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December 17, 2007
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Rainy River and Western Warrior Enter Into Option Agreement Covering a 9,276
Hectare Claim Block in Off Lake Area Adjacent to New Gold-Bearing Base Metal
Discovery
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VANCOUVER, BRITISH COLUMBIA and CALGARY, ALBERTA--(Marketwire - Dec. 17, 2007) - Rainy River Resources Ltd. (TSX VENTURE:RR) ("Rainy River") and Western Warrior Resources Inc. (TSX VENTURE:WWR) ("Western Warrior") are pleased to announce that they have entered into an option agreement (the "Option Agreement") covering 41 contiguous claim units aggregating 9,276 hectares of the extreme southern portion of Western Warrior's 67,000 hectare Pipestone Project. The optioned property adjoins Rainy River's promising Off Lake area where prospecting, mechanical stripping and channel sampling this fall uncovered values as high as 15.25 g/t Au, 7.66% Zn and 2.75% Cu in several new Au + VMS-signature showings in outcrop along the east shore of Off Lake associated with the contact between metagabbro and a massive felsic dyke complex recently mapped by Dr. Lorne Ayres. These new showings are situated 500 metres west of the common Rainy River/Western Warrior property line.
Under the terms of the Option Agreement, Rainy River will have the right to acquire a 60% interest in the optioned claims if it incurs exploration expenditures on the optioned claims totalling $3,000,000, makes cash payments to Western Warrior totalling $225,000 and issues 60,000 common shares of Rainy River to Western Warrior over a three year term ended December 31, 2010. The exploration expenditures to be incurred by Rainy River during the three years ended December 31, 2010 are $500,000, $1,200,000 and $1,300,000, respectively. If Rainy River exercises its option, the parties will bear the cost of further exploration and development of the optioned claims on a joint venture basis.
Rainy River now has variable interests in a total of 24,305 hectares stretching over a 30 kilometre segment of the Rainy River Greenstone Belt, making the company the largest land holder in this belt. In both the Off Lake and Richardson Township sections of the property, widespread Au + VMS mineralization is hosted by Archean-aged volcanic, subvolcanic and sedimentary rocks.
"We are very pleased to add the right to acquire a 60% interest in Western Warrior's strategic land position to our Rainy River Project in the Off Lake area. Dr. Lorne Ayres, one of Canada's most experienced volcanologists, and our seasoned prospectors have uncovered a very unique and exciting new exploration target for us. We continue to be encouraged by the remarkable geological and mineralogical similarities between the Off Lake area and Richardson Township areas," commented Nelson Baker, President of Rainy River.
"The opportunity to partner with Rainy River on this highly prospective property is a very positive milestone for Western Warrior. The land under option represents 20% of our Pipestone Project, the balance of which we are exploring independently," commented Grant Hall, president of Western Warrior.
About Rainy River: Rainy River is an exploration company focused on exploring and developing its gold and base metal properties situated along the Rainy River greenstone belt located approximately 80 kilometres south of Kenora, in northwestern Ontario. The Western Warrior property covers a highly prospective and under-explored part of the Rainy River greenstone belt and is open to year round exploration.The property has excellent infrastructure with ready access to railroads, highways and electrical power. To date over $13 million has been spent by the company in the Rainy River greenstone belt area. Currently there are four rigs in Richardson Township area actively exploring and delineating several promising gold volcanogenic sulphide zones. Rainy River is projecting to spend $10 million by the end of 2008 and currently has more than $38 million dollars in the bank.
About Western Warrior: Western Warrior is a Calgary-based, multi-commodity, mineral exploration company with 100% ownership of properties in Northwestern Ontario, Northern Manitoba, and Valdez, Alaska, encompassing a total area of more than 402,700 hectares (4,027 km2). Western Warrior's website address is www.westernwarrior.ca.
Nelson W. Baker, President
To be added to Western Warrior's private email list, please contact info@westernwarrior.ca.
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. 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, including 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.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
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