Teranga Gold Corporation: Exploration on the Mine License Continues to Confirm Potential for Expanding Resource Scenario for 2012

TORONTO, ONTARIO--(Marketwire - May 30, 2012) - Teranga Gold Corporation ("Teranga" or "the Company") (TSX:TGZ)(ASX:TGZ) is pleased to report the continuation of encouraging drill results from the Sabodala pit, which continues to confirm the potential expansion of Sabodala mineralization to the north as well as recent drill results confirm potential to extend the pit laterally to the south-west. In addition, exploration results on the Regional Land Package at Tourokhoto are showing encouraging results.

Highlights:

Mine License - Sabodala

Exploration on the Sabodala Mining License (ML) continues to confirm the potential for an expanded Sabodala pit to depth and to the north and now to the south-west, along the Main Flat Extension ("MFE"). As a result, we have increased the drill program from a budget of 10,000 metres last fall to 30,000 metres in spring 2012 to a current budget of at least 50,000 metres. Recent drilling shows a lateral extension of the MFE to the south-west, beyond the current target pit. Drill results intersected significant widths of mineralization, including 7 metres at 3.8 grams of gold per tonne ("gpt") from 262 metres, 8 metres at 3.6 gpt from 162 metres, 15 metres at 3.2 gpt from 161 metres, and 10 metres at 3.6 gpt from 164 metres - the zone remains open down dip. These intersections extend and in-fill the Main Flat down dip approximately 125 metres to the west of both the current resource and the Sabodala Target Pit (See Figure 1). These high grade intercepts extend consistently over 120 metres along strike from 20010N to 20130N and may enhance the resource grade in this area relative to the current resource model as well as potentially increase the resource.

To the north on the MFE, drilling continues to define mineralization which could potentially extend the pit to depth and to the north, including 14 metres of 3.4 gpt from 141 metres, 17 metres of 3.0 gpt from 544 metres and 39 metres at 2.5 gpt from 123 metres. In addition, the infill drill program (from within the pit) to follow up on the high grade intercepts previously released are expected to be drilled over the next three to six months.

About 30,000 metres of the 50,000 metre drill program remain to be completed in the Sabodala pit through 2012. See Figure 1.

Regional Exploration - Tourokhoto

First pass reverse circulation ("RC") drill testing of a more than 2km gold trend defined by previous rotary air blast drilling and surface geochemistry, returned encouraging intersections including 12 metres at 13.18 gpt gold (including 1m @ 134 gpt gold from 11m) and 14 metres at 3.2 gpt gold. The RC holes were drilled on three lines spaced 400 to 600 metres apart. Significant mineralization was encountered on each line, indicating a minimum strike potential of 1km with the trend open in both directions. To follow-up on these results, a 2,000 to 3,000 metre drill program is currently being planned.

MAIN FLAT DOWN-DIP EXTENSION (South-West): RC & DIAMOND DRILLING, AQUA REGIA RESULTS
Intercept with cut-off 0.2gpt Au and max 2m internal dilution
HOLE ID(1)	FROM (m)	INTERSECTION(2)
SBDH210DD	197	15m @ 1.7 gpt
	228	5m @ 0.8 gpt
SBDH211D	205	4m @ 0.5 gpt
	262	7m @ 3.8 gpt
SBDH214	162	8m @ 1.0 gpt
	179	6m @ 1.9 gpt
SBDH245	116	12m @ 2.3 gpt
	162	8m @ 3.6 gpt
	173	10m @ 1.2 gpt
SBDH246	221	6m @ 2.0 gpt
	298	1m @ 7.9 gpt
SBDH247	239	5m @ 0.8 gpt
	289	7m @ 0.5 gpt
SBDH248	161	15m @ 3.2gpt
	183	4m @ 1.7gpt
SBDH250	2	8m @ 0.4 gpt
	164	10m @ 3.6 gpt

(1)	Drill hole results are disclosed as they are received and due to location and depth of holes, not all results are available at the same time nor are they processed sequentially.
(2)	True widths to be determined.

MAIN FLAT EXTENSION (North): RC & DIAMOND DRILLING, AQUA REGIA RESULTS
Intercept with cut-off 0.2gpt Au and max 2m internal dilution
HOLE ID(1)	FROM (m)	INTERSECTION(2)
SBDH159D	120	3m @ 2.3 gpt
	141	14m @ 3.4 gpt
	264	4m @ 0.7 gpt
	304	8m @ 0.9 gpt
	315	2m @ 3.0 gpt
	351	1m @ 4.4 gpt
	403	2m @ 3.5 gpt
	408	1m @ 4.7 gpt
	411	8m @ 1.0 gpt
SBDH173	241	5m @ 1.0 gpt
	248	10m @ 1.1 gpt
SBDH198D	541	4m @ 1.5 gpt
	589	29m @ 1.1 gpt
SBDH219DD	426	9m @ 0.4 gpt
	441	8m @ 0.9 gpt
	464	5m @ 0.7 gpt
	471	16m @ 1.0 gpt
	493	6m @ 0.2 gpt
	544	17m @ 3.0 gpt
	565	4m @ 1.0 gpt
	587	6m @ 0.2 gpt
	611	11m @ 0.8 gpt
SBDH220D	314	4m @ 1.3 gpt
	352	11m @ 0.7 gpt
	507	2m @ 1.6 gpt
	511	12m @ 0.5 gpt
	537	4m @ 2.4 gpt
	543	5m @ 1.7 gpt
	550	27m @ 1.8 gpt
SBDH222D	311	5m @ 0.6 gpt
	331	8m @ 0.5 gpt
	384	25m @ 1.9 gpt
	457	10m @ 3.1 gpt
	469	5m @ 1.5 gpt
SBDH240	99	3m @ 1.8 gpt
	116	27m @ 1.1 gpt
SBDH241	0	9m @ 0.5 gpt
	101	7m @ 0.7 gpt
	110	6m @ 1.6 gpt
	119	2m @ 2.9 gpt
	123	39m @ 2.5 gpt
	172	17m @ 1.8 gpt
	193	3m @ 1.0 gpt
SBDH242	7	7m @ 0.4 gpt
	17	9m @ 0.3 gpt
	31	5m @ 0.4 gpt
	131	6m @ 0.3 gpt
	141	27m @ 0.9 gpt
SBDH243	72	30m @ 1.0 gpt
	200	5m @ 0.4 gpt
	207	9m @ 1.5 gpt
	237	16m @ 0.8 gpt

(1)	Drill hole results are disclosed as they are received and due to location and depth of holes, not all results are available at the same time nor are they processed sequentially.
(2)	True widths to be determined.

TOUROKHOTO: RC DRILLING, FAA515
RC Intersections, >0.5g/t Au with max 2m internal dilution/no internal dilution. Gold determined by FAA515
HOLE ID(1)	FROM (m)	INTERSECTION(2)
DBRC0137	9	1m @ 1.50 g/t
	22	1m @ 0.51 g/t
	82	1m @ 0.63 g/t
	85	2m @ 0.64 g/t
	90	1m @ 2.04 g/t
	100	1m @ 0.52 g/t
	135	2m @ 0.73 g/t
	142	1m @ 0.54 g/t
	188	2m @ 0.60 g/t
DBRC0138	6	12m @ 13.18 g/t
	11	Incl. 1m @ 134 g/t
	27	1m @ 0.69 g/t
	71	1m @ 0.74 g/t
DBRC0139		Results pending
DBRC0140		Results pending
DBRC0141	5	1m @ 1.15 g/t
	123	1m @ 1.09 g/t
	185	7m @1.33 g/t
DBRC0142	97	4m @ 1.21 g/t
DBRC0143	45	5m @ 1.16 g/t
	73	1m @ 0.77 g/t
	144	8m @ 3.59 g/t
DBRC0144	13	1m @ 0.53 g/t
	37	1m @ 0.82 g/t
	87	1m @ 0.56 g/t
	99	2m @ 0.93 g/t
	194	6m @ 2.03 g/t
DBRC0145	113	1m @ 0.78 g/t
	153	1m @ 1.00 g/t
DBRC0146		No significant intersection
DBRC0147		No significant intersection
DBRC0148	3	3m @ 1.16 g/t
	11	1m @ 0.55 g/t
	16	4m @ 1.01 g/t
	44	1m @ 0.86 g/t
	73	1m @ 0.54 g/t
DBRC0149	31	14m @ 3.25 g/t
	53	3m @ 0.74 g/t
	141	1m @ 0.57 g/t
DBRC0150	85	3m @ 0.90 g/t
	160	2m @ 0.99 g/t
DBRC0151	123	1m @ 1.86 g/t
	127	1m @ 0.98 g/t
	137	2m @ 1.10 g/t
DBRC0152		No significant intersection
DBRC0153		No significant intersection
DBRC0154	184	3m @ 0.73 g/t
DBRC0155	56	1m @ 1.13 g/t

(1)	Drill hole results are disclosed as they are received and due to location and depth of holes, not all results are available at the same time nor are they processed sequentially.
(2)	True widths to be determined.

To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/tgz0530fig1.pdf.

FORWARD LOOKING STATEMENTS

Certain information included in this press release, including any information as to the Company's strategy, projects, exploration programs, joint venture ownership positions, plans, future financial or operating performance and other statements that express management's expectations or estimates of future performance, constitute "forward-looking statements". The words "believe", "expect", "will", "intend", "anticipate", "project", "plan", "estimate", "on track" and similar expressions identify forward looking statements. Such forward-looking statements are necessarily based upon a number of estimates, assumptions, opinions and analysis made by management in light of its experience that, while considered reasonable, may turn out to be incorrect and involve known and unknown risks, uncertainties and other factors, in each case that may cause the actual financial results, performance or achievements of the Company to be materially different from the Company's estimated future results, performance or achievements expressed or implied by those forward-looking statements. Such forward-looking statements are not guarantees of future performance.
These assumptions, risks, uncertainties and other factors include, but are not limited to: assumptions regarding general business and economic conditions; conditions in financial markets and the future financial performance of the company; the impact of global liquidity and credit availability on the timing of cash flows and the values of assets and liabilities based on projected future cash flows; the supply and demand for, deliveries of, and the level and volatility of the worldwide price of gold or certain other commodities (such as silver, fuel and electricity); fluctuations in currency markets, including changes in U.S. dollar and CFA Franc interest rates; risks arising from holding derivative instruments; adverse changes in our credit rating; level of indebtedness and liquidity; ability to successfully complete announced transactions and integrate acquired assets; legislative, political or economic developments in the jurisdictions in which the Company carries on business; operating or technical difficulties in connection with mining or development activities; employee relations; availability and costs associated with mining inputs and labor; the speculative nature of exploration and development, including the risks of obtaining necessary licenses and permits and diminishing quantities or grades of reserves; changes in costs and estimates associated with our projects; the accuracy of our reserve estimates (including with respect to size, grade and recoverability) and the geological, operational and price assumptions on which these are based; contests over title to properties, particularly title to undeveloped properties; the risks involved in the exploration, development and mining business, as well as other risks and uncertainties which are more fully described in the Company's A.I.F. and in other Company filings with securities and regulatory authorities which are available at www.sedar.com. Accordingly, readers should not place undue reliance on such forward looking statements. Teranga expressly disclaims any intention or obligation to update or revise any forward looking statements, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.

COMPETENT PERSONS STATEMENT

The technical information in this press release that relates to mineral resource estimates within the Mining License is based on information compiled by Mr. Bruce Van Brunt, who is a Fellow of the Australasian Institute of Mining and Metallurgy. Mr. Van Brunt is a full time employee of Teranga and not independent. Mr. Van Brunt has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking to qualify as a "Competent Person" as defined in the 2004 Edition of the "Australasian Code of Reporting of exploration Results, Mineral Resources and Ore Reserves". Mr. Van Brunt is a "Qualified Person" in accordance with National Instrument 43-101 and he consents to the inclusion of this information in the form and context in which it appears in this announcement.

The technical information in this press release that relates to the exploration results and targets within the regional exploration program are based on information compiled by Mr. Martin Pawlitschek, who is a member of the Australian Institute of Geoscientists. Mr. Pawlitschek is our full time employee and is not "independent" within the meaning of National Instrument 43-101. Mr. Pawlitschek has sufficient experience relevant to the style of mineralization and type of deposit under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". Mr. Pawlitschek is a "Qualified Person" in accordance with NI 43-101 and he consents to the inclusion of this information in the form and context in which it appears in this announcement.

About TERANGA

Teranga Gold Corporation is a Canadian-based gold company listed on the Toronto Stock Exchange (TSX:TGZ) and Australian Securities Exchange (ASX:TGZ). Teranga is principally engaged in the production and sale of gold, as well as related activities such as exploration and mine development.

Teranga was created to acquire the Sabodala gold mine and a large regional exploration land package, located in Senegal, West Africa, from Mineral Deposits Limited. Management believes the mine operation, together with the Company's prospective 1,465 km2 land package, provides the basis for growth in reserves, production, earnings and cash flow as new discoveries are made and processed through the Company's existing mill.

The Sabodala Gold Operation, which came into operation in 2009, is located 650 kilometres east of the capital Dakar within the West African Birimian geological belt in Senegal, and about 90 kilometres from major gold mines and discoveries in Mali.

The Company's mission is to create value for all of its stakeholders through responsible mining. Its vision is to explore, discover and develop gold mines in West Africa, in accordance with the highest international standards, and to be a catalyst for sustainable economic, environmental and community development. All of its actions from exploration, through development, operations and closure will be based on the best available techniques.