NEWS RELEASE: Rainy River Resources Signs Participation Agreement with Rainy River Area First Nationsposted in Aboriginal Mining, Gold |
TORONTO, ONTARIO–(Marketwire – April 3, 2012) - Rainy River Resources Ltd. (“Rainy River” or the “Company”) (TSX:RR) and the Naicatchewenin First Nation, Rainy River First Nations, Mitaanjigamiing First Nation, Couchiching First Nation, Lac La Croix First Nation and Seine River First Nation (together, the “First Nations”) are pleased to announce the signing of a Participation Agreement (“PA” or “Impact and Benefits Agreement”) with respect to the development and operation of the Company’s Rainy River Gold Project, located in Northwestern Ontario. The PA is the culmination of negotiations initiated by the parties pursuant to a Memorandum of Understanding entered into in May of 2010.
The PA was developed together with the First Nations, each of which is a member of the Fort Frances Chiefs Secretariat, in order to define their participation in the development and operation of the Rainy River Gold Project. The agreement identifies key project milestones and ways to work together with the First Nations, as the Company initiates mine environmental assessment and permitting in 2012.
The PA sets out a schedule of benefits that the First Nations communities will receive, including employment and business opportunities, funding to support skills development, occupational training and education, as well as equity participation. The PA reflects the Company’s continued commitment to environmental stewardship, respect for First Nations’ traditional culture and values and the need for economic sustainability.
“We are very pleased to have reached this significant milestone with the Rainy River Area First Nations. The agreement sets out a collaborative relationship at a key time for the Rainy River Gold Project as we begin the process of mine environmental assessment and permitting.” said Raymond Threlkeld, President and CEO. “We look forward to the continued participation of the First Nations in what we expect will become a key economic driver for the local communities between the towns of Fort Frances and Rainy River.”
About Rainy River Resources Ltd.
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 February 29, 2012, the Company had $112 million in cash and securities and is well funded for its 2012 plans to 1) commence a feasibility level study on the Rainy River Gold Project; 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. The Rainy River Gold Project 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
CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS
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. These statements include the possible conversion of inferred resources into higher confidence categories of resources. 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.
FOR FURTHER INFORMATION PLEASE CONTACT:
Rainy River Resources Ltd.
Director, Investor Relations
Source: Rainy River Resources Ltd.