SOURCE: Tara Gold Resources Corp.

October 16, 2007 09:15 ET

Tara Gold Announces Further San Miguel Drill Program Intercepts

CHICAGO, IL--(Marketwire - October 16, 2007) - Tara Gold Resources Corp. (PINKSHEETS: TRGD) (FRANKFURT: T8N) is pleased to announce the assay results from 12 drill holes in the San Antonio/El Carmen area at its San Miguel project in the Guazapares mining district, Mexico. These results indicated continuity within the San Antonio - El Carmen vein system and confirmed the existence of stockwork mineralization west of the main San Antonio 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.

Drill hole SA-29 was designed to test the on-strike continuity of the El Carmen mineralized structure to the north and Hole SA-30 was an infill hole in the south end of San Antonio structure. Holes SA-31 to SA-36 were drilled to test the northwest extension of the San Luis structure, a parallel vein system southwest of the San Antonio zone. SA-37 and SA-38 were planned to test the southeast extension of the San Antonio structure. SA-39 and SA-40 were drilled to test the stockwork mineralization west of the San Antonio mineralized structure.

Larry Segerstrom, COO of Paramount Gold and Silver Corp., commented, "The results of drill holes SA-29 to SA-40 continue to demonstrate the continuity of the mineralization within the San Antonio/El Carmen mineralized zone. The zone appears to persist along strike and down-dip."

Exploration drilling continues in the Montecristo and San Miguel areas using two core drills working 24 hours per day. A round of drilling at the La Veronica zone has also been completed with assay results pending from the laboratory.

Highlights of assays results (see table at www.paramountgold.com for further details and maps):

SA-29 intercepted 9.4 meters (7.20 meters of true width) of 135 g/t silver.

SA-31 intercepted 7.5 meters (5.75 meters of true width) of 132 g/t silver.

SA-32 intercepted 0.9 meters (0.69 meters of true width) of 0.26 g/t gold and 692 g/t silver.

SA-37 had intercepts of 13.0 meters (8.36 meters of true width) of 128 g/t silver, and 0.8 meters (0.51 meters of true width) of 861 g/t silver.

SA-38 had intercepts of 3.75 meters (2.41 meters of true width) of 239 g/t silver, and 0.8 meters (0.51 meters of true width) of 932 g/t silver.

SA-40 intercepted 2.0 meters (1.11 meters of true width) of 891 g/t silver.

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), Paramount has put into place a detailed program of periodically introducing certified standards, blanks and duplicates into the sample stream. 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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