Rimfire Minerals Corporation

Rimfire Minerals Corporation

August 20, 2007 10:09 ET

Drilling Commences at Rimfire's Tide Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 20, 2007) - David Caulfield, President and CEO of Rimfire Minerals Corporation (TSX VENTURE:RFM) ("Rimfire") is pleased to report that drilling has commenced at the Tide Property, 36 km north of the port of Stewart, BC. American Creek Resources Ltd. is funding and operating the program with approximately 3300 metres (10,800 feet) of drilling planned.

The 2007 exploration program will target the Crest gold-arsenic soil geochemical anomaly which hosts the 36 Zone where drilling in 2004 intersected 129.4 metres averaging 1.0 g/t gold, including a 39.2 metre interval averaging 1.9 g/t gold. Follow-up drilling in 2005 extended the 36 Zone, intersecting gold mineralization laterally and on section from the discovery hole. The goal of the current program is to continue expansion of the 36 Zone gold mineralization and test additional targets within the 2000 by 500 metre Crest Anomaly.

Rimfire was initially attracted to the road-accessible Tide Property by its large soil and silt geochemical anomalies, the extent and high grades of its precious metal mineralization (15 gold showings within a 7 square kilometre area), favourable infrastructure and location within the metal-endowed Stewart-Sulphurets corridor. This corridor is host to over 26 million ounces of gold including recently defined resources at deposits such as Mitchell (13.1 million ounces gold defined by Seabridge Gold) and Snowfield (3.0 million ounces gold defined by Silver Standard Resources).

American Creek is funding exploration at the Tide under an option agreement to earn a 51% interest in the property. Upon vesting, American Creek has the option to earn an additional 9% interest (for a total of 60%) in return for funding a further $3.5 million in exploration by December 31, 2010. A further 5% interest can be earned by funding a bankable feasibility study, and at Rimfire's election, American Creek can earn another 5% (total 70%) by providing 100% of the initial project financing for mine construction. Rimfire expects American Creek will vest the original option to earn 51% interest during the 2007 field season, as the budgeted program ($1.2 million) exceeds the required $512,000 in expenditures.

Equity Engineering Ltd. has been contracted by American Creek to conduct the 2007 program. Mark Baknes, P.Geo., is Rimfire's Qualified Person for the project as defined by National Instrument 43-101.

About Rimfire

Rimfire Minerals Corporation is an aggressive, well-financed mineral exploration company with a portfolio of highly prospective gold and silver properties in western North America. Rimfire is partnered with Newmont Mining Company, Northgate Minerals Corporation, Fronteer Development Group, Rubicon Minerals Corporation, Cangold Limited, American Creek Resources Ltd., Island Arc Exploration Corporation, Arcus Development Group Inc. and BWG.

On behalf of Rimfire Minerals Corporation

David A. Caulfield, President

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Rimfire Minerals Corporation
    David Caulfield
    (604) 669-6660
    Rimfire Minerals Corporation
    Jason Weber
    (604) 669-6660
    Rimfire Minerals Corporation
    Suite 700 - 700 West Pender St.
    Vancouver, B.C. Canada V6C 1G8
    (604) 669-0898 (FAX)
    Email: info@rimfire.bc.ca
    Website: www.rimfireminerals.com