newsTerraco Increases Ownership in Moonlight Property to 100%
05:00 EDT Thursday, June 21, 2007
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - June 21, 2007) - Terraco Gold Corp. (the "Company") (TSX VENTURE:TEN) is pleased to announce that it has executed a Purchase Agreement with Metallic Ventures (U.S.), Inc. ("Metallic"), a subsidiary of Metallic Ventures Gold Inc., for the purchase of 100% of the Moonlight Property for US$1,000,000.
The Moonlight Property was subject to an Exploration and Option Agreement amongst Metallic, the Company and its wholly owned subsidiary TGC Holdings Ltd., a Nevada corporation, details of which were announced February 6, 2006 and March 21, 2006, which enabled the Company to earn an undivided interest of up to 70% in the project. The Company has also assumed a Reservation of Royalty with Cordilleran Exploration Company, LLC, previously held by Metallic.
Todd Hilditch, President of the Company, said, "Controlling 100% of the Moonlight Property represents a tremendous opportunity for the Company in one of Nevada's most prospective gold and silver districts. We believe that the strategic acquisition of the remaining unearned 30% interest from Metallic provides the Company with greater opportunity to develop the Moonlight Property without a partner, while providing the optimum amount of financial upside going forward."
The Moonlight Property is located 21 miles northeast of Lovelock, Nevada in the Humboldt Range, 5 miles north of Coeur d'Alene Mining Company's Rochester Mine. Throughout its 17-year history, the Rochester Mine has produced over 107 million ounces of silver and well over one million ounces of gold, according to the Company's website. The Moonlight Property adjoins Midway Gold Corp.'s Spring Valley Project to the south, where Midway has reported drill intercepts that include highlights of 105 feet ("ft") of 0.325 ounce per ton ("opt") gold, 215 ft of 0.137 opt gold and 123 ft of 0.169 opt gold. Midway has recently announced a Plan of Operations that will allow the drilling of upwards of 600 holes.
Terraco Gold Corp. is a mineral exploration company, listed on the TSX Venture Exchange under the symbol "TEN". Please visit Terraco's website at www.terracogold.com for additional information.
ON BEHALF OF THE BOARD
Todd Hilditch, President