Rainy Mountain Royalty Provides Update FOR Its Marshall Lake Property Marshall Lake Project Update, Northern Ontario

RAINY MOUNTAIN ROYALTY CORP.

(TSXV: RMO) (Frankfurt: EK7N-FF)

FOR IMMEDIATE RELEASE January 6, 2022

RAINY MOUNTAIN ROYALTY PROVIDES UPDATE FOR ITS MARSHALL

LAKE PROPERTY

MARSHALL LAKE PROJECT UPDATE, NORTHERN ONTARIO

Vancouver, British Columbia (January 6, 2022) – Rainy Mountain Royalty Corp. (TSXV: RMO) (Frankfurt:

EK7N-FF) (“Rainy Mountain” or the “Company”) is pleased to provide an update on diamond drilling

currently being undertaken on its Marshall Lake copper-zinc-silver volcanogenic massive sulphide (VMS)

property, located northeast of Thunder Bay, Ontario. The Company also reports that it has entered into a

loan agreement for $500,000 to fund general working capital and the ongoing exploration program

involving diamond drilling as well as ground geophysical surveys for its 25% working interest in the project.

The focus of the current 3,000 metre drilling program is a large, strong untested Induced Polarization (IP)

anomaly (“deep IP target”), situated adjacent to and below the Billiton copper-zinc-silver VMS deposit,

with a secondary focus on other base-metal occurrences on the property that have seen little or no

historical drilling. Drilling progress has been slow, and the deep IP target has yet to be tested; however,

the current drill hole is providing positive indications that it may be related to a sizeable VMS deposit.

Diamond drilling is set to resume this week.

DRILLING HIGHLIGHTS

Highlighting the most recent drilling is the intersection of two well-mineralized alteration zones in hole

Mar-21-03. Both zones contain appreciable blebby, stringer and heavily disseminated to semi-massive

pyrite, chalcopyrite and sphalerite, hosted within felsic volcaniclastic rocks characterized by intense

biotite, chlorite, actinolite and silicic alteration. Such mineralization and alteration are typical of stringer

or footwall zones, seen proximal or below massive sulphide deposits (photos of the drill core from hole

Mar-21-03 are posted on the Copper Lake website at www.copperlakeresources.com).

The target for Mar-21-03 is an untested VTEM airborne conductor, modelled to be at a depth of 150

metres down-the-hole. The presence of the two well-mineralized alteration zones situated at shallower

depth in the hole (64.20 to 66.87 metres and 72.33 to 76.07 metres respectively) is very encouraging and

suggests the possibility of encountering massive sulphides at the VTEM target depth of 150 metres, as

well as in the underlying deep IP target. Hole Mar-21-03 was at a depth of 112 metres when drilling

recessed for the Christmas break and will be a priority for completion when drilling resumes.

Drill hole Mar-21-01 targeted the projected down-plunge extension of the Billiton deposit, intersecting it

over a core length of 8.25 metres. It comprises mostly disseminated pyrite with narrow zones of semi-

massive pyrite and pyrrhotite, with lesser chalcopyrite and sphalerite, within chloritized, biotitic and

sericitized volcanic rocks.

Hole Mar-21-02 was collared at the same site as Mar-21-03 but was abandoned at a depth of 12 metres,

due to the presence of several large boulders in the overburden.

Drill core for all mineralization obtained to date has been submitted to a laboratory for assay; drill results

will be released as they become available.

DEEP IP TARGET

Upon completion of Mar-21-03, drill holes Mar-22-01 and Mar-22-02 will test the heart of the deep IP

target, characterized by high conductivity/low resistivity and high chargeability, at a v ertical depth of

approximately 350 metres. Both holes are intended to intersect the deep IP target where the highest

conductivity and chargeability overlap within this large untested anomaly with dimensions of 800 x 300 x

300 metres (see Figures 1A and 1B). The anomaly is situated between 150 to 450 metres below surface

and represents a new target area, never previously tested by diamond drilling. The deep IP target appears

to be situated down-plunge from the Billiton copperzinc-silver massive sulphide deposit (historical

resource of 2.2 MT at 1.3% copper, 4.2% zinc and 2.5 opt silver1) in a fold hinge, a favourable structural

location for finding large, massive sulphide deposits.

An orientation gravity survey will be completed over the deep IP target in early January to provide further

data on the size and geometry of the sulphide mineralized zone and to assist with the targeting of future

drill holes. A more widespread gravity survey will also be considered to help identify other deep drill

targets within this large high-priority area.

Additionally, borehole electromagnetic (BHEM) surveys will be completed on all drill holes undertaken by

the Company on all targets. BHEM surveys are important tools when exploring for VMS deposits as they

assist in vectoring towards conductive sulphide bodies.

DEEDS ISLAND TARGET

The Marshall Lake Belt clearly has potential for discovery of multiple VMS deposits - there are several

attractive targets that have seen little or no drilling. The Deeds Island area is one such target, comprising

an 800-metre long zinc bedrock geochemical anomaly (up to 1,000 ppm zinc), closely associated with a

strong extensive garnet-actinolite alteration zone and coincident airborne EM conductors. It is situated 6

km to the east of the Billiton deposit in younger rocks and represents another prospective VMS target on

the Property that has seen no historic drilling (see Figure 2).

A gravity survey will be completed over the Deeds Island area to help prioritize drill targets over this large,

prospective anomaly. Line cutting has been completed in preparation for the gravity survey, anticipated

to commence in the first week of January. Follow-up drilling will occur shortly thereafter, while freeze-up

conditions are in effect in this area. 1 The resource described above is considered historic under NI-43-

101 guidelines and have not been verified by an Independent Qualified Person and therefore should not

be relied upon. The Company is not treating the historic resource as a current Mineral Resource.

LOAN AGREEMENT

Rainy Mountain has entered into two arm's-length loan agreements dated January 1, 2022.

Pursuant to the loan agreements, the lenders provided the Company an aggregate unsecured loan of

$500,000, for a period of 12 months from the last advance made thereunder at an interest rate of 10 per

cent per annum, subject to the approval of the TSX Venture Exchange. The facility may, in whole or in

part, be prepaid without bonus or penalty.

As consideration for providing the loans, the lenders will receive an aggregate of 2,777,778 common

shares purchase warrants with an exercise price of $0.18 for one year. The bonus warrants will be subject

to a hold period of four months and one day from the date of issuance. The bonus warrants are subject

to TSX-V and regulatory approval.

QUALIFIED PERSON

Donald Hoy, M. Sc., CopperLake’s Vice President of Exploration, is the Qualified Person responsible for

the technical content contained in this news release.

On behalf of the Board of Directors,

Sean Charland

The information in this news release includes certain information and statements about management's view

of future events, expectations, plans and prospects that constitute forward looking statements. These

statements are based upon assumptions that are subject to significant risks and uncertainties. Because of

these risks and uncertainties and as a result of a variety of factors, the actual results, expectations,

achievements or performance may differ materially from those anticipated and indicated by thes e

forwardlooking statements. Forward-looking statements in this news release include, but are not limited

to, the effective date of the Consolidation. Any number of factors could cause actual results to differ

materially fiom these forward- looking statements as well as future results. Although the Company believes

that the expectations reflected in forward looking statements are reasonable, it can give no assurances that

the expectations of any forward-looking statements will prove to be correct. Except as required by law, the

Company disclaims any intention and assumes no obligation to update or revise any forward -looking

statements to reflect actual results, whether as a result of new information, future events, changes in

assumptions, changes in factors affecting such forward looking statements or otherwise. 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.