Rainy River Resources Ltd.
TSX : RR

Rainy River Resources Ltd.

February 02, 2012 06:00 ET

Rainy River Resources Intersects 1.7 g/t Gold & 7.9 g/t Silver Over 37.5 Metres in Cap Zone, and Establishes Continuity of Cap at Depth, With 4.0 g/t Gold & 15.1 g/t Silver Over 12.0 Metres

TORONTO, ONTARIO--(Marketwire - Feb. 2, 2012) - Rainy River Resources Ltd. ("Rainy River" or the "Company") (TSX:RR) is pleased to announce assay results from the Rainy River Gold Project ("RRGP") in northwest Ontario. Results are summarized in Table 1.

HIGHLIGHTS

  • Drilling intersects significant grade and width within the open pit in the CAP Zone, including 37.5 metres of 1.7 g/t gold and 7.9 g/t silver in NR11860
  • CAP Zone drilling shows excellent continuity at depth, with NR11937 intersecting 19.5 metres of 3.2 g/t gold and 11.8 g/t silver at 480 metres depth
  • Strong results continue at the ODM Zone in-pit infill program, with NR111013 intersecting 25.5 metres of 4.7 g/t gold and 2.0 g/t silver, and NR11844 intersecting 1.9 g/t gold and 1.9 g/t silver over 87.0 metres
  • NR11971 intersected 19.5 metres of 4.2 g/t gold and 2.6 g/t silver in the ODM Zone below the pit bottom

To view the maps associated with this release, please visit the following links:

Map 1: http://media3.marketwire.com/docs/RR%20Map%201.pdf

Map 2: http://media3.marketwire.com/docs/RR%20Map%202.pdf

Map 3: http://media3.marketwire.com/docs/RR%20Map%203.pdf

Map 4: http://media3.marketwire.com/docs/RR%20Map%204.pdf

Map 5: http://media3.marketwire.com/docs/RR%20Map%205.pdf

Map 6: http://media3.marketwire.com/docs/RR%20Map%206.pdf

CAP ZONE

Drilling in 2011 on the CAP Zone was designed to bring a substantial amount of inferred mineralization around the southern pit wall into higher confidence categories, while expanding the CAP Zone within the pit and at depth. A total of nineteen new holes were drilled, successfully encountering mineralization within the open pit, and at depth, with widths amenable to underground mining.

CAP ZONE IN-PIT

NR11860 intersected 1.7 g/t gold and 7.9 g/t silver over 37.5 metres, at a vertical depth of 216 metres. Ten metres to the west, and at a vertical depth of 219 metres, NR11850 intersected 1.7 g/t gold and 6.4 g/t silver over 28.3 metres. Other in-pit results include NR11877, which graded 0.7 g/t gold and 2.6 g/t silver over 24.0 metres, at a vertical depth of 275 metres, and NR11926, which intersected 1.2 g/t gold and 5.6 g/t silver over 25.5 metres, at a vertical depth of 75 metres. The historical average grade for the CAP Zone is 0.68-0.70 g/t gold.

CAP ZONE BELOW-PIT

Deeper drilling below the pit has been highly successful in expanding the CAP Zone at depth, with NR11937 grading 3.2 g/t gold and 11.8 g/t silver over 19.5 metres, at a vertical depth of 480 metres, including 4.0 g/t gold and 15.1 g/t silver over 12 metres, at a vertical depth of 477 metres. This is one of the thickest and highest grade CAP Zone intersections encountered to date. The new intersection is open at depth, and creates a new and potentially significant underground target.

Additional holes drilled to intersect deep CAP Zone mineralization included NR11971, which intersected 2.8 g/t gold and 32.0 g/t silver over 3.0 metres, at a vertical depth of 310 metres, and NR11974, which intersected 2.1 g/t gold and 9.3 g/t silver over 4.5 metres, at a vertical depth of 410 metres, with a deeper CAP intersection of 4.8 g/t gold and 23.6 g/t silver over 3.0 metres, at a vertical depth of 519 metres.

ODM - IN PIT

The Company continued drilling within the pit to convert inferred resources to measured and/or indicated resources. Several holes intersected had grades above the resource grade of the pit, including NR111013, which intersected 25.5 metres at 4.7 g/t gold and 2.0 g/t silver, including 19.9 g/t gold and 3.3 g/t silver over 4.5 metres, at a vertical depth of 366 metres. Notably, NR111013 continues to demonstrate higher grades towards the pit bottom. Additional highlights within the pit included NR11844, which intersected 87.0 metres of 1.9 g/t gold and 1.9 g/t silver at a vertical depth of 107 metres, and NR11916, which intersected 1.4 g/t gold and 2.1 g/t silver over 24.0 metres, at a vertical depth of 413 metres.

ODM - BELOW PIT

Drilling below the planned open pit has continued to show better continuity of deep ODM Zone mineralization. NR11971 intersected 19.5 metres grading 4.2 g/t gold and 2.6 g/t silver at a vertical depth of 641 metres. Additional highlights include 7.5 metres grading 4.0 g/t gold and 8.1 g/t silver, at a vertical depth of 617 metres in NR11917, and higher grade intersections in NR11860 of 67.1 g/t gold and 11.3 g/t silver over 1.1 metres at a vertical depth of 546 metres, as well as 35.0 g/t gold and 4.8 g/t silver over 1.5 metres, at a vertical depth of 682 metres in NR11813.

17 Zone

Drilling within the 17 Zone has also continued to return good results with typical higher grades of silver. NR11918 intersected 1.5 g/t gold and 3.7 g/t silver over 30.0 metres, at a vertical depth of 341 metres, and NR11909 returned 1.5 g/t gold and 17.4 g/t silver over 11.7 metres. East of the pit boundary, NR111004 returned 1.9 g/t gold and 24.6 g/t silver over 7.5 metres.

17 Zone Eastern Extension

One additional hole has been completed in the target area for underground development: NR11859 intersected 6.1 g/t gold and 7.4 g/t silver over 3.0 metres, at a vertical depth of 670 metres.

COMMENTARY

Raymond Threlkeld, President and CEO of Rainy River Resources commented: "The continued strong intersections in the ODM in-pit and now the CAP in-pit appear to support the addition of resource ounces and conversion of material into higher confidence levels for the next resource update, scheduled for the end of this quarter. Further, the new CAP zone intersections at depth are exciting as they add to the underground potential of the Rainy River Gold Project."

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. Mr. Sparkes, P.Geo., is also the person responsible for the content of this news release. The Company has a rigorous QA/QC program in place 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

Rainy River Resources Ltd. is a Canadian precious metals exploration company whose key asset is the Rainy River Gold Project, a large gold system centred in Richardson Township (part of Chapple Township). As of September 30, 2011, the Company had $115 million in cash and securities, and is well funded for its 2012 plans to 1) commence a feasibility level study on the RRGP; 2) continue growing the existing resource through exploration; 3) conduct a condemnation program in areas identified for potential mine facilities; and 4) continue regional exploration. RRGP is very 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 in Canada. The Company is 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 Inc. 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 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, include 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.

HOLE-ID SECTION VERTICAL DEPTH FROM TO LENGTH AU (G/T) AG (G/T) ZONE
NR11778 425399 52 49.5 56.6 7.1 0.9 7.2 CAP
NR11778 425400 86 88.5 90.5 2.0 0.5 2.3 CAP
NR11778 425401 120 124.5 128.0 3.5 1.0 4.7 CAP
NR11778 425402 127 132.5 134.5 2.0 2.9 11.7 CAP
NR11789 No significant assay
NR11812 425323 662 693.0 697.5 4.5 3.1 2.4 ODM DEEP
NR11812 425329 703 738.0 745.5 7.5 3.8 14.4 ODM DEEP
NR11812 425331 715 754.5 756.0 1.5 10.3 4.8 ODM DEEP
NR11812 425332 724 763.5 766.4 2.9 3.7 2.6 ODM DEEP
NR11813 425449 531 565.5 568.5 3.0 4.8 1.3 ODM HW
NR11813 425478 682 744.0 745.5 1.5 35.0 4.8 ODM DEEP
NR11834 No significant assay
NR11844 425581 107 87.0 174.0 87.0 1.9 1.9 ODM
Including 425580 77 91.5 93.0 1.5 50.3 15.4 ODM
And 425580 84 93.0 109.5 16.5 2.0 3.0 ODM
NR11845 No significant assay
NR11846 No significant assay
NR11849 425606 69 59.6 109.0 49.4 1.0 1.5 ODM
NR11850 425380 219 207.5 235.8 28.3 1.7 6.4 CAP
Including 425380 211 207.5 219.5 12.0 3.2 11.3 CAP
NR11850 425383 261 255.5 275.0 19.5 0.5 1.7 CAP
NR11855 425627 57 62.0 75.0 13.0 0.6 1.0 ODM
NR11855 425628 102 118.5 132.0 13.5 0.5 1.0 ODM
NR11855 425629 125 145.5 163.5 18.0 1.0 1.1 ODM
NR11855 425630 157 189.0 202.5 13.5 0.5 4.7 ODM
NR11857 No significant assay
NR11859 426166 670 871.5 879.0 7.5 3.5 5.3 17 EAST DEEP
Including 426166 670 873.0 876.0 3.0 6.1 7.4 17 EAST DEEP
NR11860 425389 216 200.5 238.0 37.5 1.7 7.9 CAP
Including 425389 216 218.8 224.0 5.2 5.0 21.9 CAP
NR11860 425447 546 578.0 579.1 1.1 67.1 11.3 ODM DEEP
NR11861 426304 285 340.0 355.0 15.0 0.4 8.8 17 EAST
NR11866 425498 46 50.0 51.5 1.5 22.8 415.0 ODM FW
NR11871 426313 212 274.5 292.5 18.0 0.4 17.1 17 EAST
NR11871 426314 237 315.0 319.5 4.5 0.6 32.3 17 EAST
NR11873 425678 59 66.0 76.5 10.5 1.9 3.1 ODM
NR11873 425674 122 132.0 165.0 33.0 1.1 1.2 ODM
NR11873 425671 157 189.0 198.0 9.0 1.8 15.3 ODM
NR11877 425146 275 286.5 310.5 24.0 0.7 2.6 CAP
NR11877 425212 579 666.0 667.5 1.5 4.7 55.4 ODM
NR11879 No significant assay
NR11884 No significant assay
NR11897 425098 539 586.5 589.5 3.0 3.4 1.7 ODM
NR11904 425771 49 52.5 69.0 16.5 1.0 2.2 ODM
NR11904 425770 69 84.0 87.0 3.0 9.7 14.6 ODM
NR11909 425958 54 66.0 69.0 3.0 5.1 21.4 17
NR11909 425958 86 99.0 109.5 10.5 0.6 2.5 17
NR11909 425958 103 117.0 129.0 12.0 0.8 3.2 17
NR11909 425958 153 178.5 184.5 6.0 1.8 1.7 17
NR11909 425957 217 250.8 262.5 11.7 1.5 17.4 17
NR11916 425267 413 445.5 469.5 24.0 1.4 2.1 ODM
Including 425267 417 459.0 465.0 6.0 2.5 1.3 ODM
NR11917 425235 617 669.0 676.5 7.5 4.0 8.1 ODM
NR11918 425945 341 385.0 415.0 30.0 1.5 3.7 17
Including 425945 340 392.5 404.5 12.0 2.0 4.0 17
NR11921 425778 136 175.5 178.5 3.0 2.0 3.0 ODM
NR11921 425776 176 219.0 240.0 21.0 1.5 1.2 ODM
NR11921 425774 226 297.0 301.5 4.5 2.2 0.7 ODM
NR11926 425481 75 66.0 91.5 25.5 1.2 5.6 CAP
Including 425481 65 66.0 69.0 3.0 5.2 25.9 CAP
NR11926 425492 328 345.1 357.0 11.9 0.8 0.9 ODM
NR11926 425499 407 432.0 444.0 12.0 1.3 1.1 ODM
NR11926 425502 435 462.0 477.0 15.0 1.4 1.0 ODM
NR11926 425506 474 505.5 520.3 14.8 0.9 1.6 ODM
NR11926 425507 490 529.5 531.0 1.5 18.3 4.4 ODM
NR11926 425508 498 538.5 540.0 1.5 162.0 29.3 ODM
NR11929 425834 293 362.5 376.5 14.0 1.0 2.0 17
NR11929 425837 313 394.8 399.0 4.2 1.7 1.4 17
NR11933 426200 66 88.5 96.0 7.5 0.8 19.8 ODM
NR11937 425003 171 171.0 174.0 3.0 1.9 1.2 SOUTH
NR11937 425042 480 504.0 523.5 19.5 3.2 11.8 CAP DEEP
Including 425041 477 504.0 516.0 12.0 4.0 15.1 CAP DEEP
NR11941 No significant assay
NR11942 425659 276 330.0 357.0 27.0 0.7 2.6 ODM
NR11942 425663 330 409.5 415.5 6.0 1.1 3.3 ODM
NR11943 425584 178 219.0 235.5 16.5 0.6 1.0 ODM
NR11943 425587 193 243.0 252.0 9.0 1.2 1.6 ODM
NR11943 425597 251 325.5 328.5 3.0 6.9 6.0 ODM
NR11949 No significant assay
NR11958 No significant assay
NR11962 426063 267 342.5 350.0 7.5 1.3 8.1 17
NR11964 426266 75 111.0 112.5 1.5 4.5 81.6 17 EAST
NR11967 No significant assay
NR11968 No significant assay
NR11970 425316 590 654.0 660.0 6.0 2.8 1.4 ODM
NR11971 425238 310 333.0 336.0 3.0 2.8 32.0 CAP
NR11971 425273 641 721.5 741.0 19.5 4.2 2.6 ODM
Including 425274 648 739.5 741.0 1.5 16.7 6.8 ODM
NR11974 425250 410 457.5 462.0 4.5 2.1 9.3 CAP
NR11974 425271 519 592.5 595.5 3.0 4.8 23.6 CAP FW
NR11976 No significant assay
NR11978 426255 200 282.0 291.0 9.0 0.6 15.3 17 EAST
NR11981 No significant assay
NR11985 No significant assay
NR11991 No significant assay
NR11992 426148 185 259.5 276.0 16.5 1.1 19.5 17
NR11993 No significant assay
NR11999 425313 333 370.5 378.0 7.5 1.2 6.8 CAP
NR111002 No significant assay
NR111004 426202 185 250.5 258.0 7.5 1.9 24.6 17 EAST
NR111013 425207 63 65.4 75.0 9.6 0.8 1.9 CAP
NR111013 425233 340 406.5 408.0 1.5 32.1 1.0 ODM
NR111013 425237 374 439.5 465.0 25.5 4.7 2.0 ODM
Including 425236 366 439.5 444.0 4.5 19.9 3.3 ODM

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