Tara Gold Reports Substantial Resource Increase at the San Miguel Project
CHICAGO, June 25, 2008 (MARKETWIRE) –Tara Gold Resources Corp. (Other OTC:
TRGD.PK and Frankfurt: T8N) is pleased to report the completion of an updated National
Instrument 43-101 compliant mineral resource estimate for the San Miguel Project, located in the
Guazapares mining district Chihuahua, Mexico, within the Sierra Madre Occidental gold/silver
For the full NI 43-101 Technical Report, please go to the following link:
The San Miguel project is a joint venture between Tara Gold Resources Corp. (30%) and
Paramount Gold and Silver Corp. (70%). Paramount is the operator of the exploration program
and provided this update in their news release of June 25, 2008. The geological report was
prepared by ACA Howe International Ltd. at the request of the Joint Venture operator.
ACA Howe International Ltd. has prepared the technical report and resource estimate.
Paramount, the operator, plans to file a report on the resources in accordance with Canadian
National Instrument 43-101 on SEDAR later today. National Instrument 43-101 is a rule
developed by the Canadian Securities Administrators which established standards for certain
public disclosure of scientific and technical information concerning mineral projects. The
requirements of National Instrument 43-101 are not the same as those of the SEC.
Resource Estimation Detail
To carry out the resource estimate, ACA Howe carefully verified and then imported Paramount’s
drilling database into Micromine modeling software. Mineralized zones were outlined on cross
sections to provide geologic boundaries. A 25 g/t silver equivalent cut-off was used in the
outlining process. Assay data were treated statistically using variography and ordinary point
kriging. A single block model was created using wire frames to provide geologic control to the
Paramount initiated diamond core drilling in April 2006. As of April 30th, 2008, 176 HQ size
diamond drill holes have been completed totaling 34,926 meters in various exploration areas.
132 of the holes have been drilled in mineralized areas along the Guazapares Fault structure and
44 holes have targeted the San Miguel vein in the Batosegachic Fault. Paramount has also
completed 69 trenches totaling 3,899 meters. Paramount’s exploration efforts to date have
focused on the diamond drilling of segments of the Guazapares Fault structure over a seven-
kilometer strike–length between the La Union and Montecristo zones and most recently, on the
San Miguel Vein hosted by the sub-parallel Batosegachic Fault structure approximately 3
kilometers west of the Guazapares structure. Drilling to date along the Guazapares structure has
been largely preliminary in nature. Drilling on the San Miguel vein began in August 2007 and
has been the focus of drilling since November 2007 through to the time of ACA Howe’s visit at
the end of April 2008. Drilling at the San Miguel vein has generally been more intensive than
that completed along the Guazapares structure in an effort to delineate the higher grade
mineralized shoot referred to as “Clavo 99”. Ground magnetic and IP geophysical surveys were
conducted over the Project area from September 2007 to March 2008. At the time of ACA
Howe’s site visit, Paramount was integrating the geophysical data with surface geologic
mapping, drilling and trenching data into a Vulcan™-based model. Integration and
interpretation of the multi-disciplinary data has generated additional drill targets. Drilling
continues at the San Miguel project with two diamond drill rigs.
Mineral resources for the San Miguel Deposit have been estimated by Mr. Wm Douglas Roy,
M.A.Sc., P. Eng. (Nova Scotia Registered Professional Engineer #7472), with assay quality
control reviewed by Mr. Gary Lustig, MSc., P.Geo. Mr. Ian D. Trinder, M.Sc., P. Geo.
(APGO#452), authored the remainder of the report. All three are the qualified persons for the
purpose of National Instrument 43-101.
Information Concerning Estimates of Mineral Resources
This news release uses the term 'Inferred Resources’. Paramount advises investors that although
this term is recognized and required by Canadian regulations (under National Instrument 43-101,
Standards of Disclosure for Mineral Projects), the U.S. Securities and Exchange Commission
does not recognize this term. Investors are cautioned not to assume that any part or all of the
mineral deposits in this category will ever be converted into reserves. In addition, 'inferred
resources' have a great amount of uncertainty as to their existence, and economic and legal
feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be
upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources
may not form the basis of feasibility or pre-feasibility studies, or economic studies except for
Preliminary Assessment as defined under Canadian National Instrument 43-101. Investors are
cautioned not to assume that part or all of an inferred resource exists, or is economically or
About Tara Gold Resources Corp.
The principal business of Tara Gold Resources Corp. is the acquisition, exploration and
development of high-quality precious metals projects with potential for economic commercial
value. Tara provides investors growth exposure with a diversified exploration portfolio, multiple
multi-million ounce targets and several near term production scenarios. Tara Gold is currently
focused on the advancement of the significant silver discovery at San Miguel (30% interest) and
generating revenue from the Don Ramon and Lourdes project owned 100% by the subsidiary
Tara Minerals Corp. Tara Gold is also positioned to benefit from production start-up at Lluvia de
Oro and La Currita, the material exploration and production potential of Picacho, and from the
future advancement of La Millionaria, Las Minitas and the Curcurpe projects in Mexico. For
more information, please visit the Company's web site at: http://www.TaraGoldResources.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The
statements contained herein which are not historical are forward-looking statements that are
subject to risks and uncertainties that could cause actual results to differ materially from those
expressed in the forward-looking statements, including, but not limited to, certain delays beyond
the company's control with respect to market acceptance of new technologies or products, delays
in testing and evaluation of products, and other risks detailed from time to time in the Company's
filings with the Securities and Exchange Commission.
Contact: Website: www.TaraGoldResources.com
Investors Relations: Warren Drew