Terra Nova Gold Corp.
TSX VENTURE : TGC
FRANKFURT : GLT

Terra Nova Gold Corp.

October 06, 2005 16:38 ET

Terra Nova Gold Corp.: San Diego Option Dropped

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 6, 2005) - Harvey Keats, President of Terra Nova Gold Corp. (TSX VENTURE:TGC)(FWB:GLT) announces that after review of technical data on the San Diego Property, and an assessment of upcoming financial obligations required to keep the Company's interest in good standing, the Company has decided not to pursue the option to earn a 50% interest in the San Diego Property.

The Company had the option to earn a 50% interest in the San Diego Property, located in Michoacan, Mexico, from Noranda Exploracion Mexico, S.A. de C.V., by incurring a total of CDN$15 million on exploration and related work on or before May 31, 2009.

The Company has incurred approximately CDN$1.2 million in expenditures on the San Diego Property.

On behalf of the Board of Directors,

TERRA NOVA GOLD CORP.

Harvey Keats, President

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registration statement on Form 20-F filing with the United States Securities and its home jurisdiction filings that are available at www.sedar.com.

The TSX Venture Exchange does not accept the responsibility for the adequacy or accuracy of this release.

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