Rainy River Resources Ltd.

Rainy River Resources Ltd.

December 03, 2007 08:30 ET

Rainy River Resources and Bayfield Ventures Sign Option Agreement on Burns Block Located East of 17/ODM Gold Trend

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 3, 2007) - Rainy River Resources Ltd. (TSX VENTURE:RR) and Bayfield Ventures Corp. (TSX VENTURE:BYV) announce that the companies have entered into an Option Agreement where Rainy River Resources has been granted an option on Bayfield's "Burns Block", Parcel #15961, located in the Richardson Township, Rainy River District of northwestern Ontario. The Burns Block property adjoins the immediate east of the main Rainy River Resources' block which hosts the 17/ODM gold and base metal trend and where four drill rigs are actively exploring three parallel trends. The Burns Block lies approximately 120 metres northeast of recently announced (October 15, 2007 news release by Rainy River) drill hole NR07-189 which intersected 9.0 metres grading 6.64 g/t Au between 439.50 and 448.50 metres down the hole. A new property location plan will be posted on Rainy's website at www.rainyriverresources.com.

Rainy River has entered into a three year Option Agreement with Bayfield Ventures to earn a 60% interest in the Burns Block Property. In consideration for the option, Rainy River Resources has agreed to a work program totaling $3,000,000, will make cash payments to Bayfield Ventures totaling $200,000, and will issue Bayfield Ventures 60,000 shares of Rainy River Resources' shares over the three year term of the Option Agreement. This will consist of $1,000,000 in exploration expenditures in each year during the term of the option. This Option Agreement is subject to approval and acceptance by the TSX Venture Exchange.

Rainy River has advised Bayfield Ventures that they will begin a diamond drill program on the Burns Block as soon as one of the four active rigs becomes available. A linecut grid has recently been established on the Burns Block in anticipation of a detailed ground magnetic survey also being conducted at this time.

About Rainy River Resources Ltd.

Rainy River is an exploration company focused on developing its 100% owned gold and base metal property which is located 80 km south of Kenora, northwestern Ontario. The property is open to year round exploration, including drilling, and has excellent infrastructure with ready access to railroads, highways and electrical power. To date over $13 million has been spent on the project by the Company. Currently there are four rigs on the property. Rainy River is projecting to spend $10 million by the end of 2008 and currently has more than $38 million dollars in the bank.

Nelson W. Baker, President

This release includes certain statements that may be deemed to be "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that management of the Company expects, are forward-looking statements. Although management 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 or developments may differ materially from those in the forward-looking statements. The Company undertakes no obligation to update these forward-looking statements if management's beliefs, estimates or opinions, or other factors, should change. Factors that could cause actual results to differ materially from those in forward-looking statements, including market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see the public filings of the Company at www.sedar.com for further information.

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

Contact Information