Rimfire Minerals Corporation

Rimfire Minerals Corporation
Geoinformatics Exploration Inc.

Geoinformatics Exploration Inc.

August 05, 2009 16:45 ET

Rimfire and Geoinformatics Finalize Business Combination

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 5, 2009) - Rimfire Minerals Corporation (TSX VENTURE:RFM) and Geoinformatics Exploration Inc. (TSX VENTURE:GXL) are pleased to report that the previously announced business combination, by way of Plan of Arrangement, has been completed. Effective August 5, 2009, the two companies have combined to form a new entity, Kiska Metals Corporation (TSX VENTURE:KSK), creating a well managed and technically sound exploration company with an extensive property portfolio including the flagship Whistler Project in Alaska.

The Plan of Arrangement resolution was strongly supported by shareholders of both companies, with over 99% of votes cast in favour of the resolution at each company's shareholder meeting held on July 30, 2009. The final order of the British Columbia Supreme Court approving the Plan of Arrangement was obtained on July 31, 2009.

Rimfire Minerals Corporation (TSX VENTURE:RFM) will cease trading as of the close of trading August 5, 2009. Geoinformatics Exploration Inc. (TSX VENTURE:GXL) has completed a 1 for 3 share consolidation and name change to Kiska Metals Corporation on August 5, 2009 and will commence trading under TSX-V symbol KSK on August 6, 2009. Rimfire shareholders will receive 0.87 shares of Kiska Metals Corporation by yielding their Rimfire shares to Computershare Investor Services Inc. in accordance with the instructions set out in the information circular mailed to shareholders. Upon the completion of the share consolidation and the Plan of Arrangement, Kiska Metals Corporation has 47,600,534 common shares outstanding and 51,429,851 shares on a fully diluted basis.

Board and Management

Kiska Metals Corporation will be led by the current Rimfire management team including Jason Weber, President & CEO; David Caulfield, Director of Business Development; Dorothy Miller, CFO; and Mark Baknes, VP Exploration.

Kiska Metals Corporation's seven person board will consist of five existing Rimfire directors and two Geoinformatics directors and be co-chaired by David Caulfield (current executive Chairman of Rimfire) and John Kanellitsas (current non-executive Chairman of Geoinformatics).

Rimfire would like to acknowledge the efforts and contributions of Jack Miller and Henry Awmack who have both served as directors since the inception of Rimfire in 1999. Their experience and knowledge has proven to be an invaluable guide for the direction and success of the company.

Geoinformatics Management would like to thank its outgoing board members Peter Stein and George Ireland for their dedicated service. In addition, a special thanks to Petra Decher, Geoinformatics outgoing CFO and President for her years of commitment.

The Whistler Property

Geoinformatics' assets include an extensive property portfolio in Alaska, British Columbia, Ontario, Mexico and Nevada and approximately 44.6% ownership of Clancy Exploration Ltd (ASX:CLY). The wholly-owned Whistler gold-copper porphyry project has a NI 43-101 indicated resource of 1.31 million ounces gold-equivalent and an inferred resource of 4.44 million ounces gold-equivalent in the Whistler Zone (see Appendix 1). The property is located 150 kilometres northwest of Anchorage, Alaska, covers an area of approximately 440km2 and is situated in the same geological belt that hosts the world class Pebble copper-gold porphyry deposit. In addition to the Whistler Zone resource, the property includes multiple exploration targets within 10 kilometres of the Whistler Zone, including the 2008 Raintree West discovery where previously reported drilling intersected 160 metres averaging 0.59g/t gold, 0.10% copper and 6.02g/t silver (refer Geoinformatics press release dated November 4, 2008 for details).

Kiska Metals Corporation Highlights

- A well-funded exploration company with a NI 43-101 compliant resource of 1.31 and 4.44 million gold equivalent ounces in the Indicated and Inferred resource categories, respectively (see Appendix 1).

- Continuation of Rimfire's successful 'joint-venture' exploration model.

- Consolidated extensive precious metals focused property portfolio with geographic synergies in Alaska, British Columbia and Nevada.

- Enhanced management team skilled in leveraging exploration via strategic partnerships with international mining companies.

- Strong Board of Directors with expertise in capital markets and project advancement.

- Streamlined G&A and other head office costs.


This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation and United States securities laws. Forward-looking information includes, but is not limited to, information concerning the proposed business combination between Geoinformatics and Rimfire and matters relating thereto. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Many of these assumptions are based on factors and events that are not within the control of Geoinformatics or Rimfire and there is no assurance they will prove to be correct. Factors that could cause actual results to vary materially from results anticipated by such forward-looking information include changes in market conditions, variations in ore grade or recovery rates, risks relating to international operations, fluctuating metal prices and currency exchange rates, changes in project parameters, the possibility of project cost overruns or unanticipated costs and expenses, labour disputes and other risks of the mining industry, the business of the companies not being integrated successfully or such integration proving more difficult, time consuming or costly than expected as well as those risk factors discussed in Geoinformatics' management discussion and analysis for the period ended March 31, 2009 and Rimfire's Annual Information Form on Form 20-F for the year ended January 31, 2009, available at www.sedar.com. Although Geoinformatics and Rimfire have attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Geoinformatics and Rimfire undertake no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking information.

This news release and the information contained herein does not constitute an offer of securities for sale in the United States and securities may not be offered or sold in the United States absent registration or exemption from registration.


Mineral Resource Statement for the Whistler Gold Deposit, Alaska
Prepared by SRK Consulting (Canada) Inc. February 2008

Tonnes and Grades Total Contained Metal
Gold Gold
Tonn- Sil- Cop- Eq Sil- Cop- Eq
Resource age Gold ver per (3) Gold ver per (3)
Category (Mt) (g/t) (g/t) (%) g/t (Moz) (Moz) (Mlb) (Moz)
(open-pit(1)) 30 0.87 2.46 0.24 1.35 0.84 2.37 159 1.31
Indicated 30 0.87 2.46 0.24 1.35 0.84 2.37 159 1.31
(open-pit(1)) 123 0.59 2.07 0.19 0.98 2.33 8.19 515 3.86
ground(2)) 11 1.16 3.55 0.24 1.66 0.41 1.26 58 0.59
Inferred(4) 134 0.64 2.18 0.20 1.05 2.74 9.44 573 4.44

(1) Reported within a conceptual pit shell and based at a cut-off grade of
0.3 g/t gold equivalent adjusted for metallurgical recovery.

(2) Reported based on an underground bulk mining method using a cut-off
grade of 1.1 g/t gold equivalent adjusted for metallurgical recovery;

(3) Total grade and Total Contained Metal gold equivalent grade and ounces
estimated based on equal full recoveries, $550 per ounce gold, $8 per
ounce silver and $1.50 per pound of copper;

(4) Totals may vary due to rounding.

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Rimfire Minerals Corporation
    Mr. Jason Weber
    President & CEO
    (604) 669-6660 ext 237
    Rimfire Minerals Corporation
    Mr. Patrick Moodie
    Manager, Corporate Communications
    (604) 669-6660 ext 236
    Geoinformatics Exploration Inc.
    Ms. Rosie Moore
    Chief Executive Officer
    (604) 925-5881
    Geoinformatics Exploration Inc.
    Mr. Darren Holden
    Chief Operating Officer
    (604) 669-6660