high. Eight out of 10 drill holes intersected the target structures. Fieldwork comprising geological mapping and sampling of boulder, outcrop, soil, and heavy minerals will continue on the property until the onset of winter.

Gold Centre property, Ontario, and Surf Inlet property, British Columbia

A new database of all historic data for Rupert's two Canadian properties has been compiled and an assessment will be made of prior planned work programs for the project.

Financial highlights

Rupert's net loss totalled $1,169,927 for the three months ended Aug. 31, 2018, with basic and diluted loss per share of one cent. This compares with a net loss of $1,572,792 with basic and diluted loss per share of two cents for the three months ended Aug. 31, 2017. No revenue was recorded in either period.

The net loss decreased by $402,865 due to the following:

• Share-based payments decreased by $492,624 as a result of the stock options vested;
• General and administrative expenses increased to $574,484, which was $55,360 higher than the comparable period primarily due to increases in salaries and benefits of $8,191, office and sundry of $72,220, and professional fees of $72,923. The increase was offset by decreases in travel of $72,073, transfer agent cost of $11,413 and consulting fees of $21,415;
• Accretion and interest expense of $310,277 was incurred as a result of the convertible debentures, as compared with $274,291 for the three months ended Aug. 31, 2017.

Management changes

On June 25, 2018, Gunnar Nilsson assumed the role of non-executive chairman of the company, replacing Brian Hinchcliffe, who was the executive chairman until that date. Mr. Nilsson was previously a director of NARL. Prior to this, Mr. Nilsson held senior roles at Johnson & Johnson and Svenska Cellulosa/Molnlycke before retiring to act as a private investor. Mr. Nilsson has over 30 years experience of developing and operating businesses in Europe and through joint venture companies outside Europe.

On July 30, 2018, Dr. Charlotte Seabrook joined the company as group exploration manager. Prior to joining Rupert, Dr. Seabrook was district geologist for Newcrest in West Africa. She has 13 years experience in geology and mining having completed her PhD at the University of Witwatersrand and holds an MSc, mineral resources, from the University of Wales (Cardiff) and is based in Finland.

About Rupert Resources Ltd.

Rupert is a Canadian-based gold exploration and development company that is listed on the TSX Venture Exchange under the symbol RUP. The company owns the Pahtavaara gold mine, mill, and exploration permits and concessions located in the central Lapland greenstone belt in Northern Finland. The company also holds a 100-per-cent interest in: two properties in Central Finland -- Hirsikangas and Osikonmaki; the Gold Centre property, which consists of mineral claims located in the Balmer township, Red Lake, Ont.; and the Surf Inlet property in British Columbia.

Review by qualified person, quality control and reports

In compliance with National Instrument 43-101, Mike Sutton, PGeo, is the qualified person who supervised the preparation of the scientific and technical disclosure in this news release.

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