SOURCE: Tao Minerals Ltd.

October 17, 2007 19:04 ET

Tao Minerals Ltd. Update of the El Colmillo Mine Project Acquisition

MEDELLIN, COLOMBIA--(Marketwire - October 17, 2007) - Tao Minerals Ltd. ("Tao") (OTCBB: TAOL) is pleased to announce a three-month extension of the time period to acquire the El Colmillo Mine Project that it is in final negotiations to acquire, as previously announced. The El Colmillo Mine is a producing gold property in the Vegas De Segovia mining district, department of Antioquia, Colombia. The El Colmillo mine is currently being mined and operated with reasonable equipment and Tao is confident that the project could be turned into a highly efficient producing gold project with minimal capital costs. Tao is proposing a plant that would operate initially at 30 tonnes/day with production doubling every 180 days during the first year. RMS-Ross will provide a detailed report in the near future outlining the proposed design and equipment costs.

The El Colmillo Mine presents an excellent opportunity for Tao to take advantage of the near record high gold bullion prices and provides an internal source of cash flow to fund its ongoing development of the El Colmillo mine and further drilling to increase reserves on the property.

Historically one of the largest gold producing countries in the world, Colombia's vast mineral potential has remained virtually unexplored using modern exploration and mining techniques. Colombia's gold reserves haven't been tapped in part because of 50 years of armed conflict involving the army, left-wing guerillas, right-wing death squads and drug cartels, a lethal mix that made mining dangerous. Driven by a new era of political and economic stability and an investment-friendly mining code, Colombia has emerged as one of the resource sector's most attractive new mining frontiers. Tao president, James A. Sikora, stated, "Industry experts believe there are rich pickings to be had for the early entry companies into the virtually untouched gold belts of Colombia, and Tao Minerals Ltd. is already well positioned to capitalize on those opportunities.

About Tao Minerals Ltd.

Tao Minerals Ltd. is a leading producer of gold and precious metals currently operating in Colombia. For further information, please visit our website at:

Notice Regarding Forward-Looking Statements

This news release contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Such forward-looking statements include, among other things, the expectation of the gold production of the property to be acquired, the minimal capital costs to upgrade the El Colmillo operating plant. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our annual report on Form 10-KSB for the 2005 fiscal year, our quarterly reports on Form 10-QSB and other periodic reports filed from time to time with the Securities and Exchange Commission.

Contact Information

  • Contact:
    James A. Sikora
    Tao Minerals Ltd.