Teslin River Resources Corp.
TSX VENTURE : TLR

April 04, 2011 09:00 ET

Queensgate Shareholders Approve Merger With Teslin River Resources Corp. (TSX VENTURE:TLR)

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 4, 2011) - Teslin River Resources Corp. (TSX VENTURE:TLR) (the "Company" or "Teslin") is pleased to announce that the shareholders of Queensgate Resources Corporation ("Queensgate") have approved unanimously the merger of Queensgate with Teslin as described in the Teslin press release dated January 10, 2011.

The agreement proposes Teslin will issue one share for each outstanding share of Queensgate. The transaction does not constitute a reverse takeover and it is expected that Teslin will issue 15,938,203 shares.

Queensgate is a private company registered in Quebec. Through its one hundred percent owned subsidiary in Nevada, Queensgate owns 100% of the Mustang Property and the Morning Star Property in the Walker Lane mineral trend in Nevada.

The transaction is subject to the approval of the TSX Venture Exchange.

Commenting on the transaction, John Icke, Chairman of Teslin stated, "We are very pleased to have concluded this transaction to acquire the projects owned by Queensgate in Nevada. Our technical experts believe they have great potential and we look forward to commencing our exploration programs later this year."

About Mustang

The Mustang Property is comprised of 66 claims that are 100% owned by Queensgate. Surface sampling on the Mustang Property in 2008 included 11.92g/t Au and 74.1g/t Ag collected on an adjacent claim within 60 meters of the boundary. An eight hole, 1,800 meter reverse circulation drilling program is planned for the property.

About Morning Star

The Morning Star Property is comprised of 97 claims with Queensgate having 100% mineral rights with a 3% NSR. A 40 line-kilometer IP survey identified two significant drill targets for which an eight hole, 1,500 meter reverse circulation drilling program has been planned.

About Teslin River Resources Corp.

Teslin River Resources Corp.'s strategy is to build shareholder value by acquiring, exploring and developing a portfolio of copper and copper-gold porphyry properties throughout North and South America. Teslin has optioned the Tagai and Kenny Dam properties in central British Columbia. Prospecting has returned strong copper anomalies some of which are accompanied by high gold values. Teslin also holds the Rand Claims located approximately 7 kilometres southeast of Horsefly in the Cariboo region of central British Columbia adjacent to where Gold Fields Limited is drilling under an option agreement with Fjordland Exploration Inc. and Cariboo Resources Ltd. Based on the reported work and drilling by surrounding operators, the area is considered prospective for a large copper-gold porphyry body. The results of the Rand drilling have not been released.

About Queensgate Resources Corporation

Queensgate Resources Corporation is a private company, founded in 2008, whose principal interest has been exploring and developing epithermal precious metal resource potential in Nevada. Queensgate is currently developing two properties, both having sufficient work to develop drilling programs for the 2011 drilling season. The acquisitions and work programs have been led by Mr. John Kerr, who has 40 years of expertise and experience in Nevada precious metal deposits and Mr. Kerr will continue to provide similar opportunities to the management team of Teslin.

Sincerely on behalf of the Board of Directors,

John Icke, Chairman of the Board, Teslin River Resources Corp.

For further information on the Company and its projects please visit our website at www.teslin-river.com.

Forward-Looking Statements

Statements in this release that are forward-looking statements, are subject to various risks and uncertainties concerning the specific factors identified in the Company's periodic filings with Canadian Securities Regulators. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drill results and other exploration data, the potential for delays in exploration or development activities, the geology, grade and continuity of mineral deposits, the possibility that future exploration, development or mining results will not be consistent with the Company's expectations, accidents, equipment breakdowns, title matters, labor disputes or other unanticipated difficulties with or interruptions in production and operations, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, regulatory restrictions, including environmental regulatory restrictions and liability, competition, loss of key employees, and other related risks and uncertainties. The Company undertakes no obligation to update forward-looking information except as required by applicable law. Such forward-looking information represents management's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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