TORONTO, May 24, 2013 /CNW/ - Rainy River Resources Ltd. ("Rainy River" or the "Company" (RR.TSX)) is pleased to announce that it has made significant progress on key aspects of the development of its namesake Rainy River Gold Project ("RRGP" or "Project"). Details are provided below:
- The Company has filed on SEDAR a Technical Report dated May 23, 2013 and entitled "Feasibility Study of the Rainy River Gold Project, Ontario, Canada", as summarized in the Company's press release of April 10, 2013, in compliance with National Instrument 43-101: Standards of Disclosure for Mineral Projects. The technical report will also be available on Rainy River's web site.
- The Company anticipates commencing basic and detailed engineering in the second half of 2013.
- Site geotechnical studies are being conducted this summer to support both the engineering and environmental assessments.
- Rainy River has commenced the system impact assessment with Ontario's Independent Electricity System Operator (IESO) for the 17 km 230 kV transmission line.
Environmental Assessment Process:
- The Company has received federal and provincial clearance to submit its Environmental Assessment report in support of mine permitting:
- The federal Environmental Impact Statement ("EIS") guidelines were issued in December of 2012. The Government of Canada's Assistant Deputy Minister of the Major Projects Management Office ("MPMO") will post the project agreement on the MPMO's website (www.mpmo-bggp.gc.ca). The posting of the project agreement is intended to ensure that departments meet their timelines in support of the Environmental Assessment. Information will be tracked over time on the MPMO website.
- The Ontario Ministry of the Environment approved the RRGP Terms of Reference ("ToR") in May of 2013.
- The Company is in the process of preparing the RRGP Environmental Assessment report for submission to federal and provincial environment ministries in the third quarter of 2013, and continues to be on schedule with respect to its permitting process.
- Rainy River is continuing with its community engagement programs and consultation with local Aboriginal communities.
- The Company is continuing its exploration of the Intrepid Zone through to mid-2013, with four drill rigs currently active.
- Results to date demonstrate excellent continuity within the Intrepid Zone.
- Completion of the first National Instrument 43-101-compliant mineral resource estimate on the Intrepid Zone is targeted for Q3/13.
- Regional exploration will continue to test several promising, shallow targets.
While working to advance the Project through strategic drilling, permitting and basic engineering this year, Rainy River will maintain its commitment to fiscal prudence. The Company closed the first quarter of 2013 with $90 million in cash and cash equivalents, and expects to end the year with a strong balance sheet.
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 at March 31, 2013, the Company had approximately $90 million in cash and cash equivalents, and it remains well funded for its ongoing activities, including: 1) commencement of basic and detailed engineering work and ongoing permitting and environmental assessment work; 2) continuing to grow the existing resource through exploration; 3) conducting a condemnation program in areas identified for potential mine facilities. RRGP is very well located in northwestern Ontario. 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. 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 and 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 actua l 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.
SOURCE Rainy River Resources