Rainy Mountain Announces Non-Brokered Private Placements

Trading symbol: TSX-V: RMO

News Release No. 12-01

Rainy Mountain Announces Non-Brokered Private Placements

West Vancouver, British Columbia – March 29, 2012 – Rainy Mountain Royalty Corp (the “Company” or “Rainy Mountain”) announces that, subject to regulatory approval, the Company intends to proceed with a flow through and a non-flow through non-brokered private placement. Under the flow through private placement (the “FT Private Placement”), the Company intends to raise up to $84,500 by the issuance of 1,300,000 flow through shares (the “FT Shares”) at $0.065 per FT Share. Under the non-flow through private placement (the “NFT Private Placement”), the Company intends to raise up to $65,000 by the issuance of 1,000,000 non-flow through units (the “NFT Units”) at $0.065 per NFT Unit. Each NFT Unit will consist of one common share and one-half of a share purchase warrant, with each whole warrant entitling the holder to purchase an additional common share for a period of 2 years at an exercise price of $0.09. With respect to these private placements, the Company may pay finders’ fees in the amount of 7.5%, payable in non-flow through shares, based on the sale of the FT Shares and NFT Units purchased by subscribers introduced to the Company by such finders.

The Company intends to use the proceeds from these private placements for an exploration program on the Company’s Eva Kitto Property and for general working capital purposes. The Eva Kitto Property is a “PGE” (Platinum Group Elements) exploration project and is located approximately 190 kilometres northeast of Thunder Bay, Ontario. The Property is jointly owned by Rainy Mountain (85%) and International Bethlehem Mining Corp. (15%).

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.

2489 Bellevue Avenue, West Vancouver, BC  V7V 1E1  Tel  604 922 2030  Fax  604 922 2037