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April 2013
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Forward Looking Information
This presentation contains “forward-looking information” as defined in applicable securities laws (referred to herein as “forward-looking statements”). Forward looking statements include, but are not limited to, statements with respect to the cost and timing of the development of the Rainy River project, the other economic parameters of the project, as set out in its feasibility study; the success and continuation of exploration activities; estimates of mineral reserve and resources; acquisitions of additional mineral properties; the future price of gold; government regulations and permitting timelines; estimates of reclamation obligations that may be assumed; requirements for additional capital; environmental risks; and general business and economic conditions. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “continues”, “forecasts”, “projects”, “predicts”, “intends”, “anticipates” or “believes”, or variations of, or the negatives of, such words and phrases, or statements that certain actions, events or results “may”, “could”, “would”, “should”, “might” or “will” be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the Company’s actual results, performance or achievements to be materially different from any of its future results, performance or achievements expressed or implied by forward-looking statements. These risks, uncertainties and other factors include, but are not limited to, the assumptions underlying the feasibility study not being realized, decrease of future gold prices, cost of labour, supplies, fuel and equipment rising, availability of financing on attractive terms, actual results of current exploration, changes in project parameters, exchange rate fluctuations, delays and costs inherent to consulting and accommodating rights of First Nations, title risks, regulatory risks and uncertainties with respect to obtaining necessary surface rights and permits or delays in obtaining same, and other risks involved in the gold exploration and development industry, as well as those risk factors discussed in the section entitled “Description of Business-Risk Factors” in Rainy River's 2012 Annual Information Form and its other SEDAR filings from time to time. Forward-looking statements are based on a number of assumptions which may prove to be incorrect, including, but not limited to, the availability of financing for the Company’s exploration and development activities; the timelines for the Company’s exploration and development activities on the Rainy River Property; the availability of certain consumables and services; assumptions made in mineral resource estimates, including geological interpretation grade, recovery rates, gold price assumptions and operational costs; and general business and economic conditions. All forward-looking statements herein are qualified by this cautionary statement. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements whether as a result of new information or future events or otherwise, except as may be required by law.
This presentation uses the terms “proven mineral reserves”, “probable mineral reserves”, “measured mineral resources”, “indicated mineral resources” and “inferred mineral resources”. The Company advises readers that these terms are defined in accordance with Canadian regulations (under National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”)). The United States Securities and Exchange Commission does not recognize mineral resources. Readers are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted in to reserves. In addition, “inferred resources” have a great amount of uncertainty as to their existence, and economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, or economic studies, except for a Preliminary Assessment as defined under NI 43-101. Investors are cautioned not to assume that part or all of an inferred resource exists, or is economically or legally mineable.
For additional information with respect to the key assumptions, parameters, risks and other technical information underlying to the mineral resource estimates and the preliminary economic assessment discussed in this presentation, refer to: (i) the press release dated October 10, 2012 with respect to the mineral resource estimates, available at www.sedar.com; (ii) the press release dated April 10, 2013”, with respect to the feasibility study,, available at www.sedar.com; and (iii) the technical report entitled “NI 43-101 Feasibility Study of the Rainy River Gold Property, Ontario, Canada”, with respect to the feasibility study, which will be available on www.sedar.com.
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Rainy River Resources Ltd.
Rainy River Gold Project
• 4.0 million ounces in reserves
• Intermediate production profile
• Low cash costs
• Low infrastructure costs
• Proven Management team
• Excellent exploration upside
• Strong financial position
Capital Profile
• Shares*, M, Basic 99.9
M, Fully diluted 109.8
• Cash*, C$M $102
• Market Cap, C$M $270
• Covered by 9 Analysts
3
As at Dec 31, 2012.
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
4
Located in Mining Friendly Ontario, Canada
Rainy River
Gold Project
Half of the 12 recently announced junior gold acquisitions were for
projects located in Canada, a safe, mining-friendly jurisdiction.
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Why Rainy River?
5
1. First 10 years. 2. Includes depreciation of pre-production and sustaining capital costs.
•HIGH QUALITY, LOW RISK PROJECT
•4 million ounces of Proven and Probable gold reserves
•Low “all-in” costs of $7711,2 per ounce gold
•Low cash costs of US$4681 per ounce gold
•Milled grade of 1.46 g/t1 gold
•Location, location, location
•UNREALIZED DISTRICT POTENTIAL
•New discovery, Intrepid Zone, with potential for near-term cash flow
•Further potential for discovery along 6km trend
•PROVEN MANAGEMENT TEAM
•Team has financed and built mines around the world
•STRONG FINANCIAL POSITION
•$102 M as of Dec 31, 2012
CURRENTLY TRADING AT 0.3x NAV
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
RRGP Feasibility Study Highlights, April 2013
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Open Pit Reserve: 70.1 Mt @ 1.34 g/t gold, 3.07 g/t silver
Stockpile: 43.1 Mt @ 0.37 g/t gold, 1.97 g/t silver
= 3.5 Moz gold and 9.6 Moz silver
Underground Reserve 3.1 Mt @ 5.07 g/t gold, 6.69 g/t silver
= 0.51 Moz gold and 0.67 Moz silver
Processing Rate 20-21 ktpd open pit, 1 ktpd underground
Mill head grade: 1.46 g/t gold, 3.19 g/t silver (first 10 years)
Strip ratio (waste/ore): 3.1:1*. Operating 2.8:1** *Excludes overburden material. **Excludes overburden and capitalized waste.
Recoveries: 90.4% (gold), 64.1% (silver)
Annual Production: 326 koz (gold), 494 koz silver (first 10 years)
Cash costs: US$468 per ounce gold (first 10 years)
“All-in” cash costs***: US$771 per ounce gold (first 10 years) ***includes depreciation of initial and sustaining capital.
Initial Capital: C$713 M
NPV5% C$931 M, after-tax
IRR$1400/oz gold, $25/oz silver 23.7% , after-tax
AN INTERMEDIATE PRODUCER WITH LOW CASH COSTS
AND 4.0 MOZ IN RESERVES
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
RRGP – Robust Project Metrics
• At $1400 Au, $25 Ag: NPV5% of $931M, after tax
IRR of 23.7%
Payback of 3.2 years
Free cash flow over $2 B, first 10 years
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Gold / Silver
US$ per oz
$1250 / $25 $1400 / $25 $1600 / $30 $1800 / $35
NPV @ 5% - Pre-tax
- After-tax
$1.0B
$0.7B
$1.3B
$0.9B
$1.7B
$1.2B
$2.1B
$1.5B
IRR - Pre-tax
- After-tax
23.5%
19.9%
27.8%
23.7%
32.8%
27.9%
37.6%
32.1%
Annual free cash flow
Over 5 years, pre-tax
Over 5 years, after-tax
$244M
$214M
$284M
$245M
$335M
$278M
$387M
$316M
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Production and Cash Flow Profile
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-1,000,000
-500,000
0
500,000
1,000,000
1,500,000
2,000,000
0
50
100
150
200
250
300
350
400
450
-2 -1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Cu
mu
lativ
e F
ree
Cas
h F
low
(C$
00
0) P
RO
DU
CT
ION
(ko
z g
old
-eq
uiv
ale
nt)
YEAR
Silver in GEO
Gold
Cumulative FCF C$000 (US$1400/oz gold, US$25/oz silver)
Cumulative FCF C$000 (US$1600/oz gold, US$30/oz silver)
Open Pit
Preproduction
($713M)
Underground
Development
($68M)
Sustaining Capital
Open Pit: $322 M
Underground: $95 M
$1.6B
$2.0B
Average Annual Production: 326,000 ounces gold, 494,000 ounces silver = 335,000 gold-equivalent ounces
Notes:
“GEO” = gold equivalent ounces. Cumulative FCF is after-tax
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
The Rainy River Gold Project (RRGP)
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• High quality, low risk project
• “Unrealized District Potential”
• Proven Management Team
• Strong Financial Position
3D View Looking North
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
overburden
Pit Design for Elevated Grade
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FS Pit Design
Resource Pit
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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Project Infrastructure: • Power, rail within 25 km.
• Year round access.
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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Site Topography
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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Mine Environmental Assessment & Permitting
2H/2015
Operating Permits and Approvals
1H/2014
Ontario and Federal Ministers Decision
1H/2013
Mine Environmental Assessment Report to Agencies
May 2012 – Document Submissions
Provincial: Draft Terms of Reference Federal: Project Description
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Community and Environment
Environmental Risk Mitigation
• No fish bearing lakes
• Design with no-effect discharge
• Plan for encapsulation of potentially acid-generating rock
• Submerged tailings closure design (standard Canadian procedure)
• Private land
Community Engagement: Completed to-date
Participation Agreement (PA) with Fort Frances Chiefs Secretariat
Memorandum of Understanding (MOU) with Big Grassy First Nations
Setup Advisory Committee under PA to:
• Maintain consultation
• Facilitate communication and understanding of the EA process
• Potential effects and inclusion of Traditional Knowledge
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Project Timeline: Focus on De-Risking
Feasibility Study April 2013
• Environmental Assessment Q3-2013
• Environmental Approvals Q3-2014
• Commence Construction Q3-2014
• Production Q3-2016
• Intrepid Resource Q3-2013
• Intrepid Scoping Q4-2013
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
0.00
0.20
0.40
0.60
0.80
1.00
1.20
1.40
RRGP (RainyRiver)
Malartic(Osisko)
Borden(Probe)
Cote(Iamgold)
Magino(Argonaut)
Detour Lake(Detour)
Blackwater(New Gold)
HammondReef (Osisko)
M&
I R
es
ou
rce
Gra
de -
g/t
go
ld
Making the Grade - Comparison to Peer Projects
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Note:
Borden at 0.50 g/t cut-off
Blackwater at a 0.40 g/t cut-off
Malartic at a 0.32 g/t cut-off
Highest Grade M&I Resources of 8 Canadian Bulk Tonnage Gold Deposits (at a 0.30 g/t gold-equivalent cut-off)
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
RRGP Stands Out Amongst Its Peers
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RRGP
(years 1-10)
Malartic Detour Blackwater Cote
Head grade, g/t 1.46 0.97 0.96 0.86 0.85
Tonnes per day,
milled 21,000 60,000 58,000 60,000 52,000
Average
ounces gold
per year
326,000 541,000 597,000 523,000 481,000
Start-Up Year 2016 2011 2013 2017 2017
Initial Capex $713 $839 $1,733 $1,815 $1,696
Sustaining
Capex $484* $709 $1,206 $537 $725
Cash cost,
US$/oz gold $468 $679 $775 $599 $729
All-in** cost,
US$/oz gold $771 $957 $1,178 $1,205 $1,189
Comparison data courtesy of BMO Capital Markets.
*Includes underground development and sustaining capital, in addition to open pit sustaining capital.
**“All –in” costs include pre-production, development and sustaining capital costs, as well as cash costs (including royalties and site G&A, and net of silver credits)
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
RRGP - An Undervalued Story
RR NAV, Base Case =$931 M (RRGP NAV) + $102 M (Cash)
=$1033 M
Value Gap =$763 M
Current Market Cap =$ 270 M
Price / NAV = 0.26x
Yet to come:
Intrepid Zone
Regional Exploration
WHAT IS THE TRUE VALUE GAP?
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
20
District Potential for Growth
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
21
NR121256: 1.1 & 5.1 / 9.0
NR121256: 1.9 & 7.5 / 3.8
NR121256: 34.8 & 6.9 / 1.5
NR121256: 1.2 & 6.7 / 10.5
21 Deposit Cross Section
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
22 Vertical Longitudinal Section
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Pit Outline and Ramp Design:
Intrepid Conveniently Located
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3D View Looking North
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
28 Composite of Drill Holes
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
The Rainy River Gold Project (RRGP)
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• High quality, low risk project
• “Unrealized District Potential”
• Proven Management Team
• Strong Financial Position
3D View Looking North
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
QUESTIONS? 30
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
31
Basic Shares Outstanding 99.9 million
FD Shares Outstanding 109.8 million
Cash and Equivalents (Dec 31, 2012) C$102 million
Debt C$0
Market Value Basic (based on $2.70 share price) C$270 million
Enterprise Value (based on $2.70 share price) C$168 million
Rated by 9 Analysts 6 “buys”, 3 “holds”
Ownership
60% Institutional
37% Retail
3% Management
Significant Institutional Shareholder Base Top 5 own ~30%
Ticker Symbol RR on the TSX Main Board
Strong Capital Structure and Institutional Support
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
History
The Rainy River Gold Project has attracted exploration interest since 1967. Various companies including Noranda, International Nickel
Corporation of Canada, Hudson’s Bay Exploration and Development and Mingold Resources operated in the area centred on the Rainy
River Gold Project between 1967 and 1989. The Ontario Geological Survey undertook geological mapping in 1971 and again in 1987 to
1988 in conjunction with a rotasonic overburden drilling program. Nuinsco Resources Limited undertook exploration activities between
1990 and 2004, with Rainy River continuing from 2005 onwards.
Nuinsco drilled a series of widely spaced reverse circulation drill holes from 1994 to 1998, defining a fifteen kilometre long “gold-grains-in-
till” dispersal train emanating from a thickly overburden-covered, six square kilometre “gold-in-bedrock” anomaly. Nuinsco completed a
series of diamond drill programs to assess the mineral potential of the above anomalies which led to the initial discovery of the 17 Zone in
1994. Nuinsco subsequently discovered the 34 Zone in 1995 and 433 Zone in 1997. Between 1994 and 1998, Nuinsco drilled 597 reverse
circulation holes and 217 diamond drill holes (49,515 metres). These were mostly in the Richardson area. The 34 Zone was further drill
tested between 1999 and 2004.
In June 2005, Rainy River completed the acquisition of a 100 percent interest in the project from Nuinsco. In the same year, Rainy River
relogged key sections of the historical core drilled on the property and then input all of the data into a GIS database. Rainy River
subsequently drilled in excess of 100 reverse circulation holes in three phases to better define the gold-in-till and gold-in- bedrock”
anomalies.
Between 2005 and 2007, 209 diamond drill holes for 95,340 metres were drilled. In April 2008, a mineral resource estimate was
completed by CCIC. In 2009, SRK prepared a mineral resource statement incorporating information from an additional 112 core
boreholes (59,719 metres) drilled during 2008. In early 2010, SRK prepared a revised mineral resource statement to incorporate
information from 124 core boreholes (68,453 metres) drilled on the project during 2009. In early 2011, SRK updated the mineral resource
statement to incorporate information from 163 core boreholes (84,648 metres) drilled on the project during 2010. A further 17,100 metres
were included in the June 29, 2011 resource statement, with a further 170,000 metres incorporated in the February 24, 2012 statement.
On October 10, 2012, the latest resource update was issued, incorporating 145 more drill holes (79,238 metres).
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Geology
Regional and Local Geology
The Rainy River Gold Project falls within the 2.7 billion year Rainy River Greenstone Belt that forms part of the Wabigoon Subprovince. The Wabigoon Subprovince is a 900 kilometre long east-west trending area of komaiitic to calc-alkaline metavolcanics that are in turn succeeded by clastics and chemical sediments. Granitoid batholiths have intruded into these rocks, forming synformal structures in the supracrustals that often have shear zones along their axial planes.
The Wabigoon Subprovince basement lithologies were overlain by Mesozoic (Jurassic and Cretaceous) sediments and were subjected to deep lateritic weathering followed by Quaternary glaciation. Limited preservation of the Mesozoic cover sediments and saprolite occurs in localized palaeo-lows.
The Wabigoon basement rocks and remnant Mesozoic cover sediments are overlain by Labradorian till of northeastern provenance. This till has been found to contain anomalous concentrations of gold grains, auriferous pyrite and copper-zinc sulphides. It is overlain by a glaciolacustrine clay and silt horizon and by argillaceous and calcareous Keewatin till of western provenance.
The Rainy River Gold Project is primarily underlain by a series of tholeiitic mafic rocks that are structurally overlain by calc-alkalic intermediate to felsic metavolcanic rocks. Intermediate rocks (dacites) host most of the gold mineralization. At a regional scale, the strongest and earliest deformation event produced a well-defined penetrative fabric. This foliation is approximately parallel to the trend of the metavolcanic rocks that strike at approximately 120 degrees and dip fifty to seventy degrees to the south. Structural geology studies by SRK suggest that the current geometry and plunge of the gold mineralization is the result of high strain deforming features associated with gold mineralization and rotating the mineralization plunge parallel to the stretching direction.
Deposit Types and Mineralization
At least two stages of gold mineralization exists in the Rainy River Gold Project:
Early (low to moderate grade) gold mineralization associated with sulphide (pyrite-sphaleritechalcopyrite-galena) stringers and veins and disseminated pyrite in quartz-phyric volcaniclastic rocks and conglomerate; and Late (high-grade) gold mineralization associated with quartz-pyrite-chalcopyrite-gold veins and veinlets.
Both styles of gold mineralization have been progressively overprinted by deformation, The gold mineralization is interpreted as a hybrid deposit type consisting of an early gold-rich volcanogenic sulphide mineralization overprinted by shear-hosted mesothermal gold mineralization.
In addition to the gold mineralization, the project also contains nickel, copper and platinum group metals sulphide mineralization associated with a differentiated ultramafic-mafic intrusion. That magmatic-hydrothermal mineralization occurs within the main auriferous zones and crosscuts the volcanogenic sulphide mineralization and the later mesothermal gold mineralization associated with the regional deformation.
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Rainy River Resource: Organic Growth in Gold October 2012 based on drill data as of June 10: 657,500 metres
1,424 diamond drill holes
34
Qualified Persons – The mineral resource statement was prepared by Dorota El-Rassi, P.Eng. (APEO #100012348) and Glen Cole, P.Geo (APGO #1416), of SRK, both “independent qualified persons” as that term is defined in
National Instrument 43-101. Rainy River’s exploration program in Richardson Township is being supervised by Kerry Sparkes, P.Geo (APEGBC #25261), Vice-President Exploration and a Qualified Person as defined by National
Instrument 43-101. The Company continues to implement a rigorous QA/QC program to ensure best practices in sampling and analysis of drill core. The procedures of the QA/QC program are detailed on Rainy River’s website
at www.rainyriverresources.com.
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
35
Rainy River Resource: Organic Growth in Silver October 2012 based on drill data as of June 10: 657,500 metres
1,424 diamond drill holes
Qualified Persons – The mineral resource statement was prepared by Dorota El-Rassi, P.Eng. (APEO #100012348) and Glen Cole, P.Geo (APGO #1416), of SRK, both “independent qualified persons” as that term is defined in
National Instrument 43-101. Rainy River’s exploration program in Richardson Township is being supervised by Kerry Sparkes, P.Geo (APEGBC #25261), Vice-President Exploration and a Qualified Person as defined by National
Instrument 43-101. The Company continues to implement a rigorous QA/QC program to ensure best practices in sampling and analysis of drill core. The procedures of the QA/QC program are detailed on Rainy River’s website
at www.rainyriverresources.com.
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Feasibility Study Assumptions
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Gold Price $1,400 USD/oz
Silver Price $25 USD/oz
Exchange rate 1.00 CAD: 1.00 USD (Initial)
1.07 CAD: 1.00 USD (Operations)
Discount rate 5%
Mine Equipment Lease 4.5% over 8 years
Gold Recovery 90.4% (variable by grade)
Silver Recovery 64.1% (variable by grade)
Open Pit Production 21,000 tpd, scaling down to 20,000 tpd
Underground Production 1,000 tpd
Process Plant Capacity 21,000 tpd
Mine Life 16 years
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
RRGP – Reserves (April 10, 2013)
37
*Open Pit Reserves have been estimated using a cut-off grade of 0.30 g/t gold-equivalent, and Underground Reserves have been estimated using a cut-off grade of 3.5 g/t gold-equivalent. Open Pit Reserves
have been estimated using a dilution of 9.7% at 0.22 g/t Au and 1.31 g/t Ag, and Underground Reserves have been estimated using a CAF dilution of 9% at 0.61 g/t Au and 4.16 g/t Ag and LH dilution of 10% at
1.56 gpt Au and 1.28 gpt Ag. Open Pit Reserves have been estimated using a mine recovery of 95%, and Underground reserves have been estimated using a mine recovery of 95%.
Qualified persons - The mineral reserve statement was prepared by Patrice Live (OIQ #38991) of BBA and Donald Tolfree (APEGBC #32557), of Golder , both "independent qualified persons" as that term is
defined in National Instrument 43-101. Rainy River's engineering assessment in Richardson Township is being supervised by Garett Macdonald, P.Eng. (PEO #90475344), Vice-President Operations and a
Qualified Person as defined by National Instrument 43-101.
Reserves are derived from the October 10. 2012 Resource Statement, prepared by Dorota El-Rassi, P.Eng. (APEO #100012348) and Glen Cole, P.Geo (APGO #1416), of SRK, both "independent qualified
persons" as that term is defined in National Instrument 43-101. Rainy River’s exploration program in Richardson Township is being supervised by Kerry Sparkes, P.Geo. (APEGBC #25261), Vice-President
Exploration and a Qualified Person as defined by National Instrument 43-101. The Company continues to implement a rigorous QA/QC program to ensure best practices in sampling and analysis of drill core.
Mineral Reserves, Rainy River Gold Project, BBA and Golder, April 10, 2013
Quantity Grade Metal
Mt Au gpt Ag gpt Au ‘000 oz Ag ‘000 oz
Open Pit*
Proven 27.7 1.14 1.94 1,015 1,728
Probable 85.5 0.91 2.88 2.511 7,919
Total 113.2 0.97 2.65 3.525 9,647
Underground*
Proven
Probable 3.1 5.07 6.69 506 668
Total 3.1 5.07 6.69 506 668
Combined Mining*
Proven 27.7 1.14 1.94 1,015 1,728
Probable 88.6 1.06 3.01 3,017 8,587
Total 116.3 1.08 2.76 4,031 10,315
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Operations Overview
Project Profile
• Process SAG Mill, Ball Mill, Gravity, Whole Ore Leach
• Recoveries, LOM 90.4% for Au, 64.1% for Ag
• Production
Open Pit
• Open pit reserve 70.1 Mt @ 1.34 g/t Au, 3.07 g/t Ag
• Stockpile 43 Mt @ 0.37 g/t Au, 1.97 g/t Ag
• Mill Throughput 20 ktpd
• Strip ratio 3.1:1*. Operating strip ratio 2.8:1** *Excludes overburden material. **Excludes overburden and capitalized waste.
• Open pit mine life 16 years
• Capex Initial C$713 M
• Sustaining C$322 M, includes tailings, waste, overburden, equipment
• Mine cost C$1.95/t mined
Underground
• Underground reserve 3.1 Mt @ 5.07 g/t gold, 6.69 g/t silver
• Mill throughput 500 tpd in Year 3, ramping up to 1,000 tpd in Year 5
• Underground mine life 11 years
• Capex Development C$67.8 M, Years 1-3
Sustaining C$94.6 M, Years 6-10
• Mine Cost C$75.52/t mined
• Processing C$8.65/t milled
• G&A C$1.21/t
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© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Mine Design
39
Open Pit Design • 70.1 Mt @ 1.34 g/t Au, 3.07 Ag
• Stockpile: 43 Mt @ 0.37 g/t Au, 1.97 g/t Ag
• Production:
• 3.19 Moz Au, 6.19 Moz Ag
• 2.8 operating strip ratio
• 21,000 tpd to mill
• 16 year mine life, including stockpile
Underground Design • 3.1 Mt @ 5.07 g/t Au, 6.69 g/t Ag
• Production:
• 0.46 Moz Au, 0.43 Moz Ag
• Method: Long Hole (80%), Cut and Fill (20%)
• 1,000 tpd to mill
• 11 year mine life including development
3D View Looking North
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
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Process Plant Design - Flowsheet
BALL MILL
SAG MILL
PEBBLE CRUSHER
GYRATORY
CRUSHER
GRAVITY
CONCENTRATORS
INTENSIVE
CYANIDATION
REACTOR
PRE-LEACH
THICKENER
CYANIDE LEACH
CARBON-IN-
PULP
PROCESS
WATER
TANK
CARBON STRIPPING
DORÉ BAR
ELECTRO
WINNING
CYANIDE
DESTRUCTION TAILINGS POND
PRE-DETOX
THICKENER
PROCESS
WATER
TANK
ELECTRO
WINNING
SCALPING
SCREEN
REFINING
CYCLONES
PUMP BOX
& PUMP
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Project Capital: Open Pit Components
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Sustaining Capital: $322 M
Pre-Production Capital: $713M
16% Indirect Costs $112.8M
15% Site and Mine
Infrastructure $105.7M
8% Contingency $55.0M
6% Overburden Stripping
$43.1M
6% Tailings and Water
Management $44.9M 4% Equipment $26.2M
40% Process Plant $283.7M
6% Waste Stripping $41.9M
7% Tailings Dam
Construction $23.6M
50% Equipment Capital Lease
$161.5M
22% Overburden Stripping
Cost $70.7M
19% Waste Stripping
Costs $62.7M
1% Site Development, Facilities, net
$3.4M
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Project Capital: Underground Components
42
Sustaining Capital: $95 M
Development Capital: $68 M
76% Mining Equipment and
Infrastructure $16.1M
24% Vertical & Horizontal
Development $51.7M
59% Vertical Development $55.9M
41% Mining Equipment and
Infrastructure $38.7M
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Consultants and Contractors
• Engineering and Procurement – BBA
• Osisko, Detour, Thompson Creek
• Construction Management – Merit Consulting
• Copper Mountain, Goldcorp Red Lake
• Permitting & Environmental – AMEC
• Detour Lake (Detour), Victor (De Beers), Hollinger (Goldcorp)
• Resources – SRK
• Fresnillo, Agnico Eagle, Queenston/Osisko
• Resources – SGS
• Barrick, Teck, Goldcorp, Agnico Eagle
• UG Mine Planning – Golder Associates
• Mercedes (Yamana), Kiggavik (AREVA)
• Energy Consulting – SanZoe
• Detour Lake (Detour)
• Road Consulting – TBT Engineering
• MTO
43
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Proven Management Team
Raymond Threlkeld, President & CEO
• Over 30 years experience in exploration, mine development,
mine operations and executive management
• Former President & CEO of Western Goldfields
• Former Vice President, Project Development with Barrick
Gold Corp.
44
Michael Mutchler, COO
• 30 years of underground and open pit mining experience
in both operations and projects.
• Former Kinross VP, Project Development Services, Project
Manager - Paracatu Mine Optimization feasibility study in
Brazil, Mining Manager - Cerro Casale Mine feasibility study
in Chile, and Operations Manager - Round Mountain Mine
in Nevada.
• 20 years with ASARCO Incorporated in positions of increasing
responsibility ranging from Mine Engineer, Mine Foreman,
Mine Manager and General Manager.
Kyle Stanfield, VP, Environment & Sustainability
• 15+ years environmental assessment and mine permitting.
• Led largest harmonized mining environmental assessment in B.C.
(Galore Creek).
• Environmental Engineer with Placer Dome: Africa, South America
and Canada
Nicholas Nikolakakis, Vice President & CFO
• 17 years experience in corporate finance, accounting
and senior management
• Former VP Finance with Barrick Gold Corporation, Regional
CFO with Placer Dome, and investment banker with
BMO Nesbitt Burns
Garett Macdonald, Vice President, Operations
• P. Eng and MBA with over 15 years experience in mine
engineering and operations with Placer Dome and Suncor Energy
Kerry Sparkes, Vice President, Exploration
• P. Geo with over 22 years experience
• Instrumental in the discovery and delineation of the Voisey’s
Bay nickel deposit
Gerry Shields, Vice President and General Counsel
• Lawyer with over 30 years of experience in advising both public and
private companies on a broad range of legal matters including
equity financings, mergers and acquisitions, takeovers, corporate
governance and general corporate and securities law
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Board Expertise: Projects,
Finance, Governance
Leo Berezan, Chairman of the Board
• Established a successful career over past 30 years
in commercial real estate development and property
management
• Audit Committee member
45
Dale Peniuk, Independent Director & Audit
Committee Chair
• B.Comm and C.A.
• Provides financial consulting services to a number of
mining companies
• Formerly an assurance partner with KMPG’s Vancouver office,
specializing in the mining area and the leader of KPMG’s
Vancouver office mining industry group
Stuart Averill, Independent Director
• P.Geo and founder and owner of Overburden Drilling
Management (ODM)
• Played critical roles in the several discoveries in Canada
including the Collins Bay “B” uranium mine (SK), the Casa
Berardi gold district (QC) and the original #17 and #433
gold discoveries at Rainy River
Richard Pettit, Independent Director
• C.A.
• Over 30 years of experience as a C.A., mainly with
PricewaterhouseCoopers where he was a senior partner
of their Corporate Advisory and Restructuring practice
• Brings strong financial literacy as well as analytical and risk
management skills to the Rainy Board
• Audit Committee member
Jim Excell, Independent Director
• Metallurgical Engineer with extensive senior executive,
mine management and process engineering experience
• Over 30 years with BHP Billiton, responsible for overseeing
the management and development of some of the world’s
premier mining projects including the EKATI diamond mine
in the Northwest Territories.
Raymond Threlkeld, Director
Gerry Shields, Director
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
Analyst Coverage
46
Analyst Company Email Telephone
John Hayes BMO Capital Markets [email protected] 416.359.6189
Eric Winmill Casimir Capital Ltd. [email protected] 416.628.3772
Jeff Killeen CIBC World Markets [email protected] 416.956.6218
Adam Melnyk Desjardins Securities Inc. [email protected] 416.607.3081
Paolo Lostritto National Bank Financial [email protected] 416.869.6754
Don Blyth Paradigm Capital [email protected] 416.360.3461
Sam Crittenden RBC Capital Markets [email protected] 416.842.7886
Leily Omoumi Scotia Capital Inc. [email protected] 416.945.4527
Craig Stanley Stifel Nicolaus Canada [email protected] 416.815.3103
Rainy River Resources Ltd. is followed by the research analysts listed. Please note that any opinions, estimates, or forecasts regarding Rainy River’s performance made by these analysts are theirs
alone and do not represent opinions, forecasts, or predictions of Rainy River or its management. Rainy River does not, by its reference below or distribution, imply its endorsement of, or concurrence
with, such information, conclusions, or recommendations.
Rainy River does not provide analyst reports to persons outside of the company. Please contact the research analyst directly to obtain a report.
© 2013 RAINY RIVER RESOURCES LTD.
TSX: RR
DEFINING CANADA’S NEWEST GOLD DISTRICT
Indi Gopinathan, Director, Investor Relations
Telephone: 416.645.7289
Email: [email protected]