News Release No. 11-05
Rainy Mountain Royalty Corp. Clarifies Its Disclosure
West Vancouver, British Columbia – April 14, 2011 – Rainy Mountain Royalty Corp. (the “Company” or “Rainy Mountain”), as a result of a review by the British Columbia Securities Commission (the “Commission”), today issued the following news release to clarify the Company’s technical disclosure.
Disclosure of Mineral Resources and Mineral Reserves
On the Company’s website and in its corporate presentation materials that appeared on the Company’s website, the Company reported mineral resources for the Marshall Lake property that failed to disclose the mineral resource category, contrary to sections 2.2(a) and 2.3(1)(a) of NI 43-101; did not report each category of mineral resource or mineral reserve separately, contrary to section 2.2(b); disclosed mineral resources solely in the form of contained metal content, contrary to sections 2.2(d) and 3.4(b); and did not provide the information required by section 3.4 (a), (c), (d) and (e) of NI 43-101.
To correct and remedy these matters, the Company has removed the non-compliant materials from its website, as of April 8, 2011, and is in the process of updating such materials to address the technical disclosure matters raised by the Commission and to further reflect the Company’s recent drilling program and expected assay results.
On the Company’s website and in its corporate presentation materials that appeared on the Company’s website, the Company disclosed certain historical estimates for the Marshall Lake property that are contrary to section 2.3 (1)(a) of NI 43-101 because the disclosure does not provide the information required by section 2.4 of NI 43-101, which is cautionary language that must be provided with all historical resource estimates.
To correct and remedy this matter, the Company has removed all references and materials that disclosed historical estimates without sufficient cautionary language as required by NI 43-101.
On the Company’s website and in certain investor relations materials, corporate presentations and MD&A, the Company failed to identify and disclose the relationship to the Company of the qualified person who approved, prepared or supervised the preparation of the technical information it was disclosing contrary to section 3.1 of NI 43-101.
To correct and remedy this matter, the Company has updated its website, as of April 8, 2011, to identify and disclose the relationship to the Company of the qualified person and, going forward, will ensure that the qualified person, who has approved, prepared or supervised the preparation of the Company’s technical information, is named in the Company’s website, investor relations materials, corporate presentation materials and MD&A.
This news release has been reviewed and approved by Robert Middleton, P.Eng., who is acting as the Company’s Qualified Person for the Marshall Lake Property project in accordance with regulations under NI 43-101.
For further information, contact Mr. Clive Shallow, Shareholder Communications at 604-922-2030, Robert A. Young, Investor Relations at 604-682-5123 or visit the Company's website at www.rmroyalty.com.
Rainy Mountain Royalty Corp.
“Douglas L. Mason”
Douglas L. Mason, 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.