Friday 9th December 2016

Resource Clips


Posts tagged ‘Rainy River Resources Ltd (RR)’

Rainy River Reports Ontario Gold Assays up to 2.9 g/t over 84m, 4.9 g/t over 45m

July 19th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningRainy River Resources Ltd TSX:RR reported results from its Rainy River Gold Project in northwest Ontario. Highlights include

2.3 grams per tonne gold, 0.7 g/t silver over 24 metres
4.9 g/t gold, 3.7 g/t silver over 45 metres
(including 15 g/t gold, 3.2 g/t silver over 4.5 metres)
1.8 g/t gold, 1.7 g/t silver over 16.5 metres
(including 5.9 g/t gold, 4.2 g/t silver over 3 metres)
1.6 g/t gold, 1.3 g/t silver over 15 metres
1.2 g/t gold, 8.6 g/t silver over 33.5 metres
4.7 g/t gold, 21.2 g/t silver over 8.1 metres
2.5 g/t gold, 2.3 g/t silver over 25.5 metres
1.1 g/t gold, 2.5 g/t silver over 42 metres
2.7 g/t gold, 1.4 g/t silver over 16.5 metres
2.9 g/t gold, 3 g/t silver over 84 metres
(including 13.3 g/t gold, 4.9 g/t silver over 10.5 metres)
1.5 g/t gold, 1.2 g/t silver over 25.5 metres
5.7 g/t gold, 4.4 g/t silver over 10.5 metres
(including 33.6 g/t gold, 23.7 g/t silver over 1.5 metres)

President/CEO Raymond Threlkeld commented: “The continuity of mineralization, as indicated by our deep drilling results, has been very encouraging, as have the elevated grades we have encountered within the proposed starter pit and near the ultimate pit bottom. Over the remainder of the year, Rainy River plans to focus exploration efforts on deep drilling as well as district targets in order to expand resources.”

View Company Profile

Indi Gopinathan
Director, Investor Relations
416.645.7289

Read a feature story about Rainy River

Read an interview with CEO Ray Threlkeld

by Kevin Michael Grace

Onward To 2016

April 10th, 2012

Rainy River is Four Years Away from Gold Production

By Ted Niles

Rainy River Resources TSX:RR lost roughly 40% of its value in September 2011. Crummy assay results? Funding problems? Corporate upheaval? None of the above. Just the vagaries of the market. “The Rainy River project is only getting better with time,” President and CEO Raymond Threlkeld emphasizes. “It’s getting bigger and the economics are becoming better.”

The company continues to advance its eponymous gold project, located on 16,530 hectares in what is fast being recognized as an emerging gold district in Ontario’s northwest. On February 24, Rainy River released an updated NI 43-101 resource estimate for the 16,530-hectare property of 5.72 million ounces gold and 12 million ounces silver in the measured and indicated categories, marking a 30% and 32% increase in gold and silver ounces respectively. The report also outlined inferred resources of 2.25 million ounces gold and 6.77 million ounces silver inferred.

Rainy River is Four Years Away from Gold Production

The new estimate followed a positive preliminary economic assessment released November 2011. The PEA projected a 13.2-year mine life with an annual production rate of 329,000 ounces gold and 497,000 ounces silver. Life-of-mine cash costs were estimated at $553 per ounce gold with an initial capex of $681 million. Rainy River’s net present value was calculated to be $786 million with a 19.4% internal rate of return and a payback period of 3.4 years. “To have a project that has a net present value of around $800 million today at a $1,200 gold price is very good,” Threlkeld remarks. “The next PEA that we do—which comes out in June and will be the guide for the feasibility study—is going to show a substantial increase in net present value.”

So what is the explanation for Rainy River‘s stock-price collapse? Threlkeld argues, “Last year, I think we were fairly well valued, but there were factors beyond our control in that there were some shareholders that needed to sell their shares to cure other problems. Shareholder sentiment is a very hard one to control. The generalist portfolio managers have chosen to get out of gold, and a lot of them have moved to US equities. Equities that are dividend paying.”

The company is currently in the midst of an infill and exploration drilling campaign. March 28 results from the Cap and ODM zones include

  • 5 grams per tonne gold over 10.5 metres
  • 27.5 g/t gold and 22.7 g/t silver over 1.5 metres
  • 12 g/t gold over 3.5 metres
  • 12.7 g/t gold and 3.3 g/t silver over 16.5 metres
    (including 81.7 g/t gold and 13.9 g/t silver over 1.5 metres)
  • 18.1 g/t gold over 3 metres
  • 34.4 g/t gold over 1.5 metres
  • 1.4 g/t gold over 57 metres
  • 1.6 g/t gold over 33 metres
  • 15 g/t gold and 24.4 g/t silver over 4.8 metres

Threlkeld comments, “This is outside of the open-pit mineralization that we focused on in the preliminary assessment. These are very good underground-mineable widths and very good grades, [and] it demonstrates that everything is open at depth. [The results] show that as we move in one direction, mainly to the south, the grades are getting a little bit better and that we will have at some point an underground mine that has a very long life.”

He continues, “Our drilling program this year is really focused on converting some inferred resources into indicated—to put in the feasibility study—to explore at depth, like we did with these new assays, and to explore east and west along the axis of what we consider the district, of which we control almost 10 kilometres of strike length. Our program this year will be about 175,000 metres of drilling that will complete new resources and identify new exploration targets for the feasibility study.” The feasibility study, already underway, is expected to be released in 1Q 2013.

It’s very rare to see a new project that’s wide open and that has great exploration potential for the future. We developed a new resource that added 800,000 ounces to the existing pit —Raymond Threlkeld

Threlkeld declares that management’s strength is in building mines. He and CFO Nicholas Nikolakakis are Barrick TSX:ABX alumni, and COO Michael Mutchler came from Kinross TSX:K. “We have the right experience for a junior company, probably more so than most,” Threlkeld says. “Our intent is to take this to production.”

Project permitting will begin next month. “As we complete feasibility, all the engineering studies go into active permitting, and the permitting timeline is about 24 months. We believe we can seek approvals to start some construction in 2014 concurrent with permitting. There is about a 20- or 21-month construction period, and we hope to achieve full production in 1Q of 2016.”

Rainy River is located about 65 kilometres west of Fort Frances, which gives it two advantages in addition to infrastructure proximity. First, the town’s ailing pulp and paper industry offers a “very trainable” human resource. Second, a Rainy River mine wouldn’t need a new camp for its personnel. Threlkeld explains, “Camps can cost upwards of $60 million to build, [with] an operating cost on top of that. Then you have a labour issue, because not a lot of people like camps—some do it for a while, and you traditionally have a higher turnover than normal. [While we have] a financial advantage in this, there is also a great social advantage—lots of people like to go home at night.”

“Our progress is outstanding,” Threlkeld concludes. “It’s very rare to see a new project that’s wide open and that has great exploration potential for the future. We developed a new resource that added 800,000 ounces to the existing pit; we’re doing optimization studies right now; and we’ve seen increases in our gold recovery in the metallurgical test work. And the recent federal [budget] announcements are very positive for mining as a whole in Canada. I think that the federal mandate to speed things up will push down to the provinces. The provinces need jobs and tax revenue, and we can certainly provide that.”

At press time, Rainy River Resources had 88 million shares trading at $5.12 for a market cap of $450.7 million.

Rainy River reports Ontario Gold Assays as high as 1.3 g/t over 57m

March 28th, 2012

Resource Clips - essential news on junior gold mining and junior silver miningRainy River Resources Ltd TSX:RR announced assays from its Rainy River gold project in northwest Ontario. Results include

5 g/t gold over 10.5 metres
27.5 g/t gold and 22.7 g/t silver over 1.5 metres
3.5 g/t gold over 4.5 metres
10.3 g/t gold over 1.5 metres
12 g/t gold over 3.5 metres
16.1 g/t gold and 13.3 g/t silver over 1.5 metres
2.5 g/t gold over 6 metres
12.7 g/t gold and 3.3 g/t silver over 16.5 metres
(including 81.7 g/t gold and 13.9 g/t silver over 1.5 metres)
18.1 g/t gold over 3 metres
34.4 g/t gold over 1.5 metres
1.4 g/t gold over 57 metres
6.1 g/t gold over 4.5 metres
1.6 g/t gold over 33 metres
15 g/t gold and 24.4 g/t silver over 4.8 metres

President/CEO Raymond Threlkeld commented, “The results released today show the potential of the Cap Zone to play a significant role in adding higher confidence ounces and in developing the underground potential of the Rainy River Gold Project. The ODM infill results are consistent with previous drilling, while the ODM below-pit results are also encouraging from an underground project perspective. With our strong cash balance and continued excellent drill results, we are well-positioned to advance the Project. A revised preliminary economic assessment is expected to be completed by mid-2012, followed by a resource update incorporating drilling from the first few months of this year. This mid-year resource will be used for the feasibility study, targeted for completion in early 2013.”

View Company Profile

Contact:
Indi Gopinathan
Director, Investor Relations
416.645.7289

by Ted Niles

Rainy River reports Ontario Results as high as 162 g/t Gold, 29.3 g/t Silver over 1.5m

February 2nd, 2012

Resource Clips - essential news on junior gold mining and junior silver miningRainy River Resources Ltd TSX:RR announced assays from its Rainy River Gold Project in northwest Ontario. Highlights include

162 g/t gold and 29.3 g/t silver over 1.5 metres
1.9 g/t gold and 1.9 g/t silver over 87 metres
(including 50.3 g/t gold and 15.4 g/t silver over 1.5 metres)
4.7 g/t gold and 2 g/t silver over 25.5 metres
(including 19.9 g/t gold and 3.3 g/t silver over 4.5 metres)
4.2 gold and 2.6 g/t silver over 19.5 metres
(including 16.7 g/t gold and 6.8 g/t silver over 1.5 metres)
67.1 g/t gold and 11.3 g/t silver over 1.1 metres
3.2 g/t gold and 11.8 g/t silver over 19.5 metres
(including 4 g/t gold and 15.1 g/t silver over 12 metres)

President/CEO Raymond Threlkeld commented, “The continued strong intersections in the ODM in-pit and now the CAP in-pit appear to support the addition of resource ounces and conversion of material into higher confidence levels for the next resource update, scheduled for the end of this quarter. Further, the new CAP Zone intersections at depth are exciting as they add to the underground potential of the Rainy River Gold Project.”

View Company Profile

Contact:
Indi Gopinathan
IR Director
416.645.7289

by Greg Klein

Rainy River reports Ontario Assays up to 2.7 g/t Gold over 45m

November 9th, 2011

Resource Clips - essential news on junior gold mining and junior silver miningRainy River Resources Ltd TSX:RR announced results from its Rainy River Gold Project in northwestern Ontario. Highlights include

2.7 g/t gold and 2.3 g/t silver over 45 metres
(including 4.6 g/t gold and 4 g/t silver over 7.5 metres)
6.6 g/t gold over 16.5 metres
(including 8.6 g/t gold over 12 metres)
50.3 g/t gold and 3.8 g/t silver over 1.5 metres
44.2 g/t gold and 2.2 g/t silver over 1.5 metres
0.7 g/t gold and 1.1 g/t silver over 63 metres
8.4 g/t gold and 3.9 g/t silver over 5.5 metres
(including 22.6 g/t gold and 10.3 g/t silver over 1.5 metres)
3.8 g/t gold and 1.3 g/t silver over 10.5 metres
(including 17.1 g/t gold and 5.1 g/t silver over 1.5 metres)

President/CEO Raymond Threlkeld commented, “Drilling between ODM and 433 and Cap/South is converting what was potentially waste rock into significantly mineralized zones that could add to in-pit resources. Our deep drilling highlights the fact that the project remains open at depth and returns grades that support underground mining, while exploration drilling in the recently discovered Western Area and 17 Zone Eastern Extension continues to be very encouraging. The company’s preliminary economic assessment is being completed and is targeted for release shortly. The PEA does not include any drill results subsequent to February 27, 2011. An updated NI 43-101 compliant resource statement is targeted for completion and release in early 2012 and will include infill and new discovery drilling from February 27 to year-end.”

View Company Profile

Contact:
Indi Gopinathan
Director of Investor Relations
416.645.7289

by Greg Klein

Rainy River reports Ontario Results as high as 255 g/t Gold over 1.5m

September 12th, 2011

Resource Clips - essential news on junior gold mining and junior silver miningRainy River Resources Ltd TSXV:RR announced assays from its Rainy River Gold Project in northwestern Ontario. Results include 255 g/t gold and 11.2 g/t silver over 1.5 metres, 4.2 g/t gold and 2.5 g/t silver over 39 metres, 4.6 g/t gold and 14.5 g/t silver over 37.5 metres (including 13.1 g/t gold and 2.4 g/t silver over 9 metres), 0.9 g/t gold and 5 g/t silver over 107 metres (including 2.4 g/t gold and 5.7 g/t silver over 2 metres) and 45.4 g/t gold and 3.9 g/t silver over 1.5 metres.

President/CEO Raymond Threlkeld commented, “The infill program continues to intersect significant gold and silver mineralization. Drilling between ODM and 433 and Cap/South has shown very good results in converting what appears to be waste into significantly mineralized zones that could add to in-pit resources. Deep drilling highlights that the project remains open at depth, while exploration drilling in the recently discovered Western Area and 17 Zone Eastern Extension continues to be very encouraging. The preliminary economic assessment is targeted for release by early October. The PEA will not include any drill results subsequent to February 27, 2011. A new resource statement is targeted for release in early 2012 and will include infill and new discovery drilling from February 27 to year-end.”

View Company Profile

Contact:
Indi Gopinathan
IR Director
416.645.7289

by Greg Klein

Rainy River, Northern Superior report Ontario gold assays of 4.74 g/t over 6.8m

April 14th, 2011

Rainy River Resources Ltd TSXV:RR in joint venture with Northern Superior Resources Inc TSXV:SUP announced results from the TPK Joint Venture Project in northern Ontario. Assays include 4.74 g/t gold over 6.8 metres (including 15.52 g/t over 1.5 metres), 3.11 g/t over 1.7 metres, 10.15 g/t over 0.4 metres, 1.24 g/t over 4.5 metres (including 4.45 g/t over 0.5 metres) and 0.63 g/t over 5.9 metres. Rainy River has an option to earn a 51% interest in the TPK property and is the project operator.

Rainy River President/CEO Raymond Threlkeld commented, “We continue to be very encouraged with the early stage exploration program at TPK. The size of the gold grain anomalies, coincident with strong IP geophysical anomalies and a large intrusives, provide preliminary indications that TPK is a large, prospective mineralized system. Drilling will resume following spring breakup with the focus on the Target 2 area which contains the largest concentration of boulder and till gold anomalies.”

View Company Profile

Contact:
Rainy River Resources Ltd
Raymond Threlkeld
President/CEO
647.476.5407

by Ted Niles

Rainy River reports Ontario Gold Assays as high as 352.8 g/t over 6m

March 31st, 2011

Rainy River Resources Ltd TSXV:RR announced assays from its Rainy River Gold Project in northwestern Ontario. Results include 4.6 g/t gold over 13.5 metres, 5 g/t gold over 4.5 metres, 11.8 g/t gold over 9 metres (including 67.2 g/t gold over 1.5 metres), 352.8 g/t gold over 6 metres, 7.1 g/t gold and 23 g/t silver over 9 metres, 24.1 g/t gold and 74 g/t silver over 1.5 metres, and 91.8 g/t gold over 1.5 metres.

President/CEO Raymond Threlkeld said, “Over the last year the company has enjoyed significant discovery success with the infill drill program and more recently, with the step-out regional exploration drill program to the west and in the deep 17 East Extension Zone. Consequently, we have decided to intensify our exploration program by adding 4 drill rigs in the coming weeks, which will increase our total number of rigs to 10. The current plan is to conduct approximately 170,000 metres of drilling in 2011. The revised exploration program will dedicate 60% of the drilling towards regional exploration, 20% to define potential underground resources and 20% for further infill. We are continuing with pit optimization and drilling to convert inferred resources into indicated mineralization, to define a potential pit bottom and ultimately focus infill drilling on expanding the underground potential at depth. We are currently preparing a scoping study based on our current resource estimate which includes defining an optimized pit shell. As a result of the potential for an open pit to extend below the planned advanced exploration development ramp access, we will be re-evaluating the program. In the meantime, we are continuing with the permitting process, which is in its final stages of completion according to plan. We plan to defer the decision to proceed with the advanced exploration ramp until we have concluded this study.”

View Company Profile

Contact:
Liz Caridi
Director, Investor Relations
604.639.4497

by Ted Niles

Rainy River reports Ontario Gold Assays up to 942.6 g/t gold over 3m

February 28th, 2011

Rainy River Resources Ltd TSXV:RR announced assays from its Rainy River Gold Project in northwestern Ontario. Results include 942.6 g/t gold over 3 metres (including 1,845 g/t over 1.5 metres), 4.7 g/t over 7.5 metres, 2.7 g/t over 37.5 metres (including 5 g/t over 15 metres), 1.4 g/t over 33 metres and 41.4 g/t over 1.5 metres.

President/CEO Raymond Threlkeld commented, “These initial results from our 2011 drill program are an excellent beginning to expand our resources from our recently announced NI 43-101 resource estimate. The area between the Beaver Pond and ODM Zones is possibly another high-grade structural shoot, similar to others we’ve seen throughout the deposit. The discovery of gold-bearing mineralization over 800 metres along strike in the newly discovered Western Area to the northwest of Beaver Pond opens up significant untested exploration potential.”

View Company Profile

Contact:
Liz Caridi
Director, Investor Relations
604.639.4497

by Ted Niles

Rainy River reports Ontario Gold Assays up to 29.97 g/t over 4.5m

January 11th, 2011

Rainy River Resources Ltd RR:CA announced results from its Rainy River Gold Project in northwestern Ontario. Assays include 0.75 g/t gold over 49.8 metres, 1.47 g/t gold over 57 metres (including 22.02 g/t over 1.5 metres), 1.53 g/t over 10.5 metres, 6.38 g/t over 13.9 metres (including 29.98 g/t over 1.5 metres), 1.07 g/t over 24 metres, 1.1 g/t over 22.5 metres, 29.97 g/t over 4.5 metres (including 54.78 g/t over 1.5 metres) and 9.33 g/t over 13.5 metres (including 70.23 g/t over 1.5 metres).

President/CEO Raymond Threlkeld commented, “Results from the infill program are very encouraging and, while adding a great deal of new information for the next NI 43-101 resource update, the infill program has also demonstrated the enormous potential for further discoveries of volcanogenic gold and VMS deposits. Based on the success of the 2010 exploration program, the Company has approved a $57 million budget for 2011 that includes over 100,000 metres of infill and regional diamond drilling, initiating an underground exploration program and moving all relevant engineering and environmental studies to the feasibility level. We will also be conducting an aggressive exploration program at the TPK joint venture project, with 11,000 metres of drilling planned to follow-up on the recent high-grade gold discovery.”

View Company Profile

Contact:
Liz Caridi
Director, Investor Relations
604.639.4497

by Ted Niles