Rain City Resources Seeks Alternative Relationship with Avonlea

Calgary, Alberta--(Newsfile Corp. - 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 Company 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 would 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:

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.

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