Rainy River Resources Ltd.
TSX VENTURE : RR

Rainy River Resources Ltd.

February 28, 2011 08:00 ET

Rainy River Intersects 942.6 g/t (27.5 oz/ton) Gold Over 3.0 Metres in Newly Discovered "Gap" Zone

TORONTO, ONTARIO--(Marketwire - Feb. 28, 2011) - Rainy River Resources Ltd. (TSX VENTURE:RR) (the "Company" or "Rainy") announces further assay results from the Rainy River Gold Project ("RRGP") in Northwestern Ontario. These results comprise the remaining 2010 drill campaign and include the first round of assays from the 2011 exploration program. None of this data has been included in the latest NI 43-101 resource estimate (3.42 M oz Measured & Indicated, 3.17 M oz Inferred, see news release dated February 24, 2011) for the RRGP. All results are summarized in Table 1, below. Significant intercepts are discussed below.

To see images associated with this release please go to the following link: http://media3.marketwire.com/docs/rr228image.pdf.

Highlights

  • 942.6 g/t (27.5 oz/ton) gold and 54.2 g/t (1.5 oz/ton) silver over 3.0 m in newly discovered Gap Zone between ODM and Beaver Pond Zones
  • 4.7 g/t gold over 7.5 metres in the Gap Zone
  • 2.7 g/t gold over 37.5 m in 17 Zone, including 5.0 g/t gold over 15.0 m
  • 1.4 g/t gold over 33.0 m in South Zone
  • HS Zone potential expands westward – 41.4 g/t gold over 1.5 m

ODM/17 Zone

Drilling within the ODM/17 Zone continues with efforts focused on the gap between the western ODM and the Beaver Pond Zones (referred to as the Gap Zone). Drill hole NR10-633 intersected several intervals of high-grade gold mineralization, with the most significant interval grading 942.5 g/t gold over 3.0 m, including 1,845.0 g/t gold and 99.2 g/t silver over 1.5 m and 40.1 g/t gold and 9.1 g/t silver over 1.5 m. This intersection lies approximately 150 metres east of a previously-announced high-grade intersection from the Beaver Pond Zone (352.8 g/t gold over 6.0 m in hole NR09-446, see press release dated January 18th, 2010) at a similar elevation and represents a new area for exploration. Each of these intercepts contained notable quantities of visible gold. A second interval within the GAP Zone, and lying approximately 15 metres above this high-grade interval in hole NR10-633, assayed 4.7 g/t gold over 7.5 m.

Further downhole in NR10-633 a third high-grade intersection was discovered within the HS Zone corridor, grading 41.4 g/t gold over 1.5 m. This intersection lies approximately 400 metres west of the main HS Zone mineralization and opens up the potential for a western expansion of the HS Zone.

On the east side of the deposit, drill hole NR10-620 intersected a shallow intercept in the 17 Zone grading 2.7 g/t gold over 37.5 m, including 5.0 g/t gold over 15.0 m (including 12.0 g/t gold over 1.5 m and 28.9 g/t gold over 1.5 m). This intercept lies approximately 50 metres below the surface. Deeper within the 17 Zone drill hole PE1003 intersected 48.8 g/t gold over 1.5 m in the hanging wall at a depth of 200 metres. Also in the ODM/17 Zone, drill hole NR10-612 intersected a 66.0-metre wide interval grading 1.2 g/t gold, including 7.1 g/t over 1.5 m and 6.3 g/t gold over 1.5 m, at a depth of 400 metres below the surface. 

South Zone & Western Area

Results from the South Zone continue to show encouraging intercepts of gold mineralization. This area is an important component of the 2011 exploration program, where the possibility exists to add shallow resources for an open pit operating scenario both to the south and along strike. Recent assay results include 1.4 g/t gold over 33.0 m in hole SZ1001, 0.6 g/t gold over 15.0 m in NR10-612, 0.7 g/t gold over 42.0 m in NR10-619 and 1.1 g/t gold over 9.0 m in hole NR10-625

Grass roots exploration in a new area approximately 800 metres northwest of the Beaver Pond Zone, termed "Western Area", has returned encouraging results including 1.1 g/t gold over 4.5 m and 0.6 g/t gold over 22.5 m in drill hole R10-618. Hole CP1002 returned similar values, with 0.5 g/t gold over 7.5 m and 1.1 g/t gold over 4.5 m, near surface.

Commentary

"These initial results from our 2011 drill program are an excellent beginning to expand our resources from our recently announced NI 43-101 resource estimate," commented Raymond Threlkeld, President and CEO. "The area between the Beaver Pond and ODM Zones is possibly another high-grade structural shoot, similar to others we've seen throughout the deposit. The discovery of gold-bearing mineralization over 800 metres along strike in the newly discovered Western Area to the northwest of Beaver Pond opens up significant untested exploration potential."

Qualified persons

Rainy River's exploration program in Richardson Township is being supervised by Kerry Sparkes, P.Geo. Vice-President Exploration, a Qualified Person as defined by National Instrument 43-101. Garett Macdonald, P.Eng., Vice President Operations and Kerry Sparkes P.Geo. are the persons responsible for the content of this news release. The Company continues to implement a rigorous QA/QC program to ensure best practices in sampling and analysis of drill core. All drill core is marked for sampling and then split in half with a diamond saw blade. Samples are placed in sealed bags with security tags. All samples were assayed using a standard fire assay, 30 gram nominal sample weight with an AA finish. Over-limit samples were re-assayed with a gravimetric finish. Samples with visible gold were automatically analyzed for Ore Grade by 1000g screen fire assay, with coarse and fine fractions being combined proportionately and the fine fraction being assayed twice. Standards, blanks and duplicates are inserted every 25 metres. ALS Canada Ltd. performed primary assaying, with duplicates being analyzed at Activation Laboratories Ltd. ALS Canada Ltd. and Activation Laboratories Ltd. implements independent QA/QC protocols that include the insertion of certified blanks and standards as part of their routine analysis.

About Rainy River Resources Ltd.

Rainy River Resources is a Canadian precious metals exploration company whose key asset is the Rainy River Gold Project. With over CAN$130 million in its treasury, the Company is well funded to conduct a dual-focused drilling program consisting of: 1) definition diamond drilling of the main gold resources in preparation for scoping and pre-feasibility studies, and 2) selective diamond drill testing of high-priority gold targets defined primarily by RC drilling within the large gold system centered in Richardson Township. The Company's property is extremely well located in the southwestern corner of northern Ontario near the U.S. border. It is accessed by a network of roads and is close to hydro-electric infrastructure. The Rainy River district has a skilled labour force and is one of the lowest-cost areas for mineral exploration and development. The Company is also working to advance the early-stage discoveries at its TPK Joint Venture Property, also in Ontario, where it can earn a 51% interest in the property from Northern Superior Resources. Ontario has low political risk and, according to the annual Fraser Institute global survey of the mining industry, has consistently ranked as one of the top jurisdictions embracing mineral development.

RAINY RIVER RESOURCES LTD.

Raymond W. Threlkeld, President & CEO

This release includes certain statements that may be deemed to be "forward-looking statements". All statements in this release, other than statements of historical fact, that address events or developments that the Company expects to occur, are forward looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company 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 may differ materially from those in forward looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include gold prices, results of exploration and development activities, regulatory changes, defects in title, availability of materials and equipment, timeliness of government approvals, continued availability of capital and financing and general economic, market or business conditions. The Company cautions that the foregoing list of important factors is not exhaustive. Investors and others who base themselves on the Company's forward-looking statements should carefully consider the above factors as well as the uncertainties they represent and the risk they entail. The Company believes that the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct. Please see the public filings of the Company at www.sedar.com for further information. 

Table 1 Summary of Results
Hole-ID  Section  Elevation  From (m ) To (m ) Length (m ) Au g/t Comments
CP1001 424127 54 66.5   68.0   1.5   1.1 WESTERN AREA
  424124 132 165.5   167.0   1.5   1.7 WESTERN AREA
  424123 177 224.0   225.5   1.5   1.1 WESTERN AREA
CP1002 424173 58 68.0   75.5   7.5   0.5 WESTERN AREA
  424170 145 179.0   183.5   4.5   1.1 WESTERN AREA
PE1001 426248 94 115.3   116.0   0.7   2.3 HW 17
  426260 491 594.5   600.5   6.0   3.0 EAST 17
PE1002 426283 508 618.5   621.5   3.0   2.0 EAST 17
  426286 547 666.5   668.0   1.5   1.1 EAST 17
PE1003 426251 160 198.5   200.0   1.5   48.8 HW 17
SZ1001 425121 409 430.5   463.5   33.0   1.4 SOUTH
  425165 694 778.5   780.0   1.5   1.4 ODM DEEPS
  425167 701 787.5   789.0   1.5   1.1 ODM DEEPS
NR10612 425280 206 213.5   228.5   15.0   0.6 SOUTH
  425314 489 512.0   578.0   66.0   1.2 ODM DEEPS
  INCL 425312 478 531.5   533.0   1.5   7.1 ODM DEEPS
  AND 425316 506 564.5   566.0   1.5   6.3 ODM DEEPS
NR10614 426049 68 72.0   81.0   9.0   0.9 17 ZONE
NR10615 426126 48 44.0   54.5   10.5   0.8 17 ZONE
NR10616 426147 73 85.5   114.0   28.5   0.8 17 ZONE
NR10618 424225 58 69.5   74.0   4.5   1.1 WESTERN AREA
  424225 102 116.0   138.5   22.5   0.6 WESTERN AREA
NR10619 425139 386 393.0   435.0   42.0   0.7 SOUTH
  425170 691 762.0   763.5   1.5   3.8 ODM DEEPS
  425174 715 790.5   791.5   1.0   16.3 ODM DEEPS
NR10620 425243 267 62.0   99.5   37.5   2.7 17 ZONE
  INCL 426150 65 71.0   86.0   15.0   5.0 17 ZONE
  INCL 426150 59 71.0   72.5   1.5   12.0 17 ZONE
  AND 426149 71 84.5   86.0   1.5   28.9 17 ZONE
NR10620 426149 94 111.5   113.0   1.5   1.7 17 ZONE
NR10621 NSA
NR10622   59 74.0   75.5   1.5   1.1 WESTERN AREA
NR10623 425924 64 69.5   74.0   4.5   0.5 HS
  425922 200 216.5   243.5   27.0   0.6 HS
NR10624 NSA
NR10625 425134 346 382.5   391.5   9.0   1.1 SOUTH
NR10626 424479 332 417.5   419.0   1.5   2.0 WESTERN AREA
NR10627 NSA
NR10628 425926 79 93.5   95.0   1.5   1.0 HS
  425926 122 146.0   147.5   1.5   1.5 HS
  425926 213 257.0   258.5   1.5   4.2 433 EAST
NR10629 425046 451 471.0   489.3   18.3   1.0 SOUTH
  425081 689 753.0   754.5   1.5   1.2 ODM DEEPS
  425085 712 780.0   781.5   1.5   0.4 ODM DEEPS
  425087 722 792.0   793.5   1.5   1.8 ODM DEEPS
  425087 727 798.0   799.5   1.5   1.3 ODM DEEPS
NR10630 425900 50 57.5   63.5   6.0   1.2 HS
  425900 68 80.0   84.5   4.5   2.1 HS
NR10631 424425 74 93.3   95.0   1.7   1.4 WESTERN AREA
NR11632 425948 60 74.0   75.5   1.5   1.2 HS
  425944 148 186.5   188.0   1.5   1.5 FW 433
NR11633 425033 152 189.0   190.5   1.5   1.4 HW GAP
  425031 189 235.5   243.0   7.5   4.7 THE GAP
  INCL 425031 190 238.5   240.0   1.5   17.3 THE GAP
  425030 205 256.5   259.5   3.0   942.6 THE GAP
  INCL 425030 204 256.5   258.0   1.5   1845.0 THE GAP
  AND 425030 205 258.0   259.5   1.5   40.1 THE GAP
  425026 262 333.0   334.5   1.5   2.5 FW GAP
  425020 343 442.5   444.0   1.5   41.4 HS
  425018 384 499.3   501.0   1.7   5.2 HS
NR11634 425019 61 69.0   70.5   1.5   1.2 HW CAP
  425018 87 102.0   103.5   1.5   1.5 HW CAP
NR11635 425019 426 522.0   523.5   1.5   1.4 HW ODM GAP
  425023 471 580.5   582.0   1.5   1.9 HW ODM GAP
  425026 508 604.5   657.0   52.5   1.1 ODM DEEP GAP
  INCL 425024 489 604.5   606.0   1.5   10.1 ODM DEEP GAP
NR11638 425631 129 158.0   159.5   1.5   1.2 433 WEST
  425634 182 218.0   230.0   12.0   0.8 433 FW

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