News Releases: No. 10-06
Rainy Mountain Grants 50% Option of its Marshall Lake Joint Venture Project
West Vancouver, British Columbia – March 8, 2010 – Rainy Mountain Royalty Corp. (the “Company” or “Rainy Mountain”) is pleased to report that the Company and its joint venture partner, Marshall Lake Mining PLC of London, England (“MLM PLC”) have signed a letter of intent with White Tiger Mining Corp. of West Vancouver, BC (“White Tiger”) to grant an option to White Tiger to acquire up to a 50% joint venture interest in Rainy Mountain’s and MLM PLC’s Marshall Lake project located in Ontario. The letter of intent is subject to the completion of a definitive option agreement and the obtaining of any required regulatory and/or shareholder approvals. Rainy Mountain and White Tiger have certain common directors.
The Marshall Lake project is a copper, gold, silver and zinc property and consists of 65 unpatented mining claims and 89 leased claims (for a total of 965 claim units or approximately 60 square miles) and is located approximately 250 km north-northeast of Thunder Bay, Ontario (accessible via Highway 11/17).
As summarized in the letter of intent, White Tiger can acquire up to a 50% joint venture interest in the Marshall Lake project by incurring over a 5 year period $4,000,000 in exploration expenditures on the Property and issuing 2,000,000 shares. As a result, White Tiger can earn a 12 ½ % joint venture interest in the Marshall Lake project for each $1,000,000 of exploration expenditures incurred. As well, once White Tiger has completed all of its share and spending commitments, it has the additional option to increase its interest to 75% by incurring such additional expenditures as are necessary to take the Marshall Lake project to bankable feasibility stage.
The Company is currently negotiating a definitive option agreement with White Tiger and MLM PLC, which will be filed for acceptance with the TSX Venture Exchange when completed.
For further information, contact Mr. Clive Shallow, investor communications, at 604-922-2030 or visit the Company’s website at www.rmroyalty.com (an updated Rainy Mountain Royalty Corp. website is currently being developed).
Rainy Mountain Royalty Corp.
"Douglas L. Mason"
Douglas L. Mason, CEO