RAIN City Resources Seeks Alternative Relationship with Avonlea

145 – 251 Midpark Blvd S.E., Calgary Alberta T2X 1S3

RAIN CITY RESOURCES SEEKS ALTERNATIVE

RELATIONSHIP WITH AVONLEA

Calgary, AB – October 2, 2025 – Rain City Resources (CSE: RAIN) ("Rain" or the "Company") announces

that is has elected not to make the second payment of US$1.2 million pursuant to its Option Agreement ,

originally dated June 12, 2024, as amended, between the C ompany and Avonlea Environmental

Technologies Corp. (“Avonlea”), thereby triggering the termination of the same.

Rain is in active discussions with Avonlea about a licensing arrangement granting the Company access to

Avonlea’s ACCELi cavitation technology. This alternative arrangement w ould allow the Company to

accelerate a path to commerciality for both Rain and Avonlea; something which was not possible under the

terms of the original Option Agreement.

Commenting, Benjamin Hill, CEO of Rain said, “The termination of the Option Agreement was taken

following discussions with our financial advisors and Avonlea. By seeking a licensing arrangement with

Avonlea, Rain will seek to fast-track opportunities in South America leaving Avonlea to build on the success

of the pilot plant in Pennsylvania. We see this as a positive step forward for the Company.”

Further announcements on the same will be made in due course.

About Rain City Resources

Rain is an integrated critical mineral technology and project development company committed to addressing

the environmental, social, and economic challenges of lithium and critical mineral extraction from brine. By

advancing scalable, water-conscious DLE solutions, Rain is helping drive the transition to a clean energy

future.

FOR FURTHER INFORMATION CONTACT:

Benjamin Hill David Shaw

Chief Executive Officer Chairperson

RAIN CITY RESOURCES INC.

Website: www.raincityresources.com

Email: [email protected]

Telephone: 403-693-8004

Cautionary Statement Regarding Forward-Looking Information

This news release may include certain "forward -looking statements" under applicable Canadian securities

legislation. There can be no assurance that such statements will prove to be accurate, as actual results and

future events could differ materially from those anticipated in such statements. Accordingly, readers should

not place undue reliance on forward-looking statements. Rain disclaims any intention or obligation to update

or revise any forward- looking statements, whether as a result of new information, future events or otherwise,

2

except as required by law. There can be no assurance that proposed operations will be successful or that the

anticipated financial, economic or strategic benefits will be realized.

Neither the Canadian Securities Exchange nor its Regulation Service Provider (as the term is defined in the

policies of the Canadian Securities Exchange) accepts responsibility for the adequacy of accuracy of this

news release.