RMO.V · 2018-05-28 12:00:00

Copper Lake Hits High-Grade Massive Sulphides and Copper Stringer Zone at Marshall Lake

Corporate Updates

Trading symbols: TSX-V: RMO

Frankfurt: EK7N-FF

News Release No. 18-04

Copper Lake Hits High-Grade Massive Sulphides

and Copper Stringer Zone at Marshall Lake

West Vancouver, British Columbia – May 28, 2018 – Rainy Mountain Royalty Corp. (the “Company”

or “Rainy Mountain”) announces that its joint venture partner, Copper Lake Resources Ltd. ("Copper

Lake”) has provided results of its winter drilling program on the Marshall Lake copper-zinc-silver-

gold exploration property located 250 km northeast of Thunder Bay, Ontario, and comprised of

10,430 hectares.

HIGHLIGHTS

• Massive Sulphides – Billiton Main Zone 30 metre Step Out

o 1.0 m @ 3.20% Cu, 8.35% Zn, 367.00 g/t Ag and 8.01 g/t Au in hole MAR-18-07

• Near Surface Copper Stringer Zone – Gazooma Zone Step Out

o 25.30 m @ 1.07% Cu, 20.1 g/t Ag from depth of 1.05 m, including 13.85 m @ 1.54%

Cu, 28.30 g/t Ag from 11.20 m to 25.05 m in hole GAZ-18-01

The purpose of the program was to test three VTEM conductors and other targets derived from a

comprehensive compilation of historic data undertaken between 2014 and 2017. A total of 14

holes for 2,868 m were completed. A table of significant intersections, drill hole locations and

statistics is appended (see Appendix A and B).

Copper Lake’s Future Plans

The 2018 drill program identified priorities in the area of historic work and numerous showings.

1. Main Billiton – validate historic drilling and expand to depth.

2. Gazooma – potential for shallow resource definition and trace the stringer zone ESE.

Assessment of the upper two thirds of the Marshall felsic volcanic pile is recommended,

particularly two strong airborne (VTEM) conductors associated with altered tuffs overlying

interpreted vent facies coarse fragmental domes located along the south shore of Marshall Lake.

Marshall Lake’s Exceptional Geology

The Marshall Lake property is deemed favourable to host Cu -Zn-Ag-Au VMS (Volcanogenic

Massive Sulphide) deposits of potential economic merit.

The volcanic pile consists of a moderately east plunging an d verging anticline capped by

chertmagnetite iron formation.

The discovery of Cu -Zn showings in the 1950’s sparked an exploration rush. Extensive yet

shallow work was focused in the lower third of the felsic volcanic pile and was constrained by a

patchwork of owners and claim boundaries. The upper portions of felsic volcanic pile remain

essentially unexplored and display favourable geology, alteration and untested conductors.

- 2 -

Copper Lake has spent considerable time consolidating the entirety of the Mars hall Lake felsic

volcanic centre. A detailed digital compilation and re -interpretation of extensive previous work

was conducted between 2014 and 2017. This compilation guided this winter’s drill program

focused in the area of previous work. A comprehensive discussion of the scope and details of

historic work including historic resource estimates, development of new targets and geological

model is available in a NI 43-101 Technical Report dated June 07, 2016 and authored by Thomas

Hart, P.Geo (see www.sedar .com or www.copperlakeresources.com).

The 2018 drilling serves to highlight potential of the Main Billiton zone which remains open below

150 m depth, displays strong precious metals contents and demonstrates reasonable continuity

in 3D modelling of historic data. Hole MAR-18-07 was a 30 m step out from historic hole GM-78-

230 drilled by Imperial Oil Ltd in 1978 (see Appendix C).

*GM-78-230 7.40 m @ 2.97% Cu, 10.98% Zn, 219.70 g/t Ag

including 1.65 m @ 5.50% Cu, 31.50% Zn, 320.20 g/t Ag

Hole MAR -18-07 serves some purpose in advancing the process of validating historic drill

information in the Main Billiton area. A 3D interpretation of historic drill data here (Appendix C)

illustrates drill coverage and the system remains open at depth. A table of significant historical

drilling highlights demonstrating high grade silver subintervals is also appended again cautioning

the historic nature of the data that has not been verified by a QP and therefore should not be

relied upon.

This data suggests a steeply-dipping series of conformable lenses spanning a 300 m strike length.

Only six holes have been drilled deeper than 150 m and the system appears to remain open at

depth.

The other significant finding of the 2018 drilling was the confirmation of copper stringer

mineralization at Gazooma. This showing is part of a cluster of copper showings located

approximately 3 km southwest of the Billiton Main Zone. They appear to align along an ESE

crosscutting trend and demonstrate a copper to zinc zonatio n ESE or upwards in the volcanic

stratigraphy. The projection of this trend has not been adequately explored to date.

Qualified Persons

The Marshall Lake drill program was overseen by George Mannard, P.Geo, consultant and

managed in the field by R obert S. Middleton, PEng and field geologists were Justin Johnson,

MSc., P.Geo and Jordan Laarman, PhD, P.Geo. The contents of this news release were read and

approved by Robert S. Middleton, PEng, who is acting as QP for the Company under the rules of

NI 43-101.

For further information, contact Mr. Clive Shallow, Shareholder Communications, at 604-922-

2030, or visit the Company’s website at www.rmroyalty.com.

RAINY MOUNTAIN ROYALTY CORP.

“Douglas L. Mason”

_________________________________

Douglas L. Mason, Chief Executive Officer

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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

FORWARD LOOKING STATEMENTS

This news release includes certain statements that may be deemed “forward-looking statements” within the

meaning of applicable securities legislation. All statements, other than statements of historical facts, that

address such matters as the Company ’s proposed drill program and planned exploration expenditures on

the Brunswick Property, as well as future exploration, drilling, exploration activities, potential mineralization

and resources and events or developments that the Company expects, are forward looking statements and,

as such, are subject to risks, uncertainties and other factors of which are beyond the reasonable control of

the Company. Such statements are not guarantees of future performance and actual results or

developments may differ materially from those expressed in, or implied by, this forward-looking information.

Factors that could cause actual results to differ materially from those in forward-looking statements include

such matters as market prices, exploitation and exploration results, co ntinued availability of capital and

financing, and general economic, market or business conditions. Any forward -looking statements are

expressly qualified in their entirety by this cautionary statement. The information contained herein is stated

as of the current date and subject to change after that date and the Company does not undertake any

obligation to update publicly or to revise any of the forward-looking statements, whether as a result of new

information, future events or otherwise, except as may be required by applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities

described herein in the United States. The securities described herein have not been and will not be

registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in

the United States or to the account or benefit of a U.S. person absent an exemption from the registration

requirements of such Act.

- 4 -

Appendix A

Significant Results

Hole No

From

(m)

To (m) Length

(m)

Cu (%)

Zn (%)

Ag (g/t)

Au (g/t)

MAR18-01 89.10 89.60 0.50 0.85 0.24 96.9 3.43

133.05 133.40 0.35 0.33 2.19 24.1 0.03

MAR18-02 157.70 158.05 0.35 1.16 2.22 48.7 0.31

MAR18-03 NSA

MAR18-04 NSA

MAR18-05 48.10 51.60 3.50 0.79 0.95 71.7 0.08

MAR18-06 NSA

MAR18-07

inc.

16.00

168.00

207.30

209.30

17.00

169.00

212.35

210.30

1.00

5.05

1.00

0.06

0.68

3.20

1.26

2.58

2.14

8.35

10.05

3.07

78.51

367.00

0.34

0.02

1.63

8.01

MAR18-08 NSA

MAR18-09 NSA

TH18-01

inc.

109.60

110.60

121.00

115.70

11.40

5.10

0.60

1.09

0.12

0.24

16.25

25.80

0.71

0.84

TH18-02 240.40

244.00

241.00

244.60

0.60

0.02

0.09

2.03

1.45

0.71

2.58

0.02

TH18-03 NSA

TH18-04 116.35 117.15 0.80 4.13 0.03 36.4 0.10

GAZ18-01

inc.

1.05

11.20

47.00

59.70

62.00

63.40

72.15

172.20

178.00

26.35

25.05

49.70

60.20

62.30

63.70

72.70

177.55

178.30

25.30

13.85

2.70

0.50

0.30

0.55

5.35

0.30

1.07

1.54

0.79

1.60

1.17

0.85

1.23

0.94

1.33

0.08

0.13

0.02

*0.01

20.1

28.3

8.0

11.8

9.0

5.4

4.5

2.8

3.7

0.08

0.13

0.32

2.41

0.50

0.36

0.24

0.05

*Greater than 0.5% Cu or 1.0% Zn

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Appendix B

Drill Hole Statistics

Location (UTM)

Hole No. Depth (m) Inclination Azimuth Eastward Northward

MAR-18-01 194 -65 320 458397 5585323

MAR-18-02 180 -80 320 458397 5585323

MAR-18-03 125 -50 330 458397 5585429

MAR-18-04 281 -50 150 458089 5585784

MAR-18-05 167 -50 150 458219 5586110

MAR-18-06 300 -50 150 458294 5586111

MAR-18-07 227 -50 150 458301 5585850

MAR-18-08 191 -50 330 458604 5585200

MAR-18-09 125 -50 045 458604 5585200

TH-18-01 152 -50 0 456149 5583374

TH-18-02 254 -50 0 456320 5583008

TH-18-03 338 -50 0 456602 5583197

TH-18-04 152 -90 0 455563 5583376

GAZ-18-01 182 -80 90 455165 5583718

Total 2,868

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Appendix C

Historic Shallow Drill Results – Main Billiton Zone

Hole No

From

(m)

To (m) Length

(m)

Cu (%)

Zn (%)

Ag (g/t)

Au (g/t)

GGM-78-230

Imperial Oil Ltd., 1978

50.85 58.23 7.38 2.97 10.98 219.73 0.34

including 50.85 52.50 1.65 5.50 31.50 320.18 0.34

GGM-77-154

Imperial Oil Ltd., 1977

83.99 90.09 6.10 1.89 4.03 145.69 0.34

including 83.99 85.52 1.53 1.67 10.30 311.26 0.34

NWT-81

NWT Copper Mines

Ltd, 1981

75.46 79.57 4.11 1.49 4.70 250.93 N/A

including 75.46 77.74 2.28 2.24 7.50 423.02 N/A

NWT-68-83

NWT Copper Mines

Ltd, 1968

70.40 75.91 5.51 2.28 9.79 124.44 N/A

including 72.56 75.91 3.35 2.45 13.64 158.72 N/A

NWT-68-84

NWT Copper Mines

Ltd, 1968

156.77 159.76 2.99 2.56 10.26 181.34 N/A

including 156.77 158.02 1.25 3.44 18.65 313.66 N/A

ML-82-05

Falconbridge Copper,

1982

295.85 299.66 3.81 2.46 2.00 179.63 N/A

including 298.2 299.66 1.46 4.24 2.61 204.65 N/A

ML-82-07

Falconbridge Copper,

1982

19.05 22.65 3.60 1.81 9.35 164.20 N/A

including 21.98 22.65 0.67 5.45 22.26 436.04 N/A

*CAUTIONARY NOTE

Certain historic information as marked is sourced from drill logs in MNDM Assessment File

records. It predates 43-101, has not been verified by a QP and therefore should not be relied

upon.

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