Calgary, Alberta--(Newsfile Corp. - July 10, 2025) - Rain City Resources (CSE: RAIN) ("Rain" or the "Company") announces that it has received the finalized independent assessment, delivered by Montrose Environmental Group ("Montrose"), confirming the operational and commercial viability of Avonlea Lithium Corporation's ("ALC") proprietary ACCELi (Advanced Chemical Cavitation Extraction of Lithium) process. Rain currently holds an option to acquire a 100% interest in ALC.
The recent pilot plant tested lithium-rich brine recovered from hydraulic fracturing operations in the Marcellus Shale, and despite suboptimal conditions, the ACCELi process consistently delivered strong results, highlighting its scalability, modular design, and economic potential. (see news release, June 26, 2025.)
Montrose Report Highlights:
Lithium phosphate solids were successfully produced with a purity of 94.2%.
The third and final batch run achieved a 69.3% lithium recovery rate, demonstrating significant process optimization.
Average lithium concentration in source brine across the runs was 243 mg/L, confirming high-value feedstock potential.
The system reliably extracted barium, strontium, magnesium, and calcium using selective precipitation chemistry.
A secondary saleable product-industrial-grade calcium carbonate (>98% purity)-was also produced.
The pilot confirmed that the ACCELi process performed as intended under real-world operating conditions.
The technology's modular and scalable design is well-suited for commercial expansion in North America and beyond.
A preliminary economic assessment supports the ACCELi process' commercial feasibility, based on favorable brine composition, volume, and market value of end-products.
Commenting, M Shevalier of Montrose said, "The advantage of this DLE technology is that it does not rely on membranes or resins which can be easily poisoned by things like oil present in the brines." This demonstrates that ACCELi is better positioned than existing DLE methods, such as adsorption or membrane separation, to cope with the contaminants, such as oil or fine particles, commonly found in lithium brines in oil fields or in the salars of South America.
A Water-Smart DLE Solution
Montrose also underscored the ACCELi process' potential advantages in water-scarce regions, citing its ability to recover water from both process steam and treated brine. This positions Rain as a differentiated player in the Direct Lithium Extraction (DLE) landscape, particularly in arid zones such as the South American Salars.
"Where scarce water resources demand DLE processes with minimal freshwater requirements, the ACCELi process stands out," said Benjamin Hill, CEO of Rain. "This validation from Montrose enables us to accelerate discussions in South America, while continuing to advance commercial opportunities at the Springville site in Pennsylvania."
Looking Ahead
Rain is now in active engagement with potential partners and stakeholders in South America and is progressing commercial negotiations with the owners of the Springville Kendra II facility. The strong performance of the ACCELi system marks a major milestone for Rain's integrated critical mineral strategy.
Corporate Matters
Rain has negotiated a credit facility with an individual investor in the amount of $64,747.25 (US$47,500USD) by way of a one-year unsecured convertible note (the "Note") bearing interest at 5% per annum, convertible into shares of Rain common stock at $0.075 per share. Any shares issued under the terms of the Note will be subject to applicable resale restrictions. The funds will be used for general working capital requirements.
Further the Company has agreed to settle debt to certain advisory board members for bonafide services provided in the amount of $25,353 at $0.075 per share of common stock. Mr. Ronald Lincz shall receive 192,120 shares of the Company's common stock and Mr. Douglas Brett shall receive 145,920 shares of the Company's common stock. All shares issued shall be subject to applicable resale restrictions.
The Company has also granted a total of 800,000 stock options to an officer and a consultant at $0.075 per share, exercisable for a term of three (3) years from July 7, 2025. Options granted vest as to ¼ on grant date and ¼ each six months thereafter. Ms. Jacqueline Danforth, CFO has been granted a total of 400,000 stock options and Mr. Ron Shenton, Consultant has been granted a total of 400,000 stock options, respectively. Any options exercised will be subject to applicable resale restrictions. Following these option grants the Company has a total of 5,200,000 stock options outstanding.
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
Chief Executive Officer
David Shaw
Chairperson
RAIN CITY RESOURCES INC.
Website: www.raincityresources.com
Email: info@raincityresources.com
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, 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.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/258423
SOURCE: Rain City Resources Inc.
