West Vancouver, British Columbia – November 21, 2016 – Rainy Mountain Royalty Corp. (the “Company” or “Rainy Mountain”) is pleased to report some preliminary findings on its optioned gold exploration property (the “Brunswick Property”) located in the Timmins area of Ontario. As recently announced (see news release dated October 27, 2016), the Company completed a non-brokered private placement raising gross proceeds of $680,665, and has since begun exploration on the Brunswick Property. The Brunswick Property is accessible year round by bush road connecting to Highway 560 that links to the west with Highway 144 and then north to Timmins (via Highway 101).
The Company’s VP Explorations, Robert Middleton, P.Eng., reports that an initial 30 kilometer grid has been recovered from a previous grid over the gold showings sampled in 2016 by Mike Tremblay, one of the Property’s optionors. Gold assays from grab samples taken in May 2016 from the showing area assayed 32.9 grams Au (gold), 3.77 grams Au, 3.13 grams Au and 2.82 grams Au. A prospecting and mapping program has also been initiated by the Company to examine not only the gold showing area, but three further parallel shear zones since discovered on the Brunswick Property during preliminary inspections. The shear and gold showings are hosted in sheared iron rich basalt volcanics adjoining the Ridout Shear Zone, which occurs at the contact of the volcanics and Temiskaming sediments. The Ridout Shear Zone extends west through the Chester-Cote Lake area where a gold deposit (the Chester Mine project) is being developed by IAMGOLD Corporation, then continues on to the Jerome Mine and then to the Borden discovery purchased by Goldcorp Inc. in 2015.
Mapping and prospecting has found a number of new sericite-carbonate altered shear zones with sulphides which appear promising and look similar to the known gold occurrence. As well, a deep penetrating induced polarization (“IP”) survey has also been initiated to trace depth extent of the gold zone, and to outline any sulphides in the parallel shear zones. Additional grids are planned to cover a 2.6 kilometer area on the east side of the Property and a 4.8 kilometer extension to the west. A drill program is being planned for early 2017.
This news release has been reviewed and approved by Robert Middleton, P.Eng., who is acting as the Company’s Qualified Person for the Brunswick Property project, in accordance with regulations under NI 43-101.
For further information, contact Mr. Clive Shallow, Shareholder Communications, at 604-922-2030, or visit the Company’s website at www.rmroyalty.com.
Rainy Mountain Royalty Corp.
“Douglas L. Mason”
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Douglas L. Mason, President & CEO
Neither the TSX Venture Exchange nor its Regulation Services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release includes certain statements that may be deemed “forward-looking statements” within the meaning of applicable securities legislation. All statements, other than statements of historical facts, that address such matters as future exploration, drilling, exploration activities, potential mineralization and resources and events or developments that the Company expects, are forward looking statements and, as such, are subject to risks, uncertainties and other factors of which are beyond the reasonable control of the Company. Such statements are not guarantees of future performance and actual results or developments may differ materially from those expressed in, or implied by, this forward-looking information. Factors that could cause actual results to differ materially from those in forward-looking statements include such matters as market prices, exploitation and exploration results, continued availability of capital and financing, and general economic, market or business conditions. Any forward-looking statements are expressly qualified in their entirety by this cautionary statement. The information contained herein is stated as of the current date and subject to change after that date and the Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to the account or benefit of a U.S. person absent an exemption from the registration requirements of such Act.