TORONTO, ONTARIO, April 11, 2012 -- Rainbow Resources Inc. (TSX VENTURE: RBW) ("Rainbow" or the "Company") is pleased to report that it has commenced a field exploration program at its recently-optioned Jewel Ridge Property on the south end of Nevada's prolific Battle Mountain - Eureka Trend.
"This short detailed program, combined with all the historical information we already have on Jewel Ridge including certain proposed drill targets, will enable us to move rapidly to Phase 1 drilling," explained Rainbow President David W. Johnston. "We look forward to the near-term results of this current work which may include the use of our portable backpack drill for near-surface core sampling.
"We expect a quick permitting process for drilling Jewel Ridge and strong news flow in the coming weeks from this exciting new property that holds strong exploration upside," concluded Johnston.
Jewel Ridge, located along strike and contiguous to Barrick Gold's Ruby Hill Mine to the north and the advanced-stage Lookout Mountain Project to the south, contains several past producing open-pits. Rainbow will be following up on encouraging results from previous drilling by Greencastle Resources (TSX.V: VGN) including 2.1 g/t Au over 39.6 metres (94.5 m to 134.1 m) at the old Hamburg Mine workings. Rainbow can earn up to a 75% interest in the project from Greencastle as reported March 29, 2012.
Big Strike Project Update
Initial drill targets have been finalized and notice of work applications have been submitted to the British Columbia Ministry of Energy and Mines for the International and Gold Viking properties at the company's flagship Big Strike Project in the West Kootenays.
Drilling at the International will test a vein system, dominated by quartz with irregular massive sulphide bodies of galena, pyrite and sphalerite, that could extend for several kilometres. The International has never been previously drilled despite strong showings of silver mineralization over north and central portions of the property.
The Gold Viking and Ottawa properties, adjacent to each other near the village of Slocan, have also never been previously drilled and will be a strong focus of the company's exploration efforts this spring and summer. Gold Viking and Ottawa have similar geological signatures, so significant past production from the Ottawa Mines makes both properties highly valued exploration targets.
Rainbow's Ottawa claims, and an area up to 350 metres east of these claims, produced 1.8 million ounces of silver in the 1900's at an average grade of 2,118 g/t or 61.6 oz/ton Ag. The workings explored a broad shear/breccia zone within Nelson intrusives, cut by felsites and lamprophyre dykes. Individual veins within the zone are 0.6 to 6 metres wide, with stopes as much as 2.4 metres wide. Near parallel veins occur over widths of at least 10-15 metres.
Rainbow's Big Strike land package also includes the Tin City and President properties near the International, approximately 140 kilometres north of Nelson, and three properties in the Nelson Gold Camp - Rhea, Whitewater and Referendum.
Rainbow's disclosure of a technical or scientific nature in this news release has been reviewed and approved by Mr. Jim Decker, P.Eng., a Director of Rainbow Resources, who serves as a Qualified Person under the definition of National Instrument 43-101.
Rainbow's shares are listed for trading on the TSX Venture Exchange under the symbol
RBW.V. Rainbow currently has 33,508,6163 common shares issued and outstanding.
For further information: David Johnston (403) 701-2781.
Visit our website at www.RainbowResourcesInc.com.
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.
Caution Regarding Forward-Looking Information
This news release includes certain information that may constitute "forward-looking information" under applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements about strategic plans, future work programs and objectives and expected results from such work programs. Forward-looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information and the risks identified in the Company's continuous disclosure record. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management as at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.