SOURCE: Tara Gold Resources Corp.

October 04, 2007 09:15 ET

San Miguel Drill Program Intercepts 2.1 Meters of 6.7 g/t Gold and 632 g/t Silver Including 0.7 Meters of 17.8 g/t Gold and 1,600 g/t Silver

CHICAGO, IL--(Marketwire - October 4, 2007) - Tara Gold Resources Corp. (PINKSHEETS: TRGD) (FRANKFURT: T8N) is pleased to announce the assay results from additional drill holes and one trench in the San Antonio/El Carmen area at its San Miguel project in the Guazapares Mining District, Chihuahua, Mexico. These results indicate the presence of a new high grade gold-silver structure.

In August 2005, Tara Gold Resources Corp. signed an agreement with Paramount Gold Mining Corp. giving Paramount the right to earn up to a 70% interest in the project. Paramount has earned its interest and Tara Gold continues to retain a 30% interest in the project. Paramount is the operator of the exploration program.

Mr. Francis Biscan Jr., President of Tara Gold Resources, stated, "San Miguel continues to meet or exceed our expectations and is developing into a significant property for Tara Gold shareholders. Our monetary participation begins October 25, 2007 and we are prepared to maintain our 30% interest."

Drill holes SA-41 to SA-43 are step out holes to the west of the San Antonio mineralized structure, and SA-44 and SA-45 are infill drill holes in the stockwork mineralization between the San Antonio and El Carmen structures. Hole SA-46 was drilled to test the down-dip extension of part of the San Antonio structure. Holes SA-47, SA-48, SA-49, SA-50, and SA-51 were drilled to test the on-strike continuity of various segments of the San Antonio-El Carmen mineralized zone. SA-52 and SA-53 were drilled to test a new zone, El Carmen North. Trench TSA-23 was done to test the continuity of the El Carmen mineralized structure in the north.

Below are highlights, as provided by the operator, of assays results (please visit the operator's website at www.paramountgold.com for further details and maps).

TSA-23 cut 8.0 meters of 290 g/t silver

SA-41 intercepted 3.8 meters (2.11 meters true width) of 110 g/t silver.

SA-45 had intercepts of:

1) 4.6 meters (3.07 meters true width) of 175 g/t silver;
2) 6.1 meters (4.07 meters true width) of 191 g/t silver;
3) 0.85 meters (0.61 meters true width) of 600 g/t silver; and
4) 4.2 meters (2.6 meters true width) of 227 g/t silver.

SA-47 intercepted 2.6 meters (1.73 meters true width) of 212 g/t silver.

SA-48 had intercepts of 3.0 meters (1.50 meters true width) of 101 g/t silver, and 2.0 meters (1.44 meters true width) of 154 g/t silver.

SA-51 intercepted 7.0 meters (5.44 meters true width) of 191 g/t silver.

SA-52 intercepted 2.85 meters (2.06 meters of true width) of 6.70 g/t gold and 632 g/t silver, including 0.85 meters (0.72 meters of true width) of 17.75 g/t gold and 1,600 g/t silver.

SA-53 intercepted 2.00 meters (1.78 meters of true width) of 2.13 g/t gold and 273 g/t silver.

Larry Segerstrom, COO of Paramount Gold and Silver Corp., commented, "The results of trench TSA-23 and drill holes SA-41 to SA-51 show the continuity of the mineralization through most of the San Antonio/El Carmen zone. The zone is open along strike and down dip. Holes SA-52 and SA-53 discovered a new gold-rich structure in the El Carmen North zone, about 120 meters north of hole SA-48. This new structure is open on-strike and down-dip."

Follow-up drilling is planned, to:

1) Expand the San Antonio/El Carmen zone and delineate high grade
   bodies within it, and
2) Further test the new El Carmen North structure to determine the
   extent of the bonanza gold-silver grades.

Quality Control

The operator takes detailed photos of the entire core before it is cut by saw to half core which is assayed at ALS Chemex's Vancouver laboratory. As part of quality assurance, quality control (QA/QC), a blank (sterile) sample is periodically submitted and pulps from a number of intervals are renumbered and pulps from known standards are inserted between them in numerical order and submitted for reanalysis. The results will be compared to the original values reported, and to the known values of the inserted standards. Half-core samples are being retained on site for verification and reference purposes.

C.W. (Bill) Reed, B. Sc. Mineralogy, (registered geologist with the state of Utah) is the qualified person, on behalf of the operator, with respect to this news release.

About San Miguel

San Miguel is currently comprised of 16 concessions covering an estimated +8 kms strike of silver and gold mineralization. It is located in Chihuahua, Mexico and lies in the Guazapares mining district, part of the gold-silver belt of the Sierra Madre Occidental.

About Tara Gold Resources Corp.

Tara Gold Resources Corp. is a growth-oriented precious metals exploration and development company with existing production plants. It is management's objective to become a significant gold and precious metals producer by re-initiating and increasing production levels at La Currita, Lluvia de Oro and Picacho, and developing the San Miguel, La Millionaria, Pilar De Mocoribo and Las Minitas projects in Mexico. We continue to acquire other advanced-stage projects and/or producing mines in one of the most prolific precious metal districts in the world. 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.

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