Minera Rayrock Inc. — M&A Activity 1998

Apr 23, 1998

For immediate release:

Rayrock Yellowknife Resources Inc.

Makes Takeover Bid for Minera Rayrock Inc.

TORONTO, Ontario (April 2, 1998)—Rayrock Yellowknife Resources Inc. (TSE: RAY) and Minera Rayrock Inc. announced today a takeover bid by Rayrock for all the outstanding Subordinate Voting Shares (TSE: MRN.A) and Multiple Voting Shares (TSE: MRN.B) of Minera Rayrock Inc. at a price of $0.30 cash per share.

The takeover bid is subject to certain conditions, including that there be deposited under the offer a sufficient number of Subordinate Voting Shares and Multiple Voting Shares of Minera to permit Rayrock to acquire any remaining outstanding Minera Shares in a subsequent acquisition transaction. Rayrock currently holds 10,385,166 Subordinate Voting Shares in Minera or approximately 26% of the outstanding Subordinate Voting Shares and 8,750,950 Multiple Voting Shares in Minera, or approximately 79% of the outstanding Multiple Voting Shares, representing a total equity interest of 37.5%.

The Minera board of directors has unanimously recommended acceptance of the Rayrock offer. If the proposal is accepted, Minera’s copper operations and development and exploration interests will be integrated into Rayrock. All inter-company debt will be eliminated.

-30-

For more information:

Martti Kangas

Rayrock Yellowknife Resources Inc.

Director of Investor Relations

(416) 489-0022 ext. 227

E-mail: mkangas@total.net