Terraco Gold Corp. announced audited consolidated earnings results for the year ended July 31, 2012. For the year, the company reported loss before other items was CAD 1,782,156 against CAD 1,879,266 a year ago. Net income before income taxes was CAD 3,175,430 against loss of CAD 1,869,972 a year ago. Net income was CAD 2,556,969 against loss of CAD 1,869,972 a year ago. Diluted earnings per share were CAD 0.02 against loss of CAD 0.02 a year ago. Net cash provided by operating activities was CAD 2,107,355 against net cash used in operating activities of CAD 1,143,615 a year ago. Exploration and evaluation expenditures were CAD 3,928,530 against CAD 2,672,568 a year ago.

Terraco Gold Corp. reported additional assay results from the 2012 drill program completed at its Almaden (Nutmeg Mountain) Project located in Washington County, Idaho. The Company is reporting the remaining 6 holes of the spring 2012 core drilling program. Assay results from this in-fill core drilling again encountered significant intercepts from surface to 76.8 metres or 252 feet. Many holes intersected gold grades exceeding the average grade of the deposit and include shorter sections assaying up to 10.80 grams per tonne gold. Drill Highlights Include: Hole TAL-787C intersected 60.4 m averaging 1.065 gpt gold, including 21.3 m averaging 1.881 gpt gold with 13.7 m of 2.246 gpt gold; Hole TAL-792C intersected 76.8 m averaging 0.939 gpt gold, including 12.2 m averaging 1.435 gpt gold, 4.6 m of 1.209 gpt gold, 7.6 m of 1.662 gpt gold and 1.5 m averaging 2.270 gpt gold; Hole TAL-793C intersected 48.8 m averaging 0.944 gpt gold, including 18.3 m averaging 1.373 gpt gold and 3.0 m averaging 1.625 gpt gold; Hole TAL-794C intersected 24.4 m averaging 1.000 gpt gold, including 10.7 m averaging 1.409 gpt gold, and an additional 13.7 m of 1.794 gpt gold; including 1.5 m of 10.800 gpt gold.

Terraco Gold Corp. reported additional assay results from the 2012 drill program completed at its Almaden (Nutmeg Mountain) Project located in Washington County, Idaho. The company is reporting 8 drill holes and has now reported 26 of the 32 core holes drilled in 2012. In-fill and metallurgical core drilling continues to encounter significant intercepts from surface to 90.8 metres (m) or 250 feet (ft). Multiple holes have long intercepts with gold grades that exceed the average grade of the deposit and include shorter sections with higher gold grades of up to 4.91 grams per tonne (gpt). Hole MET-4 intersected 81.4 m averaging 0.754 gpt gold, including 26.7 m averaging 1.020 gpt gold with 13.0 m of 1.229 gpt gold. Hole TAL-779C intersected 38.7 m averaging 0.998 gpt gold, including 4.6 m averaging 2.123 gpt gold and 3.0 m averaging 2.023 gpt gold. Hole TAL-780C intersected 21.3 m averaging 1.189 gpt gold, including 1.5 m averaging 4.910 gpt gold and 1.5 m averaging 4.760 gpt gold. Hole TAL-789C intersected 39.6 m averaging 1.034 gpt gold, including 4.6 m averaging 1.942 gpt gold and 17.4 m of 0.935 gpt gold. Hole TAL-790C intersected 38.1 m averaging 1.114 gpt gold, including 6.1 m averaging 2.454 gpt gold. Terraco, for the 2012 program to date, has drilled 28 HQ3 holes for a total of 2,462.3 m (8,078 ft) and 4 large diameter (4 inch) core holes for metallurgical purposes amounting to 298.7 m (980 ft). The majority of the HQ3 holes were drilled to target depths of 90 m (300 ft) or less. A few holes, drilled as deep as 610 m (2,002 ft), tested for gold mineralization down dip along structures, and explored for deeper feeder zones.